Manufacturers and assemblers of buses for public transportation will enjoy import tax exemptions for parts which are not produced in the country as detailed in a draft rule.
Manufacturers and assemblers of buses for public transportation will enjoy import tax exemptions for parts which are not produced in the country as detailed in a draft rule.
Currently, the Ministry of Finance’s Circular 185/2012 regulates only public transport development projects in Hanoi and HCMC are free from bus parts import duties provided that these parts are not made in Vietnam. However, the circular is valid until this year.
According to a draft circular detailing supporting policies provided in the Prime Minister’s Decision 13/2015, the Government would exempt import duties on parts and components, registration fees for buses using renewable energy and subsidize bank loan interest for all eligible bus assembling and manufacturing projects.
In addition, the investors of these projects will also be given priority to take out preferential loans including official development assistance (ODA) funding to invest in infrastructure facilities for public transportation. The State budget will also allocate funds to zoning plans for public transportation.
(Source: SGT)
