Sectors and occupations have conditional market access for investors

Conditional market access for investors, it brings great opportunities to invest in key industries, while protecting national interests and sustainable development. This is a strategic step to promote quality investments, while creating conditions for investors to access the growth potential of the domestic market.

Market access conditions for investors

According to Clause 10, Article 3 of the Law on Investment 2020, market access conditions stipulate the requirements that foreign investors must meet when investing in industries in the restricted or conditional list. This is to control investor participation in sensitive sectors, maintain economic security, and protect national interests.

Key aspects of market access conditions:

• Classification of investors: Foreign investors are individuals and organizations with nationality or established under foreign laws, including economic organizations with foreign investment capital. Domestic investors are individuals and organizations established and operating under Vietnamese law.
• Market access conditions: These conditions relate to the choice of investment form, charter capital ownership ratio, scope of investment activities, and specific regulations for each industry. This condition must be met to ensure the legality of the investment activity.
• Principles of applying conditions: The application of market access conditions must comply with Vietnamese law and international treaties to which Vietnam is a member.

For example: In some industries such as finance and banking, foreign investors may only be allowed to hold a certain maximum percentage of shares in Vietnamese companies to ensure national financial security.

List of industries and occupations with conditional market access for investors

The list of industries and occupations with conditional market access for foreign investors is specified in detail in Section B, Appendix I, Decree 31/2021/ND-CP. Each industry in this category is regulated to ensure that foreign investors do not compromise national, economic or cultural security. Specifically includes:

1. Production and distribution of cultural products, including video recordings.
2. Production, distribution, and screening of television programs and works of music, dance, theater, and cinema.
3. Providing radio and television broadcasting services.
4. Insurance; bank; securities trading and other services related to insurance, banking, and securities trading.
5. Postal and telecommunications services.
6. Advertising services.
7. Printing services, publication distribution services.
8. Surveying and mapping services.
9. Photography service from above.
10. Educational services.
11. Exploration, exploitation and processing of natural resources, minerals, oil and gas.
12. Hydropower, offshore wind power and nuclear energy.
13. Transport of goods and passengers by rail, air, road, river, sea, and pipeline.
14. Raising and growing aquaculture products.
15. Forestry and hunting.
16. Betting and casino business.
17. Security service.
18. Construction, operation and management of river ports, seaports and airports.
19. Real estate business.
20. Legal services.
21. Veterinary services.
22. Goods purchase and sale activities and activities directly related to goods purchase and sale activities of foreign service providers in Vietnam.
23. Technical testing and analysis services.
24. Travel services.
25. Health services and social services.
26. Sports and entertainment services.
27. Paper production.
28. Production of vehicles with over 29 seats.
29. Developing and operating traditional markets.
30. Commodity Exchange Operations.
31. Domestic retail goods collection service.
32. Auditing, accounting, bookkeeping and tax services.
33. Price appraisal service; Consulting on determining enterprise value for equitization.
34. Services related to agriculture, forestry and fishery.
35. Production and manufacturing of aircraft.
36. Production and manufacturing of railway locomotives and rolling stock.
37. Producing and trading tobacco products, tobacco ingredients, machinery and equipment in the tobacco industry.
38. Publisher’s activities.
39. Building and repairing ships.
40. Waste collection services, environmental monitoring services.
41. Commercial arbitration and arbitration mediation services.
42. Logistics service business.
43. Coastal shipping.
44. Cultivation, production or processing of rare crops, breeding of rare wild animals and processing and handling of these animals or plants, including live animals and products from them.
45. Production of construction materials.
46. Construction and related technical services.
47. Assembling motorbikes.
48. Services related to sports, fine arts, performing arts, fashion shows, beauty and modeling contests, and other fun and entertainment activities.
49. Air transport support services; Ground technical services at airports and aerodromes; on-board meal service; navigation and surveillance information services; aviation meteorological services.
50. Shipping agency services; ship towing services.
51. Services related to cultural heritage, copyright and related rights, photography, video recording, sound recording, art exhibitions, festivals, libraries, museums.
52. Services related to tourism promotion and promotion.
53. Representation, recruitment agency, booking and management services for artists and athletes.
54. Family-related services.
55. E-commerce activities.
56. Cemetery business, cemetery services and burial services.
57. Seeding and chemical spraying services by plane.
58. Maritime pilot service.
59. Investment sectors and trades follow the pilot mechanism of the National Assembly, the National Assembly Standing Committee, the Government, and the Prime Minister.

This occupational category includes more than 50 different occupations, from educational services, protection, resource exploitation, to sports and entertainment services. Access conditions are in place to ensure that sensitive sectors are tightly controlled and meet Vietnam’s sustainable development goals.

Post and update conditional market access for investors

According to Article 18 of Decree 31/2021/ND-CP, the Ministry of Planning and Investment is responsible for coordinating with ministries and ministerial-level agencies to review and announce market access conditions for foreign investors. All of these conditions are posted on the National Investment Information Portal, helping investors access information in a clear and transparent way.

Procedure for posting and updating conditions:

• Posted content: Industries and professions that limit market access for foreign investors and the legal basis for applying the conditions.
• Source of information: Market access conditions comply with the Law on Investment 2020 and Decree 31/2021/ND-CP, including international treaties to which Vietnam is a member.
• Update conditions: If there are new laws or international resolutions or treaties affecting access conditions, the conditions will be updated according to regulations.

Publicly posting these conditions on the National Information Portal aims to increase transparency, assist investors in quickly and fully grasping current regulations, and ensure that all investors have accurate information to comply with the law.

Consulting on market access conditions for investors in Long Phan

With in-depth experience in foreign investment in Vietnam, Long Phan provides comprehensive consulting services on conditional market access for foreign investors. This service helps customers identify regulations and necessary conditions to participate in specific business fields, ensuring compliance with Vietnamese law.

Specific services at Long Phan include:

• Evaluate and analyze regulations on conditional business lines.
• Assist in identifying occupations with specific conditions and compliance requirements.
• Instructions on processes and procedures to apply for necessary licenses.
• Assess market potential, risks and benefits.
• Propose an effective and optimal approach for investors.

Long Phan’s consulting services not only help save time and costs but also help foreign investors comply with regulations, avoid risks and problems related to business investment in Vietnam. For consulting support on conditional market access for foreign investors and conditional industries, please contact Long Phan via the hotline 0906735386. Thank you!