Licensing for Automobile Import Business

Licensing for Automobile Import Business is a mandatory step for enterprises wishing to bring automobiles from abroad into the Vietnamese market. This procedure is strictly managed to ensure technical standards, safety, and compliance with trade policies. This article provides information on conditions, dossier components, and the implementation process according to current regulations.

General regulations and conditions for importing automobiles.

Decree 116/2017/ND-CP sets clear regulations for enterprises wishing to distribute imported cars in Vietnam.

General regulations on the import business of automobiles.

Based on Article 14 of Decree 116/2017/ND-CP:

• Only enterprises are considered for the Automobile Import Business License.
• Enterprises are entitled to import automobiles after meeting conditions and being granted the License.
• Must strictly comply with management regulations in this Decree and relevant laws.

Conditions for importing automobiles

To be licensed, the enterprise must meet conditions in Article 15 of Decree 116/2017/ND-CP:

• Warranty & Maintenance Facility: Own a facility, sign a lease contract for a facility, or belong to the enterprise’s authorized dealer system. The facility must meet technical standards regarding equipment, personnel, and maintenance processes to ensure technical care for the volume of cars sold.
• Recall Authority: Have a written confirmation or document proving the enterprise is authorized to represent the foreign automobile manufacturer/assembler to execute recall orders for imported cars in Vietnam.

The competent authority issues business licenses for importing automobiles.

Based on Clause 1, Article 16 of Decree 116/2017/ND-CP, the Ministry of Industry and Trade (MOIT) is the sole authority competent to grant the license.

• Role: MOIT receives dossiers, appraises validity, and inspects actual business conditions.
• Supervision: MOIT conducts post-licensing supervision, periodic reporting, and inspections. It has the authority to revoke the license if the enterprise no longer meets the conditions in Article 15.

Required documents for applying for a license to import automobiles.

The dossier is prescribed in Clause 2, Article 16 of Decree 116/2017/ND-CP, including:

1. Request Form: Request for Automobile Import Business License (Form No. 05, Appendix II of Decree 116/2017/ND-CP): 01 original.
2. Legal Document: Enterprise Registration Certificate or equivalent: 01 copy.
3. Proof of Conditions:
   • Documents proving the warranty/maintenance facility meets regulations: 01 copy.
   • Written confirmation/document proving the right to represent the manufacturer in recalling imported cars in Vietnam (Must be consularly legalized by the Vietnamese diplomatic mission abroad): 01 copy.

Procedure for applying for a license to import automobiles.

Based on Clause 3, Article 16 of Decree 116/2017/ND-CP:

Step 1: Submission The enterprise submits 01 complete dossier set to the Ministry of Industry and Trade (directly, via post, or online).

Step 2: Validity Check Within 07 working days from receipt, if the dossier is incomplete, MOIT requests supplementation.

Step 3: Appraisal and Licensing Within 10 working days from receiving a complete and valid dossier, MOIT reviews and grants the License (Form No. 08).

Step 4: Physical Inspection (If necessary) If verification is needed, MOIT notifies the time for inspecting actual conditions (inspection time not exceeding 15 working days). Within 05 working days after satisfactory inspection results, MOIT considers granting the license.

Step 5: Result Return Receive the License directly or via post. If refused, MOIT provides a written reply stating the reason.

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Long Phan provides consulting services for obtaining import business licenses for automobiles.

Long Phan Consulting Company provides comprehensive solutions to support clients in perfecting the Licensing for Automobile Import Business:

• Analysis: Analyzing the current status of the enterprise’s facilities.
• Facility Consulting: Advising on upgrading warranty/maintenance facilities to meet statutory standards.
• Drafting: Assisting in drafting the Request and preparing capacity-proving documents.
• Review: Reviewing the legality of facility lease contracts or authorized dealer contracts.
• Recall Docs: Advising on the form and content of the recall authority confirmation from the foreign manufacturer.
• Legalization: Guiding the consular legalization procedure for documents to be valid in Vietnam.
• Representation: Submitting the dossier and monitoring progress at the Ministry of Industry and Trade.

Frequently Asked Questions

Below are some frequently asked questions regarding the application process for an automobile import business license; please refer to them:

When must an enterprise apply for re-issuance of the License?

Re-issuance or modification is required when: The License is lost or damaged; there are changes in the enterprise name, headquarters address, or location of the warranty/maintenance facility. (Legal Basis: Clause 1, Article 18, Decree 116/2017/ND-CP).

Must the warranty facility be owned by the importer?

No. It can be owned, leased, or part of the authorized dealer system, provided it meets technical standards. (Legal Basis: Clause 1, Article 15, Decree 116/2017/ND-CP).

Is periodic reporting mandatory?

Yes. Importers must report on imports, warranties, and recalls to MOIT before January 30 annually, and report ad-hoc upon request. (Legal Basis: Article 20, Decree 116/2017/ND-CP).

Can the License be transferred to another entity?

No. The license is granted specifically to the eligible enterprise. Buying, selling, transferring, or leasing the License is prohibited. (Legal Basis: Article 14, Decree 116/2017/ND-CP).

Can a branch apply for the License?

No. Only “Enterprises” established under the law are eligible subjects. Branches do not have independent legal status to stand on the License. (Legal Basis: Clause 1, Article 14, Decree 116/2017/ND-CP).

Conclusion

The Licensing for Automobile Import Business requires thorough preparation regarding technical infrastructure and international legal dossiers. Meeting conditions under Decree 116/2017/ND-CP is key. Please contact Long Phan Consulting Company via Hotline 1900636389 for timely support.