According to data from the Ministry of Industry and Trade, the total export turnover taking advantage of tariff incentives under the FTA in 2017 reached 33.4 billion USD, accounting for 34% of the total export turnover to FTA-signing markets and an increase of 26% compared to 2016. The preferential C/O use rate is relatively stable, corresponding to export turnover to these markets.
In 2017, there were 764,052 preferential C/O sets issued, amounting to USD 37.8 billion in value, an increase of 26% in value and a 25% increase in the number of C/O sets compared to 2016.
In terms of turnover taking advantage of tariff incentives, Vietnamese goods exported to China topped with a value of USD 9.2 billion. This was followed by Vietnamese goods exported to South Korea and ASEAN with a value of US$7.6 billion and US$6.5 billion, respectively. Export turnover using AI samples for Vietnamese goods exported to India is not high, reaching just over 1.8 billion USD but had the highest growth rate of 55% compared to 1.2 billion USD in 2016.
In terms of FTA incentives: Chile and the VCFTA accounts for the highest rate of incentives with 69%; this was followed by South Korea and India with tariff utilise rates of 51% and 48%, respectively. Preferential rate from Laos market (10%) and Cambodia (~0%) remained low because Laos and Cambodia are both ASEAN members, therefore businesses often take advantage of direct incentives from the ATIGA Agreement. In general, Vietnam's FTA preferential rate in 2017 was 34%, down 2% compared to 2016 (36%).
Regarding the structure of goods: Vietnam's agricultural products (Chapters 01-24) have a good rate of taking advantage of FTA incentives because most of them meet the criteria for wholly obtained goods (WO) for raw or under-processed agricultural products and the Regional Value Content (RVC) or HS Code Change in Tariff Classification (CTC) criterion for processed agricultural products.
The summary of the utilization rate of preferential C/O under Vietnam's FTAs over the years to 2017 (in Vietnamese) is attached below:
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<p>Time: 2024 By: Ministry of Industry and Trade</p>
