30.6 C
Ho Chi Minh City
Saturday, June 15, 2024

E-commerce brings in US$1 billion of foreign goods to Vietnam monthly

By Truc Dao

Must read

HCMC – Around US$1 billion worth of foreign goods flow into Vietnam each month through four major e-commerce platforms, prompting concerns from the Ministry of Industry and Trade about potential tax revenue losses unless regulations are adjusted.

In response to questions from deputies at the National Assembly (NA)’s seventh sitting, Minister of Industry and Trade Nguyen Hong Dien said the ministry will cooperate with related units to advise the Government on issuing a decree on customs management for import-export activities through e-commerce platforms.

It suggested the Government review the exemption of VAT for low-value imported goods, aiming to prevent unfair competition between e-commerce imports and domestically taxed goods. Currently, goods valued below VND1 million are exempt from VAT.

Data from the ministry showed that e-commerce activities in Vietnam are rapidly developing, with an average growth rate of 20-25% per year. Sales on e-commerce platforms exceed US$20 billion per year, representing 8% of the total revenue from consumer goods nationwide.

The ministry and other relevant units have developed a database of over 900 websites and nearly 300 e-commerce apps to strengthen tax management on these platforms. Additionally, it will work with the Ministry of Public Security to apply electronic identification for sellers, enhancing tax regulation and preventing revenue loss.

The minister added that e-commerce is facing three primary challenges: consumer data insecurity, the prevalence of counterfeit and low-quality goods, and tax revenue losses. He expected that when the Consumer Rights Protection Law takes effect on July 1, these regulations will help address the aforementioned issues.

More articles


Please enter your comment!
Please enter your name here

Latest articles