How To Export From Vietnam To New Zealand // Regulations, Taxes, And Tariffs When Importing To New Zealand
In an era where global trade dynamics constantly evolve, exporting goods from Vietnam to New Zealand presents unique opportunities and challenges. With its flourishing economy and reputation as a manufacturing hub, Vietnam offers a diverse range of products in high demand in New Zealand. New Zealand, known for its stringent quality standards and open market policies, is an attractive destination for Vietnamese exporters looking to expand their global reach. However, successfully navigating the export process from Vietnam to New Zealand requires a comprehensive understanding of the trade regu’ trade regulations, cultural nuances, and market demands.
This blog post is crafted as a thorough guide for businesses, traders, and entrepreneurs looking to explore the potential of the Vietnam-New Zealand trade corridor. Whether you are a seasoned exporter in Vietnam seeking new markets or a New Zealand importer aiming to diversify your product offerings, understanding the subtleties of this trading relationship is key to your success.
We will explore the critical steps of exporting from Vietnam to New Zealand, including identifying the right products, understanding the legal and regulatory requirements, managing logistics and customs procedures, and establishing strong business relationships. This guide will also explore navigating cultural differences, ensuring compliance with New Zealand's quality and safety standards, and developing effective marketing and distribution strategies.
Moreover, this post will provide insights into the latest trade agreements, tariff structures, and market trends that impact Vietnam-New Zealand trade relations. We aim to equip you with the knowledge and tools necessary to make informed decisions and successfully manage the complexities of exporting from Vietnam to New Zealand.
Join us on this journey as we uncover the keys to unlocking the potential of this dynamic trade route, offering a path to new opportunities and growth in international commerce.
How To Export From Vietnam To New Zealand
Vietnam has taken moves to open its borders to foreign trade and investment since transitioning from a planned economy in the late 1980s, including joining ASEAN (1995), the WTO (2007), and the China-ASEAN FTA (2010), as well as negotiating several FTAs.
What is the best way to export from Vietnam? What are Vietnam’s export registration, customs, and cargo movement procedures? This section covers the steps required by the Vietnamese government authorities to export from Vietnam.
Prioritized customs procedures for New Zealand
It is feasible to ask for priority treatment in Vietnam to save money on customs compliance. Qualifying businesses will be eligible for a variety of benefits under this program, including:
Exemption from additional customs documentation review; exemption from physical inspection of commodities
Possibility of submitting customs declarations that are incomplete. We should remind you that customs declaration must submit complete customs declarations within 30 days of the date of registration of incomplete customs declarations or the submission of documented proof instead of customs declarations or
Prioritized access to complete tax formalities for products conforming with the taxation law.
Companies must meet several requirements to receive preferred customs treatment. Decree No. 08/2015/ND-CP lays out the following:
Compliance with customs and taxation laws for two years from the day the firm filed a priority application;
Compliance with the accounting and auditing laws, as well as the Vietnamese Accounting Standards (VAS);
How you can maintain an export supply chain management, monitoring, and control system and unique export and import turnover needs;
The yearly turnover requirement for those exporting items created in Vietnam is a mere US$40 million, while agricultural exporters only need to prove a turnover of US$30 million.
Procedures for Customs Importing to New Zealand
All commodities exported from Vietnam are subject to Vietnam customs clearance rules, which efficiently check their quality, specifications, quantity, and volume. Certain exported items, for example, are subject to examination.
Exported medications, for example, must be tested and have paperwork (in Vietnamese) explaining product use, dose, and expiration dates, which you must also include in or on the product package.
Law No. 54/2014/QH13 now governs Vietnam’s customs regulations. Before exporting, double-check that you can export the product, animal, or object in question. It would help if you first examined any biosecurity export guidelines and restrictions and contacted New Zealand Customs (Customs).
If the product is permitted entry, you must also convince MPI that it complies with our norms and rules and does not constitute a biosecurity concern. Of course, MPI will want to ensure it complies with all food safety and labeling regulations if it’s a food item.
Duties on exports for New Zealand
Only a few things, primarily natural resources, including minerals, forest products, and scrap metal, are subject to export duties (from 0% to 45%). You must pay export duties within 30 days of customs declaration registration.
Requirements for Product Standards and Labeling
Product labeling laws are crucial to ensuring a successful customs clearance. Vietnam has standards and technical requirements (including labeling) that adhere to international standards. In June 2017, Decree No. 43/2017/ND-CP (replacing Decree No. 89/2006/ND-CP) governs product labeling.
Certificates of origin
MPI requires certificates from the exporting country’s appropriate government body to clear numerous products imported into New Zealand. These certificates provide assurances concerning the animal’s or plant’s health and the safety of imported food.
If you need an import certificate, your product’s import health standard or the Importing Food Notice will tell you.
Some products and countries may be eligible for electronic certificates.
Traditionally, the certificates required for exportation have been provided on paper. However, these certificates have different security features depending on the export country.
E-certificates are becoming increasingly widely used. These enable direct information interchange between the exporting and importing governments. This helps ensure the data’s accuracy and enhances border speed and efficiency.
You may need to provide paper certificates if electronic certifications are available for imports. However, certificate exchanges may be entirely paperless (no paper certificate is generated). If you’re importing products from nations that issue electronic certificates, you can cut down on border waits by doing one of the following:
You mentioned the certificate number on your import submission in the Trade Single Window or provided a PDF copy of the certificate (where paper certificates are available in parallel).
MPI can process your application without needing to see the originals.
If an electronic certificate is issued alongside a paper certificate, you should save the original copy for your records. In some cases, such as technical challenges, you may be required to provide the original document to MPI.
Facilities for transition and containment
All maritime containers arriving in New Zealand must be transported to and unpacked at a transitional facility. In addition, some higher-risk imports, such as plants, animals, and associated products, may require quarantine or storage in a transitional or containment facility.
Imported, uncleared-risk commodities are held, inspected, treated, identified, destroyed, and disposed of at transitional facilities. These facilities follow a guideline outlining the minimal transitional facility approval and monitoring standards.
How To Look Up Regulations For Importing To New Zealand From Vietnam
Importers are responsible for keeping New Zealand pest-free and ensuring the safety of any food they bring. They also help prevent the unlawful trafficking of wild wildlife and flora and coerce compulsory labor in global supply chains.
Learn more about the Regulations of importers you must follow while importing goods in New Zealand.
Resources for Looking Up Regulations for New Zealand
You can use the websites and tools listed below to check New Zealand regulations in your field. In addition, the websites listed below will assist you in learning the fundamentals of importing things into New Zealand.
Various restrictions may affect your importation, and it’s critical to understand what procedures you’ll need to follow to ensure that your goods arrive on time and in good condition.
Take notice of the following five Regulations for Importing into New Zealand
001 // Electronic Cargo Information or Import Entry in New Zealand
Clearance is required for all items entering New Zealand. A customs broker usually handles clearance, and most courier businesses and freight forwarders have an in-house broker to manage these responsibilities.
Importers into New Zealand must submit an Import Entry or Electronic Cargo Information (ECI) with full and necessary details about the shipment to clear goods. Electronic Data Interchange (EDI), TSW Online, and other third-party providers are all options for submitting clearances. You must complete the import entry clearance process within 20 days of your products arriving in New Zealand. To avoid delays, you can file the documentation ahead of time.
In addition, if the clearance has any errors or omissions, Customs may impose monetary administrative fines. Import Entry Clearance is a legally binding form you must complete and complete.
002 // Items worth more than NZD 1,000
If you bring in items worth more than NZ$1,000, you’ll need a client and a supplier code (more on this later). These codes identify you, the importer, and your source. The Import Entry, as previously indicated, is often used for products worth more than NZ$1,000 and notable goods for business or commercial usage.
003 // Import Health Regulations for New Zealand
The commodities or goods you want to import may have special import restrictions. You’ll likely have to look for and adhere to specific product requirements. It’s also possible that official certification is required.
004 // Imports That Are Prohibited Or Restricted in New Zealand
A list of local import products has been compiled and updated for years. Many things on the list are due to trade agreements or at the request of international organizations such as the UN. Other topics include national legislation like the 1996 Ozone Layer Protection Act.
Before importation, see the New Zealand Prohibited Important Items list and overview. It’s also beneficial to have someone on your team know about how importing has changed and will likely change in the future so that any investment you make now will be a prudent one in the future.
005 // Client and Supplier Identification Numbers
Client codes identify individual importers and exporters. These codes are only given to New Zealand-based businesses (i.e., registered companies in New Zealand). As previously stated, the importer or exporter must have a valid client code to enter shipments worth more than NZ$1,000.
This code is received by completing and submitting the customer registration application to Customs. A passport, driver’s license, or Certificate of Incorporation must be included as proof of identity.
The supplier code is a requirement for completing the Import Entry. You can apply for a supplier code by filling out the application and submitting it to Customs with proof to support the supplier’s name and country. Suppliers already used by other importers are more likely to have a legitimate supplier code. Look through the database to see if you need your supplier to furnish you with a supplier code.
Final Thoughts on Regulation
Many import regulations are comparable to what you’ll find in other nations.
Over the years, rules have been established based on the potential for an item or object to cause problems for a country's people. In addition, other regulations have been enacted due to political trade agreements.
Review these regulations as part of your import effort, and make sure someone on your team is updated on how they are changing if they are changing.
How To Find Taxes And Duties For Importing To New Zealand
Customs in New Zealand is in charge of collecting duty (if any) on imported products. Duty on imported products from New Zealand is usually determined as a percentage of the cost of the commodities free on board (f.o.b.). However, duty is sometimes determined using a charge based on a certain weight, volume, or measurement (a “specific” rate). Usually, duty is calculated using ad valorem and specific rates. The f.o.b. value of the items is used to calculate ad valorem duty.
The classification of the commodities in the New Zealand Tariff, based on the Harmonized Commodity Description and Coding System, determines the rate of duty charged. The majority of tariffs range from 0% to 10%. Clothing, footwear, and carpeting are all subject to these duty rates. Most passenger automobiles and all computer software and hardware are exempt from tariffs. Excise duties apply to alcoholic beverages (including beer, wine, and spirits), tobacco goods, petroleum products, and other domestic goods.
Top Resources For Looking Up Taxes & Import Duties
https://www.customs.govt.nz/personal/duty-and-gst/whats-my-duty-estimator
https://www.easyship.com/duties-and-taxes-calculator/newzealand
https://www.trade.gov/country-commercial-guides/new-zealand-import-tariffs
Tariffs and concessions on imports
If you’re importing items for a business, you should know that they may be liable to duty, GST, and other fees. Customs will apply preferential tariffs in some situations. As a result, levies on goods from some nations are reduced.
You’ll need to know how to compute your fees accurately if you submit your import clearances. If you hire a customs broker, agent, or freight forwarder, they will be well-equipped to calculate your charges.
You can pay your duties in various ways, and if you pay too much, you should be able to get a refund without too much trouble.
Tariff duty rates with preferential treatment
Allowances and fees for imports
Refunds and payments
Tariff preferences
Several countries have trade agreements with New Zealand. As a result, levies on goods from some nations are reduced.
The rules of origin in such contracts establish the thresholds for the preferential tariffs given under New Zealand’s free trade agreements and closer economic partnership agreements. Because the rules and procedures can be complicated, we recommend enlisting the assistance of a customs broker or freight forwarder.
Agreements on free trade
Tariff finder for free trade agreements
Tariff reductions
A tariff concession eliminates the need to pay Customs tax on an item.
You can find more information on concessions at:
The Working Tariff Document of New Zealand, Part II (Concessions).
List of Approvals as a Whole.
Charges and allowances
You may be required to pay customs duties and other fees for things you import privately or commercially.
Some of the most typical tasks and charges are listed below.
New Zealand’s Working Tariff Document
The Approvals Consolidated List
Taxes on imports
Customs duties on things you import will vary depending on their origin.
Our “What’s My Duty” calculator will tell you the most common charges if you’re a private importer. If you’re importing commercially, you’ll have to follow specific rules. The FTA Finder tool from the Ministry of Foreign Affairs will inform you which items are duty-free.
Short-payments
Short payments are when you haven’t made enough payments. Again, you can notify us freely or find out through an audit or other investigation.
If we send you an assessment notice, you must pay with cash or a check. We may impose a penalty if you do not pay by the due date.
Final thoughts on Exporting from Vietnam and Importing into New Zealand
In Summing Up, the New Zealand Customs Service protects and promotes New Zealand by securing our borders. Customs collaborates with other authorities to ensure that what enters our country is secure and will not jeopardize our security or livelihood.
The Customs Service of New Zealand investigates illegal behavior, collects money, and prosecutes when appropriate. Therefore, before starting an import-export business, it’s essential to know their customs and rules better and more professionally.
Cosmo Sourcing // Your Trusted Partner In Vietnam
If you want to source from Vietnam, contact the Cosmo Sourcing team; we have been helping clients source from Vietnam since 2014. Cosmo Sourcing has the skills and the team to find you the best supplier possible. We are also established in China and are among the only companies that can find suppliers in China and Vietnam and pick the one you think is best.
Our Vietnam Sourcing services allow you to access new manufacturers that you would not be able to in China and avoid Tariffs. Our services are designed to do everything to take your idea, turn it into a product, and ship it to the final destination. Cosmo can do everything from creating a product spec sheet to validating, sourcing, ordering, evaluating samples, arranging inspections, finding freight forwarders, quality assurance, negotiations, and shipping. We aim to handle every single step of your business in Vietnam for you.
If you start a new business, finding products and suppliers for your products is one of many things you need to handle. Our services are designed to handle every part of your business in China and Vietnam so you can focus on the rest of growing your own business.
We have helped clients from Fortune 500 companies, brick-and-mortar stores, FBA sellers, and brand-new businesses. So don’t hesitate to contact us and let us know how we can help you.