Vietnam lowers import preferential tax rates for multiple goods

On March 31st, the Vietnamese SA542 Type E steel government office announced that according to Decree No. 73/2025/ND-CP, the preferential import tax rates for several goods in the 23 year taxable goods list, including export tax tables, preferential import tax tables, commodity lists, absolute tax rates, mixed taxes, and import taxes outside of tariff quotas, have been modified and supplemented, involving goods such as automobiles, wood and wood products, liquefied natural gas, etc.

Specifically, the preferential import tax SA542 Type E steel rate for cars with HS codes 8703.23.63 and 8703.23.57 will be reduced from 64% to 50%, and the preferential import tax rate for cars with HS code 8703.24.51 will be reduced from 45% to 32%; Ethanol decreased from 10% to 5%; Liquefied natural gas has decreased from 5% to 2%. In addition, the import tax on wood and wooden products such as hangers, spools, seats and seat components, wooden furniture, etc. will be reduced from 20-25% to 0%. This regulation will take effect immediately on March 31st. According to the Vietnam Timber and Forest Products Association (Viforest), Vietnam is currently the second largest consumer of American timber in Asia and the fourth largest in the world. The regulation of the preferential tax rate adjustment will take effect immediately after its promulgation, reflecting Vietnam's goodwill. It is hoped that the import and export of timber and timber products will not be affected in the short term. Before the US government is expected to make a new statement on tariff reciprocity with other countries on April 2nd, Vietnam has already lowered import taxes on a series of SA542 Type E steel goods, and the heat of this event has increased