The Vietnamese government is extending to three airlines—Cathay Pacific Airways, FedEx Corp. (FedEx), and Japan Airlines (JAL)—an exemption from import tax.
This after Deputy Prime Minister Vương Đình Huệ agreed to the proposal of the Ministry of Finance to exempt the three airlines from paying import tax, said a news report from the Vietnam News Agency.
Huệ has ordered the Ministry of Finance to implement the proposal and instructed Vietnam Customs to tightly supervise and control the import and use of duty-free goods by the three airlines to ensure these activities are used for the right purposes and are consistent with the law.
As directed by the Deputy PM, the import and use of duty-free goods by Hong Kong flag carrier Cathay Pacific Airways must be for the right purposes as described in Article 8 of the Agreement on Air Transport, which was signed by Vietnam and Hong Kong on September 10, 1999.
For Memphis-based FedEx, the goods must also be used for the right purposes as specified in Article 9 of the Air Transport Agreement signed by Vietnam and the United States on April 14, 2004.
For Tokyo-based JAL, goods must likewise be used for the right purposes as stated in Article 5 of the Air Services Agreement between Vietnam and Japan that was signed on May 23, 1994.
Earlier, the Deputy PM also reportedly agreed to exempt Singapore Airlines from import tax.
Photo: Myself (Adrian Pingstone)
