Announcing the commitment to join WTO in the field of ICT

The Department of International Cooperation (Ministry of Post and Telematics) has just announced Vietnam 's commitment to WTO accession in the field of Post and Telecommunications - IT.

Firstly , about computer services and related services: Vietnam (VN) has committed to open the market since 2001 with the signing of the Vietnam-US Trade Agreement (BTA). This agreement has eliminated most market access restrictions and allowed 100% US-owned companies to operate since 2001.

In negotiating accession to WTO, Vietnam has improved its direct investment environment: First, officially abolishing the restriction still reserved in BTA, accordingly, two years after Vietnam joined WTO, companies 100% foreign capital is entitled to provide services to all subjects, including Vietnamese individuals and organizations.

VT market promises to be more vibrant when Vietnam joins WTO.

Three years after joining, Vietnam allowed foreign companies to set up branches and provide services in Vietnam, provided that the branch head must be a resident in Vietnam. The commitment also allows service providers under the contract to bring foreign workers (experts, engineers .) into Vietnam to perform the contract.

Secondly , for express delivery service, in order to conclude negotiations on WTO accession with other countries, Vietnam committed to allow the establishment of a 51% foreign-invested joint venture upon accession and allow the establishment of public companies. 100% foreign owned company five years after joining.

In order to create favorable conditions for Vietnam's postal development after separating from the telecommunications sector, well performing the task of providing public postal services, Vietnam has negotiated to reserve an array of express delivery services. Private, meaningful trade, for VN postal business. It is the business of delivering information in the form of text, including information in the form of unpacked packaging, including direct advertising information. Two criteria to determine the scope of the reserve are the volume: less than 2kg and the price: 10 times the cost of a standard letter sent in the country at the first volume level and lower than 9 USD (9 USD) when sending international.

At the same time, in line with the orientation of building a competitive competitive business environment, Vietnam also committed not to discriminate between courier services and express delivery service providers, including postal services. VN main, for the type of courier service has allowed competition.

Thirdly , on telecommunications services, in the field of providing telecommunications services with network infrastructure (service providers owning transmission capacity and frequency band): Vietnam does not have additional concessions compared to the committed level. in the US-Vietnam Trade Agreement. In the field of basic telecommunications services (such as fixed and mobile phone services, data transmission, private channel leasing, .), foreign parties are only allowed to invest in the form of joint ventures with houses. Vietnam has been licensed, the maximum capital contribution is 49% of the legal capital of the joint venture.

In the field of telecommunications services without network infrastructure (service providers do not own the transmission capacity but have to re-lease the suppliers of network infrastructure): in the first three years after joining WTO, foreign parties are only allowed to invest in the form of joint ventures with licensed Vietnamese operators, the maximum capital contribution is 51% of the legal capital of the joint venture.

Three years after accession, the foreign party is allowed to freely choose a partner when establishing a joint venture and is allowed to raise its contributed capital to 65%. Particularly for VPN virtual private network services and value-added telecommunication services (email, Internet access, etc.), some big partners have special interests, which are provided on the market. network layer controlled by VN, we have a little more concession: be free to choose joint venture partners right after joining and are allowed to participate in the maximum capital of 70% of the legal capital of the joint venture.

Regarding the provision of cross-border telecommunications services (international telecommunications services): For landline and mobile services, overseas telecommunications service providers must adopt trade agreements with France. is established in Vietnam and licensed to provide international telecommunication services in Vietnam to reach customers in Vietnam.

For satellite services, VN commits that after three years of accession, it will expand the type of subjects, mainly multinational companies operating in Vietnam, if they satisfy the licensing conditions, they can be licensed. Direct use of satellite services by foreign service providers.

Vietnam also pledged to allow foreign parties to connect the capacity of marine optical cable (full-capacity) of the submarine cable routes that Vietnam is a member, with stations of Vietnam to land and sell this transmission capacity to International telecommunication service providers with network infrastructure (such as VNPT, Viettel, VP Telecom) are licensed in Vietnam. Four years after accession, foreign parties are allowed to sell the above capacity to licensed international VPN and IXP service providers (such as FPT, VNPT, Viettel, VP Telecom).

Private commitment to transform BCC business cooperation contract: In the telecommunications industry, foreign investors participating in business cooperation contracts (BCC) will be able to sign new agreements or transfer to the form Other impressions with conditions no less favorable than the conditions they are enjoying.

Hoang Hung