AmCham Vietnam
Advocacy

AmCham Vietnam continues to be focused on COVID-19-related advocacy and support to our members, both at the Central and provincial-level.  We joined two events  organized by HCMC ITPC last Friday, September 10th, both virtually and in person, the latter chairmen by HCMC People’s Committee Chairman  Phan Van Mai, to provide feedback and business concerns and recommendations for a safe reopening.  We will be providing feedback to HCMC authorities on the draft reopening plan Monday, based on feedback we have received from our Committees.  We will also be providing feedback to Da Nang authorities in writing early this week, and virtually to Ba Ria Vung Tau’s Chairman on Tuesday.

Tuesday afternoon will also provide an opportunity to hear from U.S. Mission energy experts and share concerns about the regulatory environment at our Energy Committee meeting Tuesday at 4PM, including a proposal t extend the Wind FIT  Our Advocacy Panel will also be reviewing advocacy from our F&B Committee on advertising, on the Healthcare Committee’s White Book.

See LINK for this week’s report. Please continue to share your feedback on policy challenges and recommended solutions to relevant Committee Chairs and [email protected]

AmCham Vietnam continues to be focused on COVID-19-related advocacy and support to our members, both at the Central and provincial-level. We were honored to meet with HE Prime Minister Pham Minh Chinh on September 4^th. We are also seeking a meeting with new HCMC People’s Committee Chairman Phan Van Mai, and also will seek meetings with other local authorities in Binh Duong, Dong Nai, Long An, and possibly Ba Ria Vung Tau, and/or Da Nang. Last week, we also submitted a position paper on Decree 72 on Internet Services, signed jointly with the U.S. ASEAN Business Council, and also submitted comments on the Decree via the VBF. This week, we will be considering position papers on bank transfers and non-cash payments at our Capital Markets and Financial Services Committee. We also will consider a position paper to request an extension of the Wind Power Feed in Tariff through our Energy Committee.

Meeting with HE Prime Minister Chinh. The AmCham and U.S. Embassy teams were particularly busy both last week and over the weekend working with the Ministry of Foreign Affairs and the U.S. Mission to organize a meeting with Prime Minister Pham Minh Chinh, Charge d”Affaires Chris Klein, and key representatives of the U.S. business community. The intent was to follow up from VP Kamala Harris’ visit to discuss how to maintain U.S. manufacturing operations and supply chains in Vietnam. We separately were seeking a meeting with HCMC People’s Committee Chairman Phan Van Mai. Event planning for the PM meeting went through multiple permutations. Originally, it was only going to be an in-person event in Hanoi. In the end, iit was a hybrid event, with virtual participation including a cross-section of mostly major AmCham member manufacturing companies, as well as representatives of multiple Central government ministries, and leaders of HCMC, Binh Duong, and Dong Nai provinces. There was a full discussion of U.S. business concerns, and we expect at least some to be addressed in the resolution the Pm announced will be issued his week on the Government’s support for business during COVID. Following issuance of that resolution and possibly new policies in HCMC and neighboring provinces, we again will seek meetings with provincial authorities. 

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The meeting, organized by the Ministry of Foreign Affairs and the U.S. Mission in Vietnam just after the visit of Vice President Kamala Harris, focused on partnering to fight COVID and maintain U.S. manufacturing operations and supply chains in Vietnam.

PM Chinh presided over the meeting, joined by MPI Minister Nguyen Chi Dung, MIC Minister Nguyen Manh Hung, MOFA VM Nguyen Quoc Dung, MOIT VM Do Thang Hai, MOT VM Le Anh Tuan, MOF VM Vu Thi Mai, MOH VM Trung Quoc Cuong, MPS VM Luong Quang Tam, and leaders of HCMC, Binh Duong, and Dong Nai provinces.

AmCham Vietnam continues to be focused on COVID-19-related advocacy and support to our members, both at the Central and provincial-level.  We will also be seeking virtual meetings with provincial authorities in Binh Duong, Dong Nai, Long An, and Da Nang.   Please provide any comments on Decree 72 on Internet Services no later than noon on Tuesday, August 24, to allow inclusion in upcoming advocacy. Please continue to share your feedback on challenges and recommended solutions in these provinces – and HCMC and nationally to [email protected]

Environmental Protection Law Decree and Functional Food Advocacy.  AmCham’s F&B and ESG Committees coordinated comments regarding the draft decree IMPLEMENTING CERTAIN ARTICLES OF THE LAW ON ENVIRONMENTAL PROTECTION.  The position paper included recommendations regarding Chapter VII of the Draft Decree – Producers’/Importers’ Responsibilities for Waste Product and Packaging Recycling and Treatment (hereinafter referred to as the “Draft Decree”), to ensure compliance with international practices, without negative consequences on production activities and consumers, and to allow implementation to be more convenient. The ESG Committee also submitted comments to the VBF Environment Working Group on other aspects of the EPR Draft Decree.  Separately, we submitted a position paper coordinated by the F&B Committee to PROPOSE A SOLUTION TO REMOVE AN OBSTACLE FOR THE FOOD SECTOR IN DECREE 38/2021/ND-CP prescribing penalties for administrative violations involving cultural and advertising activities (“Decree 38/2021/ND-CP”).

Central Government COVID-19 Advocacy.  Last week, we provided input to the Central government sharing COVID response recommendations, both directly to the Ministry of Planning and Investment (MPI) and Office of the Government, jointly with the U.S.-ASEAN Business Council, and together with AmCham Hanoi, via the Vietnam Business Forum (more details at Advocacy Update).  Link to VBF input. While many of these recommendations focused on the manufacturing sector (at MPI request), we continue to be interested in concerns of all our members.  Please continue to share your feedback directly to [email protected], and through your committee leaders. We hope to have additional dialogue soon at the Central and HCMC-levels, as well as in Binh Duong, Dong Nai, Long An, and other hard-hit provinces, based on member interest. 

HCMC COVID-19 Advocacy.  While rumors swirled about what comes next in HCMC, AmCham, together with five other foreign business associations and key FDI businesses, including Intel and Jabil, joined a constructive 2&1/2-hour meeting on Friday, August 20, with HCMC leaders to discuss “Difficulties and Solutions for Recovery in the Context of COVID-19”. Party Secretary Nen, Chairman Phong, and VC Hoan listened intently to concerns of the foreign business community and discussed the extraordinary challenges they face trying to protect both lives and livelihoods, with caseloads rising at the same time as more business closures.  They also expressed appreciation to AmCham, our members, and other business associations for our ongoing support of the HCMC government’s COVID response (more details at Advocacy update).  AmCham remarks at link.

All business associations noted the significant impact on business to date and the risk to supply chains and investment in Vietnam if the situation continued and shared similar key concerns: 1) need for more transparent, equitable, safe vaccine rollout;  2) need for manufacturing options beyond 3 on site and 1 road, 2 stops; 3) more availability of rapid tests; 4) more ability by local authorities to isolate rapidly those who are found positive vs shutting down factories or isolating at factories;  5) need for coordinated regulations to allow circulation of essential products; 6) relaxation of overtime caps; 7) reduction in PIT, CIT, and electricity rates; and 8) streamlined approvals for fully-vaccinated foreign experts, managers, and investors.

City leaders expressed determination to reach the PM’s targeted September 15th date for relaxation of social distancing rules (return to Directive 15) and the desire to work with businesses to minimize to facilitate safe operations and enable economic recovery and sustainable growth.  RE specifics, Chairman Phong explained that HCMC would: A). continue “3 on site”; B) continue “1 route, 2 or 3 stops”; C) pilot “4 Greens”: Green Workers, Green Route, Green Workplace, Green Dwelling, with more detailed guidance; and D) allow a Combo of all 3. He added, as PS Nen had said, there may be other options to continue health and safety of workers and business continuity.  Chairman Phong noted that HCMC would continue a VC-led COVID-19 Business Response Task Force, and also stated that HCMC would report to the Central Government regarding additional matters such as tax or utility relief or overtime caps.   

As became clear later in the day, Chairman Phong resigned as Chairman to take a position in Hanoi, and the Central government sent in the military to support stricter lockdown measures, beginning at midnight on August 23^rd.  While initially unclear communications caused many of HCMC’s 13 million residents to run to supermarkets to stock up, causing potential super-spreader scenarios, later clarification that eased the panic. However, Sunday evening, local media reported that all residents will be required without exception to “stay where they are.”   Fasten your seatbelts, breathe deeply, stay calm, stay home, and expect further updates and clarifications.  AmCham looks forward to working with both Central and provincial authorities to fight the COVID pandemic and promote the dual goals of protecting lives and livelihoods, hopefully with greater coordination in the days ahead…

AmCham Vietnam continues to be focused on COVID-19-related advocacy and support to our members, both at the Central and provincial-level.  We will also be seeking virtual meetings with provincial authorities in Binh Duong, Dong Nai, Long An, and Da Nang.  See LINK for this week’s report. Please continue to share your feedback on challenges and recommended solutions in these provinces – and HCMC and nationally to [email protected]

 AmCham Vietnam continues to be focused on COVID-19-related advocacy and support to our members. We held a joint virtual briefing last Wednesday, August 11^th, for our Board members, Advocacy Panel, and Corporate Partners with the U.S.-ASEAN Business Council.  We shared feedback from the Prime Minister’s August 8^th meeting with the business community, where USABC Vietnam Country Rep Vu Tu Thanh presented joint concerns of USABC and AmCham, the August 4^th townhall with VCCI President and CEO Vu Tien Loc where I presented on behalf of AmCham, and our upcoming meeting with HCMC leaders, now expected to take place on Wednesday, August 18^th.  We will also be seeking virtual meetings with provincial authorities in Binh Duong, Dong Nai, Long An, and Da Nang.  Please continue to share your feedback on challenges and recommended solutions in these provinces – and HCMC  and nationally – to [email protected]

We are also finalizing position papers on advertising requirements for “functional foods”, comments on the new draft decree for the Environmental Protection Law, and on Draft Decree101 on non-cash payment.  We also welcome comments no later than Friday, August 20^th on Draft Decree 72, Internet Services and Online information. We know the situation is fast-changing. Please keep us apprised of your issues and concerns. If you have interest in these or any other advocacy matters that require AmCham support, please contact relevant Committee leaders and/or [email protected].

We continue to focus on COVID-related advocacy.  We also shared with VNF our 2021 priorities, coordinated with AmCham Hanoi. And we are finalizing position papers on the Draft Environmental Law and Draft Decree101 on non-cash payment, awhile welcoming comments on Draft Decree 72, Internet Services and Online information, We know the situation is fast-changing. Please keep us apprised of your issues and concerns. See LINK for this week’s report. If you have interest in these or any other advocacy matters that require AmCham support, please contact relevant Committee leaders and/or [email protected]. 

This was a busy week for advocacy.  We received a request on Wednesday morning from the Vietnam Business Forum asking us for our AmCham 2021 priorities by 5PM to share with the Ministry of Planning and Investment for an upcoming meeting with the Prime Minister.  See detail at Advocacy Report. Thank you to all who participated in our Flash Survey last week. 

Your feedback on our Flash Survey – AmCham Vietnam COVID-19 Concerns was extremely helpful to my remarks at a townhall meeting with VCCI Chairman and President Dr. Vu Tien Loc on Wednesday afternoon, and for input we shared with the US-ASEAN Business Council (USABC) for a meeting announced on Friday afternoon and held today, Sunday morning in Hanoi with the Prime Minister (with virtual links to provincial People’s Committees), to discuss the government’s COVID-19 response with the business community (all local except USABC and KoCham) and relevant ministries.

We plan to share survey feedback with you, together with more details on our COVID-19 advocacy to date and any Vietnamese government response, as well as a COVID-19 public health update, on Thursday morning at 9AM – SAVE THE DATE – participants and details still being confirmed.

We are also finalizing feedback for the Vietnam Business Forum on the new Environmental Law and on Draft Decree on non-cash payments.  We also welcome feedback on Draft Decree 72 on Internet Services and Online Information. 

We know the situation is fast-changing. Please keep us apprised of your issues and concerns. See LINK for this week’s report. If you have interest in these or any other advocacy matters that require AmCham support, please contact relevant Committee leaders and/or [email protected]. 

We continue to focus on COVID-related advocacy, as noted above.  We know the situation is fast-changing.  Please keep us apprised of your issues and concerns.

It was very useful to be in Washington DC last week to meet with U.S. government officials and business organizations, as well as the Vietnamese Embassy to discuss member interests – both short and longer-term.  It was particularly good to meet with one of the lead staff planning VP Harris’ visit and discuss our concerns re the urgent need for more vaccines and medical equipment. But it is also good now to be back in HCMC, where time zones make it easier to connect, hear you concerns, and advocate on your behalf.

Last week’s visit of Secretary of Defense Lloyd Austin to Hanoi highlighted the importance of the U.S.-Vietnam security partnership. Including COVID response and war legacy cooperation. Vice President Kamala Harris’ visit later this month will also focus on regional security and economic issues, as well as the global response to the COVID-19 pandemic, and climate change.  We hope it will also include contributions of additional vaccines and/or medical equipment.

We are excited this week on August 5 to host a virtual event in partnership with the U.S. Consulate on ”Vietnam’s Role in Building Resilient Supply Chains: Short and Long-term Challenges.  Charge D’Affaires (Acting Ambassador Chris Klein will provide opening remarks.   The expert panel will include the State Department’s lead official handling global supply chain issues, Deputy Assistant Secretary Matt Murray, together with Intel Vietnam VP and Manufacturing and Operations GM KH Ooi, First Solar Vietnam Managing Director KJ Ung, and SSA Marine VP Soren Pedersen. Please register now to join this important event, taking place as Vietnam’a supply chains and U.S. hi-tech and consumer product supplies from Vietnam are under severe strain.  We think the event will increase U.S. government and Vietnamese  government awareness of the importance of U.S. supply chains in Vietnam, and the continued urgent need for more vaccines and medical equipment for Vietnam’s COVID response in the lead-up to the VP visit.

 We know many of you are concerned about media and social media reports of vaccine distribution which seem counter to Decision 3355 and the stated priority risk groups.  We continue to advocate to the Vietnamese government for transparent, equitable, efficient distribution of vaccines according to the priority risk groups stated in Decision 3355. To save lives, it is critical that the most at-risk, vulnerable individuals are vaccinated first.

If you have interest in these or any other advocacy matters that require AmCham support, please contact relevant Committee leaders and/or [email protected].

AmCham Executive Director Mary Tarnowka is now in Washington, DC, meeting with USG officials and colleagues at the U.S. Chamber, U.S. ASEAN Business Council (US-ABC), and think tanks.  All recognize the importance and potential of the U.S.-Vietnam bilateral comprehensive partnership and the economic partnership. There also is increasing awareness about the severity of COVID outbreaks in the Southeast Asian region, including in Vietnam, and the impact on supply chains. And I heard urgent requests by Vietnamese Ambassador Ha Kim Ngoc for AmCham contributions of critically-needed medical equipment to help support the Vietnamese government’s COVID response, particularly in HCMC and the south.

But COVID cases aren’t just growing in Vietnam and Southeast Asia. There is also a surge in the United States – despite widespread availability of vaccines – caused in large part by the highly transmissible Delta variant. That surge, almost exclusively among the unvaccinated, means the United States once again has the highest number of new COVID cases in the world, surpassing Britain, Indonesia, India, and Brazil.

Partnering with Vietnamese Government on COVID-19 Response and Vaccine. Partnering with the Vietnamese government to support its efforts on COVID-19 control remains AmCham’s top priority. We continue to advocate for the United States to donate additional vaccines to Vietnam, and for Vietnam to distribute more vaccines to HCMC and the southern region, now the epicenter of Vietnam’s fourth wave. We welcome the clarification of Vietnamese government plans in Decree 3355, and encourage equitable distribution according to priority groups. We were thrilled to see the U.S. government donate another 3 million doses of Moderna vaccine to Vietnam this weekend. We plan to hold an event focused on Vietnam’s Role in Building Resilient Global Supply Chains: Managing the Current COVID Outbreaks with industry and both U.S. and Vietnamese government participation on August 5^th at 6PM; save the date!  We also are trying to do our best to keep you informed and support your business operations. Please keep us apprised on your COVID-related questions and concerns.

Section 301 Currency Punitive Actions Averted. While we recognize the current COVID outbreaks and lockdown measures in Vietnam are your most pressing business concerns, let’s celebrate a major win!  USTR determined on July 23rd that no action is warranted now on the Section 301 currency investigation, based in large part on the bilateral currency agreement announced by the Treasury Department earlier in the week. If USTR’s determination had been different, tariffs could have been imposed on Vietnamese exports to the US.  AmCham Vietnam, including AmCham Hanoi, together with over 70 business associations, signed onto a recent U.S. Chamber letter to USTR recommending against such punitive actions.  Links below to the advocacy letter, a recent Inside U.S. Trade article LINK, and USTR and TREASURY announcements  LINK. Note that the 301 timber investigation is ongoing, with active discussions between relevant U.S. and Vietnamese ministries and agencies, but reportedly on a positive track. No finding has yet been reported, the first step before USTR determines any necessary actions. Both 301 investigations, initiated in October 2020 under the Trump Administration, are scheduled to conclude by October 2, 2021.

Prospects for Strengthening U.S.-Vietnam Bilateral Trade and Investment Ties. While many I met with in the private sector would love to see the United States enter CPTPP, there is unanimous recognition that any move in that direction won’t be possible until after the November 2022 mid-term elections. There is strong interest to seek ways to strengthen trade and investment ties in the interim, though lack of clarity on how to do so under the Biden Administration’s “worker-centric” trade policy, beyond a need to address concerns of environmental and labor groups. It clearly means preventing forced labor such as that involved in Xinjiang cotton. Does “worker-centric” also include agricultural workers? Does it include the effect of trade on the cost and availability of consumer goods purchased by workers?  While those answers are not yet clear, the issues we focus on in our Environment, Social, and Governance Committee will likely be of increased interest and relevance to the U.S. Government under the Biden Administration.

The general consensus from what I have heard so far appears to be that the best prospects for Vietnam in the near-term are to ensure full implementation of 301 agreements, seek an enhanced Trade and Investment Framework Agreement (TIFA), avoid problematic digital trade regulations, and seek to participate in a possible U.S.- ASEAN (or smaller group) Digital Trade Framework, that could lay groundwork for a possible Digital Trade Agreement.

Breakfast with Vietnamese Ambassador to the United States Hà Kim Ngọc.  Ambassador Ngoc hosted me for a delicious phở gà breakfast with Economic Section colleagues. He thanked me for AmCham’s contributions to strengthening the comprehensive partnership, helping avert 301 currency sanctions, and advocacy to support US vaccine contributions.  He expressed deep gratitude for the 5 million doses of vaccines donated by the United States, and encouraged continued advocacy for additional vaccines.  He also made a plea for urgent contributions of critically-needed medical equipment and supplies, including ventilators, oxygen, ECMO, blood monitors, and COVID treatment drugs, especially to HCMC.

Amb. Ngoc and his team listened intently to AmCham recommendations on ways to continue business operations during COVID, including a focus on HCMC, Binh Duong and surrounding areas; expediting approval for imports of rapid antigen tests; support for worker housing; liberalized overtime rules; inclusion of those involved in the manufacturing of essential food and animal feed as priority groups; and strengthened inter-provincial coordination, especially on transportation.

Amb. Ngoc took on board concerns about recent draft digital economy decrees and agreed on the importance of a regulatory environment that welcomed foreign technology companies that are often key partners for innovative Vietnamese companies. He welcomed any possibilities to enter into negotiations for an U.S.- ASEAN Digital Trade Agreement.

He repeatedly stated that the U.S.-VN comprehensive partnership is win-win for both because of our many shared interests, not win, win for one-side only the Chinese way. And he said President Phuc had expressed his deep appreciation for the U.S. vaccine donations through stating the old proverb, “A friend in need is a friend indeed.”

If you have interest in these or any other advocacy matters that require AmCham support, please contact relevant Committee leaders and/or [email protected].

AmCham advocacy this week focused on informing the U.S. and Vietnamese government on the effect of COVID-19 outbreaks on manufacturing operations and supply chains in HCMC and surrounding provinces and seeking additional vaccines and support, Special 301 tariffs, Resolution 68 on Business Reforms, and regulatory concerns of our Healthcare and F&B Committee.  We are working on advocacy to request the Vietnamese government expand its COVID-19 focus and support beyond HCMC as nearby provinces like Binh Duong also experience serious COVID outbreaks, and to seek approval for imports of self-test kits.  We are also collecting comments for the Vietnam Business Forum on Special Investment Incentives, due on July 20.  Ambassador- designate Marc Knapper’s confirmation hearing testimony highlights his key priorities, if confirmed as U.S. Ambassador.

COVID-19 Advocacy. We invited U.S. and Vietnamese government officials, as well as media, to join our July 13 event, Maintaining Manufacturing Operations During COVID -19, to learn more about the impact of COVID-19 outbreaks on our member companies’ operations and the potential impact on U.S. global supply chains.  It received good press coverage locally, in Tuoi Tre plus, and we understand it helped inform the U.S. decision to donate 3 million additional doses of Moderna vaccine to Vietnam. We are working on advocacy to request the Vietnamese government expand its COVID-19 focus and support beyond HCMC as nearby provinces like Binh Duong also experience serious COVID outbreaks, and to seek approval for imports of self-test kits. Draft letters have been shared with our Advocacy Panel.

Advocating Against Potential US Imposition of Tariffs on Vietnam under Section 301. We joined the US Chamber of Commerce and 74 other business associations to send a joint letter to US Representative Katherine Tai advocating against imposition of tariffs on Vietnam under Section 301. LINK. I also shared my concerns in an interview with Inside US Trade. LINK

OOG Consultations on Resolution 68 on Business Reforms.  On July 14, Chairman Chad Ovel and Board Member Hang Nguyen joined a Consultation Panel with the Office of the Government’s Administrative Procedure Control Authority (ACPA), together with USABC and other economic advisors  to discuss ways to reduce business regulations to improve the business environment, particularly for SMEs.

VBF Request for Comments on Special Investment Incentives. The VBF has requested comments on a draft decision regarding Special Investment Incentives. This issue has been discussed at our VBF & Legal Committee.  Our Advocacy Panel is coordinating a response.  If you have any comments, please send to [email protected] by COB Monday, July 19.

USG Priorities.  Ambassador-designate Marc Knapper’s confirmation hearing testimony, on July 13th, highlights his key priorities, if confirmed as U.S. Ambassador.  These include strengthening the security partnership, ensuring market access for U.S. products and services, and promoting human rights in Vietnam.  See LINK for recorded video of hearing and  Amb-designate Knapper’s statement. LINK

If you have interest in these or any other advocacy matters that require AmCham support, please contact relevant Committee leaders and/or [email protected].

AmCham advocacy this week focused on HCMC’s COVID Response, Special 301 tariffs, and regulatory concerns of our Healthcare and F&B Committee. We are also working on advocacy to request the Vietnamese government expand its focus beyond HCMC as nearby provinces like Binh Duong also experience COVID outbreaks, and to seek approval for imports of self-test kits. Please see discussion at LINK. If you have interest in these or any other advocacy matters that require AmCham support, please contact relevant Committee leaders and/or [email protected].  If you have interest in HCMC’s COVID-19 response, please also join our Tuesday, July 12, 830AM Flash Briefing. 

HCMC COVID-19 Response.  On July 6, AmCham met virtually with HCMC leaders, together with foreign missions, international organizations, and other foreign business associations based in HCMC to discuss the COVID-19 pandemic and sharp increase in cases in HCMC, HCMC’s planned response, and areas for partnership and collaboration. Chairman Chad Ovel represented AmCham; several of our Board members and corporate partners were also able to join.

Vice Chairman Duc expressed appreciation for support for HCMC’s COVID-19 response, including financial contributions. He updated on HCMC planned COVID-19 response and vaccination strategy, to achieve the dual goals of pandemic control and economic growth, and welcomed feedback.

Chairman Ovel expressed appreciation for the City’s response and the meeting. He respectfully requested authorization of the use of self-test kits (rapid antigen tests) for the purpose of companies to test their workforce and keep their businesses open and clarification of any criteria for factories to create “tent-camp” quarantines inside their factories for purpose of continuing production after a F0 is detected in the workforce. He encouraged the HCMC People’s Committee to start considering new approaches to quarantining F1 and F2 cases such as home quarantine rather than centralized quarantine, as the total number of F1 and F2 may soon exceed the capacity of centralize quarantine facilities, and suggested the PC closely follow the reduced foreign expert quarantine of 7 days for vaccinated arrivals in Quang Ninh for rapid adoption in HCMC, noting Hong Kong had already adopted a proven approach to reducing arrival quarantine to 7 days for vaccinated individuals. He also noted the importance of coordinating policies and support with nearby provinces, noting that new restrictions were limiting transportation between HCMC and Ba Ria Vung Tau, further straining supply chains.

VC Duc expressed openness to corporate use of self-test kits and called on industry support to secure additional supplies. He also stated such “tent camps” could be permitted if they met criteria on health and workers safety, and said over 100 had already been approved. He explained quarantine options, including public quarantine, and hotels, and stated that HCMC would be the first to adopt a 7-day quarantine for fully vaccinated individuals if the Quang Ninh pilot program proved effective. He stated that the City was still considering plans whether to again implement Directive 16  (Note: it was implemented later that week, effective July 9).   He stressed HCMC’s focus on the dual goals and ensuring “No one left behind”, stressing that all policies would include both Vietnamese citizens and foreign residents, noting the contributions made by foreign residents to HCMC’s prosperity and development.

Section 301: In addition to advocacy to support the Vietnamese government’s response to COVID-19 discussed above and at LINK, AmCham signed a joint letter with the U.S.Chamber of Commerce and other business associations, advocating to U.S. Trade Representative Katherine Tai NOT to impose Section 301 sanctions on Vietnam’s exports to the United States due to investigations of currency manipulation and import and use of illegal timber. Media have reported that threat is real. Bilateral discussions continue, including a multi-agency virtual meeting on Friday, July 9.

Other Advocacy in the Pipeline:  AmCham’s Advocacy Panel is currently reviewing advocacy submitted by the F&B Committee to the Ministry of Agriculture and Rural Development regarding the reform of administrative procedures for quarantine for pre-packaged processed food, as well as advocacy submitted by the Healthcare Committee Medical Device Subcommittee to the Ministry of Health on the draft decree regulating capital borrowing, capital mobilization, joint venture, partnership, asset lease, and service provider engagement by public non-business units in health and population sectors.

AmCham also has advocated that the Vietnamese government expand its focus beyond HCMC as nearby provinces like Binh Duong also experience COVID outbreaks, and to seek approval for imports of self-test kits, and will follow this up with formal letters and postion papers.

If you have interest in these or any other advocacy matters that require AmCham support, please contact relevant Committee leaders and/or [email protected]. 

On June 30, we joined a meeting with DPM Pham Binh Minh to discuss Vietnam’s COVID response and opportunities to strengthen the US-Vietnam economic partnership.  We also sent a letter to HCMC authorities in advance of this week’s COVID-19 response meeting.

The meeting with DPM Minh and  US Charge Chris Klein, was organized by the US Chamber, USABC, and BCIU.  DPM shared Vietnam’s top economic priorities including:

(1) improve the quality of economic institutions

(2) encourage business to participate in improving technology, robust technological innovations in international cooperation on science and technology

(3) boost human resource development to meet the demand for skilled labor in the era of the fourth industrial revolution and digital transformation

(4) in calling on attracting investments, focus on the shift from quantity to quality, with high added value, taking the technology used as the most significant parameter, for choice of FDI together with environmental protection and sustainable development

(5) develop coherent and modern infrastructure systems, particular 3 types of infrastructure: energy, transportation, and digital.

US private sector organizations focused on supporting the COVID response to enable a safe reopening; strengthening trade and investment through an enhanced Trade and Investment Framework Agreement and possible Digital Economy Agreement; and facilitating infrastructure and energy investment to enable sustainable growth.

AmCham’s top advocacy priority remains partnering with the Vietnamese government to support its actions on COVID-19 control and vaccines.

On June 20th, we sent a joint letter to DPM Vu Duc Dam, together with EuroCham, USABC, AusCham, BritCham, and CanCham. The letter conveyed our support and appreciation, as well as suggested policy recommendations, including updating the vaccine priority list in Resolution 21, and establishing a more transparent mechanism for contributions.

We also participated in a joint June 22 meeting with MOH VM Thuan to discuss these issues. AmCham Vietnam was represented by Vice Chair and Intel Products Vietnam and Malaysia Public Affairs Director Uyen Ho, and Healthcare Committee Co-Chairs Pharmacity Founder and CEO Chris Blank and KPMG Vietnam Managing Director Strategy, and Head of Healthcare and Life Sciences Practice Luke Treloar.

VM Thuan seemed receptive to our recommendations to include workers at polyclinics and pharmacies, as well as pharmaceutical and medical device distributors, as frontline healthcare workers, and workers at ports as frontline workers. He also seemed receptive to our suggestion that those involved in retail sales of food and beverages also be considered a priority group given the vital role they play on the frontlines distributing essential products.

Please see discussion in newsletter above and at LINK. If you have interest in these or any other advocacy matters that require AmCham support, please contact relevant Committee leaders and/or [email protected].

COVID-19 Vaccines Plus: What AmCham is Doing for You

AmCham’s major focus in recent weeks has been to provide you, our members, with accurate expert information about COVID, and to advocate to support your concerns.  We have held panel discussions with public health, vaccine, and healthcare experts on the latest outbreaks in Vietnam and regional and global developments in a series of events called COVID-19 Virus, Variants, and Vaccines (recordings of all but the Chairman’s Circle event available on our homepage – free to members).  We conducted a May 28-31 member survey to inform our advocacy.  Our June 9 briefing discussed survey results and latest developments; see summary below:

What We are Doing:  We are working closely with both the Vietnamese and U.S. governments to support the Vietnamese Government’s effort to secure adequate supplies of proven vaccines; provide equitable access within priority groups; create transparent private sector financing mechanisms; clarify priority groups; and support the vaccine rollout.

Good News:  The good news is Vietnam has secured access to at least 120 million doses of proven vaccines in the last week, including finalizing a contract with Pfizer-BioNtech for 31 million doses. Vietnam is continuing negotiations for additional vaccines, as well as possible tech transfers to allow local manufacturing.  And in addition to the vaccine sharing announced by the White House on June 3 (exact quantities and delivery dates not specified from the 7 million targeted for several SA and SEA countries), the G-7 announced 1 billion doses of vaccines to be donated to low and middle-income countries, with 500 million of Pfizer vaccines donated by the United States. Again, no specific amount announced for Vietnam, but it is likely to be in the mix of recipient countries. Vietnam has committed to equitable access for Vietnamese citizens and foreign residents within the priority groups. And we understand the Ministry of Health is updating and clarifying the priority groups, so we have an opportunity to weigh in.

Good and Bad News:  The mixed news is that vaccines are likely to start arriving in greater quantities in July, with the bulk of what is already committed arriving in late Q3, Q4, and Q1 2022., likely not as early as you would hope.  And the Government now seems to be realizing that vaccine rollout may as be as challenging as securing vaccine access. A shorter possibly 7-day quarantine period for vaccinated individuals is being considered, but will likely not happen soon.

Bad News:  The bad news is there is not yet full clarity on exactly when vaccines will arrive in Vietnam. And there is no way to place an order, at least not for a Western vaccine. While rumors and “brokers” abound, the Government has alerted all to concerns about making deals with unauthorized representatives, since counterfeit or improperly stored vaccines could be lethal. Offers of special access could risk leaving other higher risk priority groups unvaccinated. The Vietnamese government has created a Vaccine Fund, but there is currently no mechanism to contribute for the costs of employee and possibly family member vaccinations, or to make a charitable contribution and have transparency on how that money will be spent is being spent.

We learn of new developments constantly, and are working with AmCham’s ExCom, Healthcare Committee leadership, and partner chambers and business associations to advocate on your behalf. We will do our best to keep you apprised. Please contact us at [email protected] if you have any questions or concerns.

Partnering with Ho Chi Minh City Authority on Vaccines Plus:  I was honored to discuss multi-chamber support for GVN vaccination plans with HCMC People’s Committee Vice Chair Duong Anh Duc, and representatives of DOH, ERO, DPI, and FF. AmCham, represented by Vice Chairs Intel’s Uyen Hồ and Suntory PepsiCo’s Jahanzeb Khan, together with EuroCham Vietnam, British Chamber of Commerce Vietnam, Australian Chamber of Commerce Vietnam, CanCham Vietnam, together with US-ASEAN Business Council, and our member companies, all stand by ready to support and partner on this important initiative!

AmCham Vietnam advocacy is focused on partnering with the Vietnamese government to support its efforts to secure adequate supplies of proven vaccine, and distribute them transparently and equitably, according to priority groups. Join our Members-only COVID-19 Virus, Variants, and Vaccines: Virtual Business Intelligence Briefing on Wednesday, June 9, at 10AM to hear the latest updates on the public health situation, prospects for vaccines, results of our member survey on COVID-19 vaccines, and AmCham advocacy on your behalf.  To be clear, AmCham has no secret stock of vaccines and is not taking orders at this time.

We support the Vietnamese Government’s COVID-19 control efforts, including securing adequate quantities of proven vaccines, and facilitating equitable, transparent access and policies for our members to pay costs of vaccinating their employees and contribute toward costs of the general population.  Our recent survey results will help inform these efforts.

We have advocated for the U.S. Government to consider Vietnam as a priority country for “vaccine diplomacy”, and are delighted that the White House announced on June 3^rd that Vietnam will be among the priority countries in the first tranche of the U.S. Government’s global vaccine sharing.

AmCham Vietnam Chair Chad Ovel, Vice Chairs Jahanzeb Khan and Uyen Hồ, Board Member Hang Nguyen, and Executive Director Mary Tarnowka were honored to meet (virtually) with Vietnam Ambassador to the U.S. Ha Kim Ngoc to discuss cooperation on vaccines plus on Friday, June 4^th. We welcomed the White House announcement of Vietnam as a priority country for U.S. vaccines, and voiced AmCham support for GVN efforts to secure additional vaccines and ensure equitable access according to priority groups. We also discussed other areas to work together to strengthen the U.S.-Vietnam economic partnership, including: Enabling a Safe Reopening and Recovery; Building Infrastructure for Sustainable Growth; Developing a Globally Competitive Workforce; and Strengthening the Trade and Investment Relationship: Laying the Groundwork for an Eventual FTA.

Last week, we also submitted a position paper to the Customs Authority regarding concerns of our F&B Committee regarding a draft decree proposing regulations on quality and state inspection on food safety for imported commodities, following up on earlier advocacy.

If you have interest in this or any other advocacy matters that require AmCham support, please contact relevant Committee leaders and/or [email protected].  More information on AmCham advocacy at LINK.

AmCham Vietnam wants to partner with the Vietnamese government to support its efforts to secure additional supplies of proven vaccine, and distribute them transparently and equitably, according to priority groups. We encourage the U.S. government to consider Vietnam as a priority pilot country for “vaccine diplomacy”. Our survey results will help inform these efforts.  If you are an AmCham member, please complete the survey immediately if you have not already done so.

AmCham Vietnam is advocating that the United States consider Vietnam a priority country for U.S. “vaccine diplomacy”. Vietnam is an important partner of the United States for economic, geopolitical, and cultural reasons. U.S. provision of vaccines to Vietnam would strengthen America’s standing as a trusted partner with Vietnam and demonstrate its commitment to the Indo-Pacific region.

This humanitarian action is especially urgent while Vietnam is dealing with its fourth and most widespread wave, now with a new variant, with less than one percent of its nearly 100-million population vaccinated. That 100-million population includes an estimated 100,000 American citizens, for whom we also advocate for equitable access to vaccines accordingly to Vietnamese government priority guidelines.

Increased supply of vaccines in Vietnam would help enable the safe reopening and recovery of Vietnam’s economy.  It would support restoration and continuity of operations of global supply chains of U.S. technology, footwear, apparel, and furniture companies, many of which have relocated to or expanded operations in Vietnam as they decreased reliance on China.

It also would enable U.S. companies to supply the increased demand of Vietnam’s growing middle-class. It would help sustain Vietnam as our sixth- largest export market for U.S. agricultural exports, contributing jobs and livelihoods to American farmers and workers.  And it would enable Vietnam to continue to take actions to combat climate change through building infrastructure for sustainable growth, including investing in LNG, renewable energy, and agricultural technologies.

We are invested in the U.S.-Vietnam partnership. And we are invested in the future.  We believe the relationship between the United States and Vietnam is at one of its strongest levels ever. Vaccine diplomacy by the United States now is urgently needed in Vietnam and would be an incredibly effective use and demonstration of American soft power.

If you have interest in contributing to any other advocacy matters that require AmCham support, please contact relevant Committee leaders and/or [email protected].  More information on AmCham advocacy at LINK.

Last week, we submitted two position papers representing concerns of our Food & Beverages Committee members on inspection and goods labeling to Vietnamese authorities.  On May 17th, we sent the General Department of Vietnam Customs: Comments on the Draft Decree Stipulating State Inspection on Quality and Food Safety for Imported Commodities.  On May 18^th, we sent the Ministry of Science and Technology: Comments on the Draft Decree Revising and Amending Certain Provision of the Government’s Decree 43/2017/ND-CP Dated 14 April 2017 on Goods Labeling. The F&B Committee’s Working Group on Sugary Beverages also shared an informal summary of its concerns about a potential new excise tax with the U.S. Mission.

At our May 18^th Chairman’s Circle Dinner, we identified the need for follow-up advocacy on Enabling a Safe Reopening, particularly related to clarifying priority groups, advocating for a private sector role in supporting distribution of vaccines, and supporting a reduction in quarantine time for vaccinated individuals.

At our May 21 Ag Committee meeting, we discussed the need for additional advocacy to eliminate tariffs on certain raw materials to promote feed and livestock production, manage Vietnamese import restrictions on grains where harmful grasses have been detected, seek tariff reductions on U.S. pork exports, and facilitate a discussion with Vietnamese authorities on scientific findings related to Glyphosate.

If you have interest in contributing to these initiatives or any other advocacy matters that require AmCham support, please contact relevant Committee leaders and/or [email protected].

AmCham Vietnam, KOCHAM, and JCCH agreed to partner on advocacy on Work Permits for Foreigners and Enabling a Safe Reopening.  The Vietnam Business Forum (VBF) submitted comments on the New Draft Insurance Law, coordinated by AmCham’s joint VBF & Legal Committee.  The VBF Power & Energy Working Group submitted comments on the new draft circular on Direct Power Purchase Agreements.  F&B Committee draft position papers to Customs and MOST on inspection and labeling issues are being reviewed by AmCham’s Advocacy Panel now.

AmCham’s F&B Committee has prepared a draft position paper for Vietnam Customs commenting on the Draft Decree on State Inspection and Food Safety Inspection.  It has also prepared a draft position paper on the Draft Decree amending Decree 43/2017/ND-CP on goods labeling to submit to the Ministry of Science and Technology by May 18.  Both position papers now are being reviewed by AmCham’s Advocacy Panel.

AmCham’s F&B Committee recently co-hosted with Food Industry Asia (FIA) an event announcing a report on the Economic Impact of the Food Industry in Vietnam, conducted by Oxford Economics under the commission of FIA. The F&B Committee also held a virtual meeting on May 13 to brief U.S. Mission Vietnam officials on concerns relating to a possible new tax on sugary beverages.

The Vietnam Business Forum submitted comments on May 7^th on the New Draft Insurance Business Law to the Ministry of Finance, based in large part on comments provided by AmCham’s joint VBF & Legal Committee.  The VBF Power and Energy Working Group submitted comments to MOIT on the new draft circular on Direct Power Purchase Agreements on April 27th.

If you are an AmCham member and are interested in more information about the advocacy issues discussed above or have other policy advocacy matters that require AmCham support, please contact relevant Committee leaders and/or advoca[email protected].