Term paper report: Trade barriers in Viet Nam

_______________________________________________________________ TERM PAPER REPORT Topic: TRADE BARRIERS IN VIETNAM Course: International Economic Instructor: Dr. Nguyen Binh Duong Name student: Nguyen Thi Hoang Yen Contents Preface I­The concept and classification trade barriers. 1. Concept 2. Classification of trade barriers a) Tariff barriers b) Non­tariff barriers II­The purpose of the trade barriers. 1. The establishment trade barriers 2. Purpose of trade barriers a) The purpose of the tariff barriers. b) The purpose of the Non­tariff barriers. 3. Advantages and disadvantages of trade barriers. a)Advantages b)Disadvantages III ­ Results and solutions trade barriers. 1. The result of the application of trade barriers for the economy 2. Solutions the remaining matter in the application of the tariff barriers. Conclusion Preface Over the way more than 5 years (from 2007 to 2013) engaged in The World Trade Organization (WTO), Vietnam has great progress marked the development of the economy. Particularly in international trade, Vietnam has a certain position in the international marketplace. The wider goal of integration is global economy. Economic Globalization is through free­trade activities channel. It is seen as a giant bridge connecting trade between countries. However, Vietnam still exist difficulties that are barriers to trade in the integration process. The question arises that how to overcome these barriers. The barriers are one of the drawbacks to economy in the process free trade with foreign countries. Vietnam economy to sustainable development and stability must necessarily overcome these difficulties. Vietnam economy to sustainable development and stability must necessarily overcome these difficulties. Trades barriers are always matter of urgency and still have many issues unresolved. So, I want to present my opinion on this issue in this essay. 1. The objective of the study The goal of the essay is to study the current status of trade barriers and solutions to solve this problem. 2. For research subjects ­ Object: trade barriers Vietnam`s economy integration ­ Scope of the Study: Trade Barriers in Vietnam`s economic integration 3. Research Methodology The essay research methods used meta­analysis, comparing research methods set in international economic integration environmental. 4. The structure of the essay. I­ Concept and classification of trade barriers II­ The purpose of trade barriers. III ­ Results and solutions trade barriers. TRADE BARRIERS IN VIETNAM I­ The concept and classification trade barriers. 1. Concept. International trade is the exchange of goods and services between the countries in the world to obtain economic benefits. Thus, trade barriers can be easily understood the government making measures which are barriers for international trade to prevent foreign goods entering the domestic market. Trade barriers of each country are different and are governed by the laws of each country and international law. 2. Classification of trade barriers. There are many types of trade barriers. We can be divided into two main groups of trade barriers by the WTO. They are tariff barriers and non­tariff barriers. a) Tariff Barriers Tax barriers are commonly used in many countries. It is also kind of barriers are used primarily in Vietnam for imported goods. There are three types of taxes ad­valorem tariff, non ad­valorem and specific tariffs. Ad­valorem tariff is tax as a percentage of the transaction value of imported goods. This type of tariff is applied commonly applied today. Non ad­valorem includes three types. Absolute taxes are determined by a fixed amount per unit of imported goods. This tax is usually applied to agriculture products. Absolute tax alternative is the option tax regulations applied ad­valorem tariff or absolute tax. Compound tax is a combination of ad­valorem tariff and absolute tax. Tariffs specific include many types such as quotas, the countervailing duty, anti­ dumping tax, additional tax. Quota is measures management is applied for imported goods. Goods of quotas are applied tax rate lower than that of without quotas. Countervailing duties are special taxes are levied on imported products to compensate for the government subsidies for the production and export of that product. Anti­dumping tax is applied to prevent and deal with the import of goods that are dumped into the domestic market creating unfair competition. Each country applies different tax policies for the same commodity. In addition, there is some kind of tax to be applied in international trade now. Most Favored Nation (MFN) tariff is which the member countries of the WTO apply to the other member countries or the country together base on bilateral agreement on preferential tariff. MFN tariff are often lower than normal tax. Good Storage Practices tariff (GSP) is a preferential for some imported goods from developing countries to developed countries is the GSP. GSP is lower MFN. Tax which applies to the free trade area is the lowest taxes or may be zero for some goods. This tax has preferential is very high. Based on the advantages of each country`s production and economic potentials, each type of tax will be applied to different kinds and levels for each commodity. So each country`s tariff for the same commodity will be different. That leads to the same commodity is advantaged for this country but would be disadvantage for other countries. The situation has created barriers to trade between countries. b)Non­tariff barriers If trade barriers and tariffs are specified and can be clearly identify then non­tariff barriers to more complex in nature. Non­tariff barriers that the state is not in use and use tariff administrative measures or technical measures to discriminate against the entry of foreign goods into the domestic market. When tariff barriers between countries are removed, other forms of trade barriers, such as the technical nature of the technical regulations, sanitary, environmental, product quality standards appeared more and more. The non­tariff barriers were considered strict and obstruct bigger tariff barriers to trade between countries. Technical barriers in international trade (TBT) are defined barrier quality management system, environment for businesses entering the export market of another country. The Sanitary and Phytosanitary measures (SPS) including all laws, decrees, regulations, requirements and procedures, processes and production methods, testing, inspection and quarantine process. This type of barrier is increasingly stringent levels higher and higher. Regulations on ... - tailieumienphi.vn