Cablegate: Vietnam: New Ordinance On Prices

This record is a partial extract of the original cable. The full text of the original cable is not available.

150923Z Jul 02

2002HANOI01769 - UNCLASSIFIED

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FM AMEMBASSY HANOI
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INFO AMCONSUL HO CHI MINH CITY
USDOC WASHDC
USDA WASHDC

UNCLAS SECTION 01 OF 10 HANOI 001769

SIPDIS

STATE PASS USTR FOR EBRYAN

E.O. 12958: N/A
TAGS: ECON ETRD VM
SUBJECT: VIETNAM: NEW ORDINANCE ON PRICES

1. THE STANDING COMMITTEE OF THE NATIONAL ASSEMBLY PASSED A
NEW PRICE ORDINANCE NO. 40 ON APRIL 26, 2002. THE ORDINANCE
CAME INTO EFFECT ON JULY 1, 2002. THE TEXT IS REPEATED
BELOW FOR THE RECORD. THE ORDINANCE ADDRESSES A WIDE
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VARIETY OF PRICING-RELATED ISSUES INCLUDING CONSUMER
PROTECTION CLAUSES AND DUMPING. WHILE RESPECTING THE RIGHTS
OF BUSINESSES TO ESTABLISH THEIR OWN PRICING MECHANISMS, IT
RESERVES THE RIGHT FOR THE STATE TO INTERVENE WHEN NEEDED TO
STABILIZE PRICES FOR ESSENTIAL GOODS OR WHEN DUMPING OCCURS.

2. BEGIN TEXT - INFORMAL TRANSLATION:

STANDING COMMITTEE OF THE NATIONAL ASSEMBLY
SOCIALIST REPUBLIC OF VIETNAM
INDEPENDENCE - FREEDOM - HAPPINESS

NO.: 40/2002/PL-UBTVQH10

PRICE ORDINANCE

IN ORDER TO CONTRIBUTE TO THE DEVELOPMENT OF THE MARKET-
ORIENTED ECONOMY IN THE SOCIALIST DIRECTION, STABILIZE
PRICES, AND PROTECT THE LEGAL RIGHTS AND INTERESTS OF
BUSINESS AND PRODUCTION ORGANIZATIONS AND INDIVIDUALS AND OF
THE CONSUMERS, AND PROTECT THE INTERESTS OF THE STATE;

BASED ON THE 1992 CONSTITUTION OF THE SOCIALIST REPUBLIC OF
VIETNAM AS SUPPLEMENTED AND AMENDED PURSUANT TO RESOLUTION
NO. 51/2001/QH10, WHICH WAS ADOPTED BY THE NATIONAL ASSEMBLY
ON DECEMBER 25, 2001 DURING THE 10TH SESSION OF ITS
LEGISLATURE X;

BASED ON RESOLUTION NO. 52/2001/NQ-QH10 ADOPTED BY THE
NATIONAL ASSEMBLY DURING THE 10TH SESSION OF ITS LEGISLATURE
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X CONCERNING THE LAWS AND ORDINANCES MAKING PROGRAM FOR THE
YEAR 2002;

THIS ORDINANCE SETS FORTH PROVISIONS CONCERNING PRICES.

CHAPTER I
GENERAL PROVISIONS

ARTICLE 1: SCOPE OF APPLICATION AND ENTITIES SUBJECT TO
APPLICATION

1. THIS ORDINANCE SETS FORTH PROVISIONS ON STATE
ADMINISTRATION OVER PRICES AND PRICING ACTIVITIES OF
BUSINESS AND PRODUCTION ORGANIZATIONS AND INDIVIDUALS.

2. THIS ORDINANCE APPLIES TO DOMESTIC AND FOREIGN
ORGANIZATIONS AND INDIVIDUALS ENGAGING IN BUSINESS [AND/OR]
PRODUCTION ACTIVITIES IN VIETNAM.

3. IN THE EVENT THAT AN INTERNATIONAL TREATY WHICH, THE
SOCIALIST REPUBLIC OF VIETNAM HAS EXECUTED OR TO WHICH IT
HAS ACCEDED CONTAINS PRICE-RELATED PROVISIONS THAT ARE
DIFFERENT FROM THIS ORDINANCE, THE INTERNATIONAL TREATY
SHALL APPLY.

ARTICLE 2: PRINCIPLES FOR PRICE ADMINISTRATION

1. THE STATE RESPECTS THE RIGHT OF BUSINESS AND PRODUCTION
ORGANIZATIONS AND INDIVIDUALS TO SELF-DETERMINATION OF
PRICES AND COMPETITION IN PRICES IN STRICT ACCORDANCE WITH
THE PROVISIONS OF LAW.
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2. THE STATE ADOPTS NECESSARY MEASURES TO STABILIZE PRICES,
PROTECT THE LEGAL RIGHTS AND INTERESTS OF BUSINESS AND
PRODUCTION ORGANIZATIONS AND INDIVIDUALS AND OF THE
CONSUMERS, AND PROTECT THE INTERESTS OF THE STATE.

ARTICLE 3: OVERSEEING THE IMPLEMENTATION OF THE LAWS
CONCERNING PRICES

1. THE ORGANS OF THE NATIONAL ASSEMBLY, DEPUTIES TO THE
NATIONAL ASSEMBLY, AND THE PEOPLE'S COUNCILS AT ALL LEVELS,
WITHIN THEIR SCOPE OF FUNCTIONS, DUTIES AND AUTHORITY,
OVERSEE THE IMPLEMENTATION OF THE LAWS CONCERNING PRICES.

2. THE FATHERLAND FRONT OF VIETNAM AND ITS INSTITUTIONAL
MEMBERS ENCOURAGE THE PEOPLE TO IMPLEMENT THE PROVISIONS OF
THE LAWS CONCERNING PRICES, AND OVERSEE THE IMPLEMENTATION
OF THE LAWS CONCERNING PRICES.

ARTICLE 4: INTERPRETATION OF TERMS

IN THIS ORDINANCE, THE FOLLOWING TERMS ARE CONSTRUED AS
FOLLOWS:

1. "PRICES" INCLUDE THE PRICES SET BY THE GOVERNMENT, THE

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FAAE-00 FBIE-00 UTED-00 VC-00 FRB-00 H-01 TEDE-00
INR-00 ITC-01 L-00 VCE-00 MOFM-05 MOF-01 AC-01
NSAE-00 NSCE-00 OES-01 OMB-01 OPIC-01 ACE-00 SP-00
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UNCLAS SECTION 02 OF 10 HANOI 001769

SIPDIS

STATE PASS USTR FOR EBRYAN
PRICES SET BY BUSINESS AND PRODUCTION ORGANIZATIONS AND
INDIVIDUALS, AND THE MARKET PRICES.

2. "PRICE APPRAISAL" IS THE ACT OF EVALUATING OR RE-
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EVALUATING THE VALUE OF AN ASSET IN ACCORDANCE WITH THE
MARKET IN A LOCATION AT A CERTAIN TIME BASED ON THE
VIETNAMESE STANDARDS OR INTERNATIONAL PRACTICE.

3. "DUMPING SALE" IS THE ACT OF SELLING GOODS [OR] SERVICES
AT PRICES THAT ARE TOO LOW AS COMPARED TO THEIR REGULAR
PRICES IN THE VIETNAMESE MARKET FOR THE PURPOSES OF
DOMINATING THE MARKET AND RESTRICTING LAWFUL COMPETITION,
THEREBY CAUSING INJURY TO THE LEGAL INTERESTS OF OTHER
BUSINESS [AND/OR] PRODUCTION ORGANIZATIONS [AND/OR]
INDIVIDUALS, AND THE INTERESTS OF THE STATE.

4. "ASSOCIATION FOR PRICE EXCLUSIVITY" IS AN AGREEMENT
AMONG BUSINESS [AND/OR] ORGANIZATIONS [AND/OR] INDIVIDUALS
TO SET A PRICE LEVEL IN ORDER TO DOMINATE THE MARKET,
THEREBY CAUSING INJURY TO THE LEGAL INTERESTS OF OTHER
BUSINESS [AND/OR] PRODUCTION ORGANIZATIONS [AND/OR]
INDIVIDUALS AND THE CONSUMERS, AND THE INTERESTS OF THE
STATE.

5. "EXCLUSIVE PRICE" IS A PRICE OF GOODS [OR] SERVICES ONLY
AT WHICH THEY ARE SOLD OR PURCHASED IN THE MARKET BY ONE
ORGANIZATION OR INDIVIDUAL OR A PRICE OF GOODS [OR] SERVICES
SET BY ORGANIZATIONS [AND/OR] INDIVIDUALS ENGAGING IN AN
ASSOCIATION FOR PRICE EXCLUSIVITY THAT DOMINATE THE MAJORITY
OF THE MARKET SHARE AND HAVE THE POWER OF CONTROLLING THE
MARKET PRICES.

6. "EXTRAORDINARY FLUCTUATIONS IN PRICES" IS A REDUCTION OR
INCREASE IN PRICES IN THE EVENT OF AN ECONOMIC CRISIS, ACT
OF GOD, OR ACT OF PUBLIC ENEMY, OR IN OTHER EXTRAORDINARY
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CIRCUMSTANCES.

CHAPTER II
STATE MANAGEMENT OF PRICES
SECTION 1: MARKET PRICE STABILIZATION

ARTICLE 5: OBJECTIVES OF PRICE STABILIZATION

THE STATE IMPLEMENTS NECESSARY POLICIES AND MEASURES THAT
INFLUENCE THE DEMAND AND SUPPLY RELATIONSHIP IN ORDER TO
STABILIZE THE MARKET PRICES OF IMPORTANT [AND/OR] ESSENTIAL
GOODS AND SERVICES, CONTROL INFLATION, STABILIZE THE SOCIO-
ECONOMIC CONDITION, AND PROTECT THE LEGAL RIGHTS AND
INTERESTS OF BUSINESS AND PRODUCTION ORGANIZATIONS AND
INDIVIDUALS AND OF THE CONSUMERS, AND PROTECT THE INTERESTS
OF THE STATE, HENCE CONTRIBUTING TO THE ENCOURAGEMENT OF
INVESTMENT AND DEVELOPMENT.

ARTICLE 6: MEASURES FOR STABILIZING PRICES

1. IN THE EVENT THAT THE MARKET PRICES OF IMPORTANT [OR]
ESSENTIAL GOODS [OR] SERVICES SUFFER AN EXTRAORDINARY
FLUCTUATION, THE STATE MAY ADOPT THE FOLLOWING MEASURES TO
STABILIZE THE PRICES:

(A) TO ADJUST THE SUPPLY AND DEMAND OF DOMESTIC, IMPORTED
AND EXPORTED GOODS; AND GOODS [EXCHANGED] AMONG LOCALITIES
AND REGIONS IN THE COUNTRY;

(B) TO PURCHASE OR SELL RESERVED GOODS;
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(C) TO CONTROL GOODS IN STOCK;

(D) TO STIPULATE MAXIMUM AND MINIMUM PRICES AND PRICE
BRACKET SCHEDULES;

(E) TO CONTROL FACTORS CONSTITUTING PRICES; AND

(F) TO PROVIDE SUBSIDIES TO AGRICULTURAL PRODUCTS WHEN
[THEIR] MARKET PRICES DECLINE TOO LOW THUS CAUSING DAMAGE TO
THE PRODUCERS; TO PROVIDE PRICE SUBSIDIES TO OTHER IMPORTANT
[AND/OR] ESSENTIAL GOODS AND SERVICES.

2. THE AUTHORITY OF, FORMALITIES FOR, AND PERIOD OF
APPLICATION OF, AND THE KINDS OF GOODS [AND/OR] SERVICES
ELIGIBLE FOR THE APPLICATION OF, THE MEASURES PROVIDED FOR
IN CLAUSE 1 OF THIS ARTICLE ARE PRESCRIBED BY THE
GOVERNMENT.

3. ORGANIZATIONS AND INDIVIDUALS THAT PRODUCE AND/OR DO
BUSINESS IN IMPORTANT [AND/OR] ESSENTIAL GOODS [AND/OR]
SERVICES ARE RESPONSIBLE FOR CARRYING OUT THE RELEVANT
MEASURES PROVIDED FOR IN CLAUSE 1 OF THIS ARTICLE IN ORDER
TO ASSIST IN THE STABILIZATION OF PRICES.

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INFO LOG-00 AGRE-00 AID-00 CEA-01 CIAE-00 CTME-00 DODE-00
ITCE-00 DOTE-00 SRPP-00 EAP-00 EB-00 EXME-00 E-00
FAAE-00 FBIE-00 UTED-00 VC-00 FRB-00 H-01 TEDE-00
INR-00 ITC-01 L-00 VCE-00 MOFM-05 MOF-01 AC-01
NSAE-00 NSCE-00 OES-01 OMB-01 OPIC-01 ACE-00 SP-00
SSO-00 SS-00 TEST-00 TRSE-00 USIE-00 EPAE-00 DRL-02
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USDA WASHDC

UNCLAS SECTION 03 OF 10 HANOI 001769

SIPDIS

STATE PASS USTR FOR EBRYAN
SECTION 2: PRICE SETTING AND AGREEMENT [MEETINGS] ON PRICES

ARTICLE 7: ASSETS, GOODS AND SERVICES THE PRICES OF
WHICH ARE SET BY THE GOVERNMENT
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1. ASSETS, GOODS AND SERVICES THE PRICES OF WHICH ARE SET BY
THE GOVERNMENT INCLUDE:

(A) LAND, WATER BODIES, AND IMPORTANT [NATURAL] RESOURCES;

(B) ASSETS OF THE STATE FOR SALE OR LEASE;

(C) EXCLUSIVE GOODS AND SERVICES; AND

(D) GOODS AND SERVICES THAT ARE IMPORTANT TO THE NATIONAL
PLANS AND PEOPLE'S LIFE.

2. THE STATE SETS THE PRICES FOR THE ASSETS, GOODS AND
SERVICES PROVIDED FOR IN CLAUSE 1 OF THIS ARTICLE VIA THE
FOLLOWING FORMS:

(A) SPECIFIC PRICE;

(B) STANDARD PRICE;

(C) PRICE BRACKET; AND

(D) MAXIMUM OR MINIMUM PRICE.

3. THE GOVERNMENT SETS FORTH A SPECIFIC LIST OF ASSETS,
GOODS AND SERVICES THE PRICES OF WHICH ARE SET BY THE
GOVERNMENT AS PROVIDED FOR IN CLAUSE 1 OF THIS ARTICLE, AND
THE APPLICATION OF THE PRICE SETTING FORMS PROVIDED IN
CLAUSE 2 OF THIS ARTICLE, FROM TIME TO TIME.

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ARTICLE 8: BASIS FOR SETTING A PRICE

THE STATE SETS PRICES FOR THE ASSETS, GOODS AND SERVICES
PROVIDED FOR IN ARTICLE 7 OF THIS ORDINANCE BASED ON [THEIR]
PRODUCTION AND CIRCULATION COSTS, SUPPLY AND DEMAND
RELATIONSHIP, BUYING POWER OF THE VIETNAMESE CURRENCY,
DOMESTIC AND INTERNATIONAL MARKET PRICES, AND THE POLICIES
ON SOCIO-ECONOMIC DEVELOPMENT FROM TIME TO TIME.

ARTICLE 9: AUTHORITIES TO SET PRICES

1. THE AUTHORITIES TO SET PRICES ARE STIPULATED AS
FOLLOWS:

A) THE GOVERNMENT DECIDES ON THE PRICES OF ESPECIALLY
IMPORTANT ASSETS, GOODS AND SERVICES THAT HAVE AN INFLUENCE
ON THE SOCIO-ECONOMIC DEVELOPMENT OF THE WHOLE COUNTRY.

B) THE PRIME MINISTER OF THE GOVERNMENT DECIDES ON THE
PRICES FOR IMPORTANT ASSETS, GOODS AND SERVICES THAT HAVE AN
INFLUENCE ON THE SOCIO-ECONOMIC DEVELOPMENT OF MANY
INDUSTRIES;

C) THE MINISTERS AND HEADS OF MINISTERIAL-LEVEL AUTHORITIES
DECIDE ON THE PRICES OF ASSETS, GOODS AND SERVICES THAT HAVE
A SUBSTANTIAL INFLUENCE ON THE SOCIO-ECONOMIC DEVELOPMENT OF
THEIR OWN INDUSTRIES; AND

D) PEOPLE'S COMMITTEES OF PROVINCES AND CITIES DIRECTLY
UNDER THE CENTRAL AUTHORITY DECIDE ON THE PRICES OF ASSETS,
GOODS AND SERVICES THAT HAVE A SUBSTANTIAL INFLUENCE ON THE
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SOCIO-ECONOMIC DEVELOPMENT IN THEIR OWN LOCALITY.

2. THE GOVERNMENT SETS FORTH SPECIFIC PROVISIONS ON THE
PRICE SETTING AUTHORITY PROVIDED FOR IN CLAUSE 1 OF THIS
ARTICLE.

ARTICLE 10: MAKING ADJUSTMENTS TO THE PRICES SET BY THE
GOVERNMENT

1. THE COMPETENT PRICE SETTING STATE AUTHORITY MUST ADJUST,
IN A TIMELY MANNER, THE PRICES OF THE ASSETS, GOODS AND
SERVICES THAT FALL UNDER THE LIST OF THOSE FOR WHICH THE
STATE SETS PRICES WHEN THE FACTORS CONSTITUTING THE DOMESTIC
AND INTERNATIONAL PRICES, THUS AFFECTING PRODUCTION AND
[PEOPLE'S] LIFE.

2. ORGANIZATIONS AND INDIVIDUALS HAVE THE RIGHT TO PROPOSE
THAT THE COMPETENT PRICE SETTING STATE AUTHORITY ADJUSTS
PRICES IN ACCORDANCE WITH THE PROVISIONS OF LAW.

ARTICLE 11: AGREEMENT [MEETINGS] ON PRICES

THE AUTHORITY COMPETENT FOR STATE ADMINISTRATION OVER PRICES
ORGANIZES AGREEMENT [MEETINGS] ON PRICES BETWEEN SELLERS AND
BUYERS WITH RESPECT TO IMPORTANT GOODS AND SERVICES THAT ARE

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INFO LOG-00 AGRE-00 AID-00 CEA-01 CIAE-00 CTME-00 DODE-00
ITCE-00 DOTE-00 SRPP-00 EAP-00 EB-00 EXME-00 E-00
FAAE-00 FBIE-00 UTED-00 VC-00 FRB-00 H-01 TEDE-00
INR-00 ITC-01 L-00 VCE-00 MOFM-05 MOF-01 AC-01
NSAE-00 NSCE-00 OES-01 OMB-01 OPIC-01 ACE-00 SP-00
SSO-00 SS-00 TEST-00 TRSE-00 USIE-00 EPAE-00 DRL-02
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USDA WASHDC

UNCLAS SECTION 04 OF 10 HANOI 001769

SIPDIS

STATE PASS USTR FOR EBRYAN

OF AN EXCLUSIVE NATURE IN TERMS OF SALE AND PURCHASE AND
THAT DO NOT FALL UNDER THE STATE PRICE-SETTING SCOPE AS
PROVIDED FOR IN ARTICLE 7 OF THIS ORDINANCE AT THE REQUEST
OF THE [CONCERNED] SELLERS [OR] BUYERS, OR AT THE REQUEST OF
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THE PRIME MINISTER OF THE GOVERNMENT, A MINISTER, A HEAD OF
A MINISTERIAL-LEVEL AUTHORITY, OR A CHAIRMAN OF THE PEOPLE'S
COMMITTEE OF A PROVINCE OR CITY DIRECTLY UNDER THE CENTRAL
AUTHORITY.

ARTICLE 12: RESULT OF AN AGREEMENT [MEETING] ON PRICES

1. THE RESULT OF AN AGREEMENT [MEETING] ON PRICES AS AGREED
UPON BY THE PARTIES WILL BE ANNOUNCED BY THE AUTHORITY
COMPETENT FOR STATE ADMINISTRATION OVER PRICES FOR
IMPLEMENTATION PURPOSES.

2. IN THE EVENT THAT THE PARTIES ARE STILL UNABLE TO REACH
AN AGREEMENT ON A PRICE LEVEL AFTER AN AGREEMENT [MEETING]
ON PRICES HAS BEEN HELD, THE AUTHORITY COMPETENT FOR STATE
ADMINISTRATION OVER PRICES WILL DETERMINE A TEMPORARY PRICE
FOR THE PARTIES TO IMPLEMENT, AND WHICH PRICE IS EFFECTIVE
UNTIL THE PARTIES ARE ABLE TO REACH AN AGREEMENT ON THE
PRICE LEVEL, IN ORDER TO SERVICE BUSINESS AND PRODUCTION
ACTIVITIES IN A TIMELY MANNER.

SECTION 3: PRICE APPRAISAL

ARTICLE 13: STATE ASSETS THE PRICES OF WHICH MUST BE
APPRAISED

1. STATE ASSETS THE PRICES OF WHICH MUST BE APPRAISED
INCLUDE:

(A) ASSETS THAT ARE PURCHASED USING PARTLY OR WHOLLY THE
FUNDS OBTAINED FROM THE STATE BUDGET;
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(B) STATE ASSETS THAT ARE LEASED OUT, TRANSFERRED, SOLD,
CONTRIBUTED AS CAPITAL, [OR] DISPOSED IN OTHER FORMS OF
TRANSFER OF RIGHTS;

(C) ASSETS OF STATE ENTERPRISES THAT ARE LEASED OUT,
TRANSFERRED, SOLD, CONTRIBUTED AS CAPITAL, UNDERGONE A
EQUITIZATION OR DISSOLUTION, [OR] DISPOSED IN OTHER FORMS OF
CONVERSION; AND

(D) OTHER ASSETS OF THE STATE THE PRICES OF WHICH MUST BE
APPRAISED UNDER THE PROVISIONS OF LAW.

THE GOVERNMENT STIPULATES THE VALUE LEVELS OF THE STATE
ASSETS FALLING UNDER THIS CLAUSE THAT ARE SUBJECT TO A PRICE
APPRAISAL.

2. THE STATE ASSETS THE PRICES OF WHICH MUST BE APPRAISED AS
PROVIDED FOR IN CLAUSE 1 OF THIS ARTICLE DO NOT NECESSARILY
HAVE TO UNDERGO A PRICE APPRAISAL IF THEY HAVE UNDERGONE A
TENDER OR GONE THROUGH THE PRICE DETERMINATION COUNCIL.

ARTICLE 14: PRICE APPRAISAL ENTERPRISES

1. PRICE APPRAISAL ENTERPRISES INCLUDE STATE ENTERPRISES AND
ENTERPRISES IN ANY OTHER ECONOMIC SECTOR. THE GOVERNMENT
SETS FORTH REGULATIONS ON THE ORGANIZATIONAL FORM AND
CONDITIONS FOR ESTABLISHING A PRICE APPRAISAL ENTERPRISE.

2. ORGANIZATIONS AND INDIVIDUALS THAT MEET FULLY THE
CONDITIONS UNDER THE REGULATIONS OF THE GOVERNMENT MAY
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ESTABLISH A PRICE APPRAISAL ENTERPRISE.

ARTICLE 15: ACTIVITIES OF A PRICE APPRAISAL ENTERPRISE

1. A PRICE APPRAISAL ENTERPRISE CONDUCTS APPRAISALS OF ASSET
PRICES IN THE INSTANCES PROVIDED FOR IN ARTICLE 13 OF THIS
ORDINANCE, AND OTHER ASSETS, AT THE REQUEST OF A STATE
AUTHORITY, ORGANIZATION [OR] INDIVIDUAL.

2. THE ACTIVITY OF PRICE APPRAISAL OF THE ENTERPRISE IS
CARRIED OUT UNDER A CONTRACT EXECUTED WITH THE STATE
AUTHORITY, ORGANIZATION OR INDIVIDUAL THAT IS IN NEED OF THE
PRICE APPRAISAL.

ARTICLE 16: QUALIFICATIONS OF A PRICE APPRAISER

1. AN INDIVIDUAL WHO MAY BE RECOGNIZED AS A PRICE APPRAISER
MUST HAVE THE FOLLOWING QUALIFICATIONS:

A) HE/SHE MUST BE A VIETNAMESE CITIZEN;

B) HE/SHE HOLDS A SPECIALIZED UNIVERSITY DEGREE RELATING TO
PRICE APPRAISAL WORK;

C) HE/SHE HOLDS A CERTIFICATION ISSUED BY A COMPETENT

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INFO LOG-00 AGRE-00 AID-00 CEA-01 CIAE-00 CTME-00 DODE-00
ITCE-00 DOTE-00 SRPP-00 EAP-00 EB-00 EXME-00 E-00
FAAE-00 FBIE-00 UTED-00 VC-00 FRB-00 H-01 TEDE-00
INR-00 ITC-01 L-00 VCE-00 MOFM-05 MOF-01 AC-01
NSAE-00 NSCE-00 OES-01 OMB-01 OPIC-01 ACE-00 SP-00
SSO-00 SS-00 TEST-00 TRSE-00 USIE-00 EPAE-00 DRL-02
G-00 NFAT-00 SAS-00 /015W
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UNCLAS SECTION 05 OF 10 HANOI 001769

SIPDIS

STATE PASS USTR FOR EBRYAN
AUTHORITY EVIDENCING THAT HE/SHE HAS UNDERGONE A SPECIALIZED
PROFESSIONAL TRAINING FOR PRICE APPRAISAL; AND

D) HE/SHE HAS WORKED CONTINUOUSLY FOR 3 YEARS OR MORE IN THE
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SPECIALIZED AREA WHICH HE/SHE HAS BEEN TRAINED FOR.

2. AN INDIVIDUAL WHO MEETS FULLY THE QUALIFICATIONS PROVIDED
FOR IN CLAUSE 1 OF THIS ARTICLE MAY BE CONSIDERED BY THE
CENTRAL AUTHORITY COMPETENT FOR STATE ADMINISTRATION OVER
PRICES FOR THE ISSUANCE OF A PRICE APPRAISER CARD.

ARTICLE 17: RESULT OF A PRICE APPRAISAL

THE RESULT OF A PRICE APPRAISAL CONDUCTED BY A PRICE
APPRAISAL ENTERPRISE MUST BE MADE IN WRITING AND MAY ONLY BE
USED FOR THE PURPOSES STATED IN THE [RELEVANT] CONTRACT.
THE PRICE APPRAISAL RESULT MAY BE USED AS ONE OF THE BASES
FOR CONSIDERING AN APPROVAL OF PAYMENT FROM THE STATE
BUDGET, TAX COMPUTATION, DETERMINATION OF THE VALUE OF THE
ASSET PLACED AS A SECURITY FOR OBTAINING A BANK LOAN,
PURCHASE OF INSURANCE, LEASE, TRANSFER, SALE, CAPITAL
CONTRIBUTION, AND ENTERPRISE SECURITIZATION AND DISSOLUTION,
AND FOR OTHER PURPOSES AS STATED IN THE PRICE APPRAISAL
CONTRACT.

ARTICLE 18: RIGHTS AND OBLIGATIONS OF A PRICE APPRAISAL
ENTERPRISE

A PRICE APPRAISAL ENTERPRISE HAS THE FOLLOWING RIGHTS AND
OBLIGATIONS:

1. TO REQUEST THE AUTHORITY, ORGANIZATION [OR] INDIVIDUAL
REQUESTING A PRICE APPRAISAL TO PROVIDE DATA AND DOCUMENTS
RELEVANT FOR THE PRICE APPRAISAL;

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2. TO CHARGE A FEE FOR THE PRICE APPRAISAL SERVICE IN
ACCORDANCE WITH THE AGREEMENT THEREON IN THE CONTRACT;

3. TO BE LIABLE BEFORE THE LAW FOR THE RESULT OF ITS PRICE
APPRAISAL. IN THE EVENT THAT THE PRICE APPRAISAL RESULT IS
NOT CORRECT THUS CAUSING DAMAGE TO THE [CONCERNED] STATE
AUTHORITY, ORGANIZATION OR INDIVIDUAL, COMPENSATION MUST BE
PAID IN ACCORDANCE WITH THE PROVISIONS OF LAW; AND

4. OTHER RIGHTS AND OBLIGATIONS UNDER THE PROVISIONS OF LAW.

SECTION 4: CONTROL OF EXCLUSIVE PRICES

ARTICLE 19: STATE CONTROL OF EXCLUSIVE PRICES

IN NECESSARY CIRCUMSTANCES, THE AUTHORITY COMPETENT FOR
STATE ADMINISTRATION OVER PRICES WILL PROCEED WITH A CONTROL
OF THE COSTS OF PRODUCTION AND CIRCULATION OF, AND THE
PRICES OF, GOODS AND SERVICES OF ORGANIZATIONS AND
INDIVIDUALS WHEN IT DISCOVERS A MANIFESTATION OF ASSOCIATION
FOR PRICE EXCLUSIVITY, OR WHEN IT NEEDS TO REVIEW A
FORMATION OF EXCLUSIVE PRICES.

ARTICLE 20: RESPONSIBILITIES OF BUSINESS [AND/OR]
PRODUCTION ORGANIZATIONS AND INDIVIDUALS UPON RECEIPT OF A
REQUEST OF CONTROL OF EXCLUSIVE PRICES

BUSINESS [AND/OR] PRODUCTION ORGANIZATION AND INDIVIDUALS
UPON RECEIPT OF A REQUEST OF CONTROL OF EXCLUSIVE PRICES ARE
RESPONSIBLE FOR MAKING FULL AND ACCURATE REPORTS IN A TIMELY
MANNER ON THE DATA AND DOCUMENTS RELEVANT TO THE COSTS OF
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PRODUCTION AND CIRCULATION OF, AND THE PRICES OF, THE GOODS
AND SERVICES IN THEIR EXCLUSIVITY IN ACCORDANCE WITH THE
REQUEST OF THE AUTHORITY COMPETENT FOR STATE ADMINISTRATION
OVER PRICES.

ARTICLE 21: POWERS AND RESPONSIBILITIES OF THE AUTHORITY
COMPETENT FOR STATE ADMINISTRATION OVER PRICES

IN CONTROLLING EXCLUSIVE PRICES, THE AUTHORITY COMPETENT FOR
STATE ADMINISTRATION OVER PRICES HAS THE FOLLOWING POWERS
AND RESPONSIBILITIES:

1. TO CEASE THE EXERCISE OF PRICE DETERMINATION BY THE
ORGANIZATION OR INDIVIDUAL ENGAGING IN AN ASSOCIATION FOR
PRICE EXCLUSIVITY FOR [THEIR] GOODS AND SERVICES;

2. TO REQUEST THAT THE ORGANIZATION OR INDIVIDUAL ENGAGING
IN AN ASSOCIATION FOR PRICE EXCLUSIVITY MUST SELL AND/OR
PURCHASE IN STRICT ACCORDANCE WITH THE SELLING AND/OR
PURCHASING PRICES PRIOR TO THEIR ENGAGEMENT IN THE
ASSOCIATION FOR PRICE EXCLUSIVITY. IN THE EVENT THAT THE
SELLING AND/OR BUYING PRICES REQUIRE AN ADJUSTMENT, THE
[CONCERNED] ORGANIZATION OR INDIVIDUAL MUST PREPARE A PRICE
PLAN FOR SUBMISSION TO THE AUTHORITY COMPETENT FOR STATE
ADMINISTRATION OVER PRICES FOR CONSIDERATION AND DECISION;

UNCLASSIFIED

UNCLASSIFIED PTQ0599

PAGE 01 HANOI 01769 06 OF 10 150935Z
ACTION STR-00

INFO LOG-00 AGRE-00 AID-00 CEA-01 CIAE-00 CTME-00 DODE-00
ITCE-00 DOTE-00 SRPP-00 EAP-00 EB-00 EXME-00 E-00
FAAE-00 FBIE-00 UTED-00 VC-00 FRB-00 H-01 TEDE-00
INR-00 ITC-01 L-00 VCE-00 MOFM-05 MOF-01 AC-01
NSAE-00 NSCE-00 OES-01 OMB-01 OPIC-01 ACE-00 SP-00
SSO-00 SS-00 TEST-00 TRSE-00 USIE-00 EPAE-00 DRL-02
G-00 NFAT-00 SAS-00 /015W
------------------CB2370 150935Z /38
O 150923Z JUL 02
FM AMEMBASSY HANOI
TO SECSTATE WASHDC IMMEDIATE 7011
INFO AMCONSUL HO CHI MINH CITY
USDOC WASHDC
USDA WASHDC

UNCLAS SECTION 06 OF 10 HANOI 001769

SIPDIS

STATE PASS USTR FOR EBRYAN
3. TO MAKE A DECISION ON PRICES WITHIN THE PRESCRIBED TIME
PERIOD ON THE BASIS OF THE PRICE PLAN SUBMITTED OR PROPOSED
BY THE [CONCERNED] BUSINESS OR PRODUCTION ORGANIZATION OR
UNCLASSIFIED

PAGE 02 HANOI 01769 06 OF 10 150935Z
INDIVIDUAL TO THE AUTHORITY COMPETENT FOR STATE
ADMINISTRATION OVER PRICES FOR A SUITABLE PRICE ADJUSTMENT;
AND

4. TO HANDLE VIOLATIONS OF THE LAWS CONCERNING PRICES IN
ACCORDANCE WITH THE PROVISIONS OF LAW.

SECTION 5: COMBAT AGAINST DUMPING SALES

ARTICLE 22: PROHIBITION OF DUMPING SALE

BUSINESS AND PRODUCTION ORGANIZATIONS AND INDIVIDUALS ARE
PROHIBITED FROM COMMITTING ACTS OF DUMPING SALE.

ARTICLE 23: ACTS THAT ARE NOT DEEMED ACT OF DUMPING SALE

1. THE FOLLOWING ACTS ARE NOT DEEMED ACT OF DUMPING SALE

A) PRICE REDUCTION FOR LIVE AND FRESH GOODS;

B) PRICE REDUCTION FOR GOODS IN STOCK THAT ARE OF INFERIOR
QUALITY, OBSOLETE IN TERMS OF APPEARANCE, OR NO LONGER
SUITABLE FOR THE CONSUMERS' TASTE;

C) PRICE REDUCTION FOR SEASONAL GOODS;

D) PRICE REDUCTION FOR GOODS IN ORDER TO PROMOTE THEIR SALES
IN ACCORDANCE WITH THE PROVISIONS OF LAW; AND

E) PRICE REDUCTION FOR GOODS IN THE EVENT OF BANKRUPTCY,
DISSOLUTION, TERMINATION OF BUSINESS AND/OR PRODUCTION
UNCLASSIFIED

PAGE 03 HANOI 01769 06 OF 10 150935Z
ACTIVITIES, CHANGE OF LOCATION, AND SHIFT IN BUSINESS AND/OR
PRODUCTION OPERATIONS.

2. THE CIRCUMSTANCES OF PRICE REDUCTION PROVIDED FOR IN
CLAUSE 1 OF THIS ARTICLE MUST BE POSTED IN AN EXPRESS AND
OVERT MANNER AT THE SHOPS OR BUSINESS PLACES IN TERMS OF THE
PREVIOUS PRICES, NEW PRICES AND PERIOD OF REDUCTION.

ARTICLE 24: COMPLAINTS AGAINST AND REPORTS OF ACTS OF
DUMPING SALE

ORGANIZATIONS AND INDIVIDUALS HAVE THE RIGHT TO LODGE A
COMPLAINT AGAINST OR REPORT OF ACTS OF DUMPING SALE IN
ACCORDANCE WITH THE PROVISIONS OF LAW.

ARTICLE 25: INVESTIGATION INTO AND HANDLING OF AN ACT OF
DUMPING SALE

1. UPON RECEIPT OF A LETTER COMPLAINING AGAINST, OR
REPORTING OF, AN ACT OF DUMPING SALE, OR UPON DISCOVERY OF
AN ACT OF DUMPING SALE, THE AUTHORITY COMPETENT FOR STATE
ADMINISTRATION OVER PRICES MUST ORGANIZE AN INVESTIGATION
INTO THE ACT OF DUMPING SALE.

2. ASPECTS OF AN INVESTIGATION INTO AN ACT OF DUMPING SALE:

A) TO VERIFY THE ACT OF DUMPING SALE; AND

B) TO IDENTIFY THE DAMAGE CAUSED BY THE ACT OF DUMPING SALE
TO THE LEGAL INTERESTS OF OTHER BUSINESS AND PRODUCTION
ORGANIZATIONS AND INDIVIDUALS, AND THE INTERESTS OF THE
UNCLASSIFIED

PAGE 04 HANOI 01769 06 OF 10 150935Z
STATE.

3. BASED ON THE RESULT OF THE INVESTIGATION, THE AUTHORITY
COMPETENT FOR STATE ADMINISTRATION OVER PRICES HAS TO
AUTHORITY, OR PROPOSES THE COMPETENT AUTHORITY, TO HANDLE
SUCH ACT OF DUMPING SALE, IN ACCORDANCE WITH THE PROVISIONS
OF LAW .

ARTICLE 26: MEASURES FOR HANDLING ACTS OF DUMPING SALE

1. DETERMINATION OF A MINIMUM PRICE WITHOUT LIMITING LAWFUL
COMPETITION [AND] CAUSING INJURY TO THE CONSUMERS' LEGAL
INTERESTS AND THE INTERESTS OF THE STATE.

2. HANDLING OF THE VIOLATION USING ADMINISTRATIVE MEASURES.

3. THE [CONCERNED] BUSINESS AND/OR PRODUCTION ORGANIZATION
OR INDIVIDUAL IS COMPELLED TO PAY COMPENSATION TO BUSINESS
AND/OR PRODUCTION ORGANIZATIONS AND INDIVIDUALS SUFFERING
LOSSES CAUSED BY THE ACT OF DUMPING SALE.

4. THE PERSON COMMITTING AN ACT OF DUMPING SALE THAT
MANIFESTS A CRIME COMMISSION WILL BE PUT UNDER INVESTIGATION
FOR CRIMINAL LIABILITY IN ACCORDANCE WITH THE PROVISIONS OF
LAW.

UNCLASSIFIED

UNCLASSIFIED PTQ0603

PAGE 01 HANOI 01769 07 OF 10 150935Z
ACTION STR-00

INFO LOG-00 AGRE-00 AID-00 CEA-01 CIAE-00 CTME-00 DODE-00
ITCE-00 DOTE-00 SRPP-00 EAP-00 EB-00 EXME-00 E-00
FAAE-00 FBIE-00 UTED-00 VC-00 FRB-00 H-01 TEDE-00
INR-00 ITC-01 L-00 VCE-00 MOFM-05 MOF-01 AC-01
NSAE-00 NSCE-00 OES-01 OMB-01 OPIC-01 ACE-00 SP-00
SSO-00 SS-00 TEST-00 TRSE-00 USIE-00 EPAE-00 DRL-02
G-00 NFAT-00 SAS-00 /015W
------------------CB237D 150935Z /38
O 150923Z JUL 02
FM AMEMBASSY HANOI
TO SECSTATE WASHDC IMMEDIATE 7012
INFO AMCONSUL HO CHI MINH CITY
USDOC WASHDC
USDA WASHDC

UNCLAS SECTION 07 OF 10 HANOI 001769

SIPDIS

STATE PASS USTR FOR EBRYAN
CHAPTER III
PRICING ACTIVITIES OF BUSINESS AND PRODUCTION
ORGANIZATIONS AND INDIVIDUALS
UNCLASSIFIED

PAGE 02 HANOI 01769 07 OF 10 150935Z

ARTICLE 27: PRICE SETTING BY BUSINESS AND PRODUCTION
ORGANIZATIONS AND INDIVIDUALS

BUSINESS AND PRODUCTION ORGANIZATIONS AND INDIVIDUALS SET
THE PRICES FOR THEIR GOODS AND SERVICES IN ACCORDANCE WITH
THE PROVISIONS OF THIS ORDINANCE AND OTHER RELEVANT
STATUTORY INSTRUMENTS.

ARTICLE 28: PROHIBITED ACTS

BUSINESS AND PRODUCTION ORGANIZATIONS AND INDIVIDUALS ARE
PROHIBITED FROM ENGAGING IN ANY OF THE FOLLOWING ACTS:

1. TO COLLUDE WITH ANOTHER BUSINESS AND/OR PRODUCTION
ORGANIZATION AND/OR INDIVIDUAL TO ENTER INTO AN ASSOCIATION
FOR PRICE EXCLUSIVITY THEREBY CAUSING INJURY TO THE LEGAL
INTERESTS OF OTHER BUSINESS AND/OR PRODUCTION ORGANIZATIONS
AND/OR INDIVIDUALS AND THE CONSUMERS, AND THE INTERESTS OF
THE STATE;

2. TO CONDUCT A DUMPING SALE OF GOODS AND/OR SERVICES;

3. TO FALSIFY OR DISSEMINATE NEWS, WITHOUT A BASIS, ON A
PRICE REDUCTION OR INCREASE, THEREBY CAUSING INJURY TO THE
LEGAL INTERESTS OF OTHER BUSINESS AND/OR PRODUCTION
ORGANIZATIONS AND/OR INDIVIDUALS AND THE CONSUMERS, AND THE
INTERESTS OF THE STATE;

4. TO SET AN INCORRECT PRICE IN ORDER TO DECEIVE THE
CONSUMERS OR THE ORGANIZATIONS AND/OR INDIVIDUALS THAT HAVE
UNCLASSIFIED

PAGE 03 HANOI 01769 07 OF 10 150935Z
ENTERED INTO A BUSINESS AND/OR PRODUCTION CO-OPERATION WITH
THEM;

5. TO INCREASE OR REDUCE PRICES FALSELY BY MEANS OF
CHANGING THE QUANTITY, QUALITY AND/OR LOCATION OF DELIVERY
OR RECEIPT OF GOODS AND/OR SERVICES;

6. TO TAKE ADVANTAGES OF AN ACT OF GOD, ACT OF PUBLIC
ENEMY, OR ANOTHER EXTRAORDINARY EVENT TO SPECULATE FOR A
INCREASE IN PRICES OR FIXING OF PRICES(1); AND

7. OTHER ACTS PRESCRIBED UNDER THE PROVISIONS OF LAW.

ARTICLE 29: PRICE QUOTATION

1. BUSINESS AND PRODUCTION ORGANIZATIONS AND INDIVIDUALS
MUST HAVE PRICE QUOTATIONS FOR GOODS AND SERVICES AT THEIR
SHOPS AND BUSINESS PLACES WHERE GOODS AND SERVICES ARE
PURCHASED OR SOLD, OR PROVIDED RESPECTIVELY. A PRICE
QUOTATION MUST BE CLEAR WITHOUT CAUSING CONFUSION TO
CUSTOMERS.

2. WITH RESPECT TO GOODS AND SERVICES THE PRICES OF WHICH
ARE SET BY THE STATE, THE [CONCERNED] BUSINESS AND
_______________________________
PRODUCTION ENTERPRISES AND INDIVIDUALS MUST CORRECTLY QUOTE
THE PRICES SET BY THE AUTHORITY COMPETENT FOR STATE
ADMINISTRATION OVER PRICES, AND BUY AND SELL IN STRICT
ACCORDANCE WITH THE QUOTED PRICES.

3. WITH RESPECT TO GOODS AND SERVICES THAT DO NOT FALL UNDER
UNCLASSIFIED

PAGE 04 HANOI 01769 07 OF 10 150935Z
THE LIST OF THOSE FOR WHICH THE STATE SETS PRICES, THEIR
PRICES ARE QUOTED ACCORDING THE PRICES SET BY THE
[CONCERNED] BUSINESS AND/OR PRODUCTION ENTERPRISE OR
INDIVIDUAL.

ARTICLE 30: RIGHTS AND OBLIGATIONS OF BUSINESS AND
PRODUCTION ORGANIZATIONS AND INDIVIDUALS IN PRICING

1. BUSINESS AND PRODUCTION ORGANIZATIONS AND INDIVIDUALS
HAVE THE FOLLOWING RIGHTS:

A) TO DECIDE ON THE SELLING AND BUYING PRICES FOR GOODS AND
SERVICES, EXCEPT FOR GOODS AND SERVICES THAT FALL UNDER THE
LIST OF THOSE FOR WHICH THE STATE SETS PRICES;

B) TO DECIDE ON THE PRICES OF GOODS AND SERVICES WITHIN THE
PRICE BRACKET SCHEDULE AND PRICE LIMIT PRESCRIBED BY THE
COMPETENT STATE AUTHORITY;

C) TO LODGE A COMPLAINT AGAINST A PRICE DECISION OF THE
COMPETENT STATE AUTHORITY WHICH CAUSES INJURY TO THEIR LEGAL
INTERESTS;

D) TO LODGE A COMPLAINT AGAINST, OR REPORT ON, ACTS OF
VIOLATION OF THE LAWS CONCERNING PRICES; AND

UNCLASSIFIED

UNCLASSIFIED PTQ0607

PAGE 01 HANOI 01769 08 OF 10 150935Z
ACTION STR-00

INFO LOG-00 AGRE-00 AID-00 CEA-01 CIAE-00 CTME-00 DODE-00
ITCE-00 DOTE-00 SRPP-00 EAP-00 EB-00 EXME-00 E-00
FAAE-00 FBIE-00 UTED-00 VC-00 FRB-00 H-01 TEDE-00
INR-00 ITC-01 L-00 VCE-00 MOFM-05 MOF-01 AC-01
NSAE-00 NSCE-00 OES-01 OMB-01 OPIC-01 ACE-00 SP-00
SSO-00 SS-00 TEST-00 TRSE-00 USIE-00 EPAE-00 DRL-02
G-00 NFAT-00 SAS-00 /015W
------------------CB2396 150935Z /38
O 150923Z JUL 02
FM AMEMBASSY HANOI
TO SECSTATE WASHDC IMMEDIATE 7013
INFO AMCONSUL HO CHI MINH CITY
USDOC WASHDC
USDA WASHDC

UNCLAS SECTION 08 OF 10 HANOI 001769

SIPDIS

STATE PASS USTR FOR EBRYAN
E) TO REQUEST ORGANIZATIONS AND INDIVIDUALS TO PAY
COMPENSATION IN ACCORDANCE WITH THE PROVISIONS OF LAW.

UNCLASSIFIED

PAGE 02 HANOI 01769 08 OF 10 150935Z
2. BUSINESS AND PRODUCTION ENTERPRISES AND INDIVIDUALS HAVE
THE FOLLOWING OBLIGATIONS:

A) TO MAKE A PRICE PLAN FOR GOODS AND SERVICES THAT FALL
UNDER THE LIST OF THOSE FOR WHICH THE STATE SETS PRICES FOR
SUBMISSION TO THE COMPETENT STATE AUTHORITY FOR DECISION,
AND COMPLY WITH THE PRICES AS DECIDED;

B) TO PROVIDE INFORMATION ON THE PRICES OF, AND DECISIONS ON
THE PRICES FOR, THE GOODS AND SERVICES PRODUCED BY THEM OR
IN WHICH THEY ARE DOING BUSINESS THAT THEY HAVE SET, IN
ACCORDANCE WITH THE REQUEST OF THE AUTHORITY COMPETENT FOR
STATE ADMINISTRATION OVER PRICES;

C) TO COMPLY WITH THE MEASURES ADOPTED BY THE STATE FOR THE
PURPOSES OF STABILIZING THE MARKET PRICES AS PROVIDED FOR IN
THIS ORDINANCE;

D) TO PAY COMPENSATION FOR DAMAGES RESULTING FROM THEIR ACTS
OF VIOLATION OF THE LAWS CONCERNING PRICES IN ACCORDANCE
WITH THE PROVISIONS OF LAW; AND

E) OTHER OBLIGATIONS UNDER THE PROVISIONS OF LAW.

CHAPTER IV
STATE ADMINISTRATION OVER PRICES

SECTION 1: ASPECTS AND AUTHORITY OF
STATE ADMINISTRATION OVER PRICES

ARTICLE 31: ASPECTS OF STATE ADMINISTRATION OVER PRICES
UNCLASSIFIED

PAGE 03 HANOI 01769 08 OF 10 150935Z

1. TO STUDY, FORMULATE, AND ORGANIZE THE IMPLEMENTATION OF
POLICIES AND MEASURES CONCERNING PRICES IN ACCORDANCE WITH
THE SOCIO-ECONOMIC DEVELOPMENT REQUIREMENTS FROM TIME TO
TIME;

2. TO PROMULGATE STATUTORY INSTRUMENTS CONCERNING PRICES;

3. TO DECIDE ON THE PRICES FOR IMPORTANT GOODS AND SERVICES,
AND EXCLUSIVE GOODS AND SERVICES;

4. TO SET FORTH QUALIFICATIONS FOR PRICE APPRAISERS; TO
ORGANIZE TRAININGS FOR MANAGERIAL OFFICERS AND PRICE
APPRAISAL WORK; AND TO ISSUE AND REVOKE PRICE APPRAISER
CARDS;

5. TO CONTROL EXCLUSIVE PRICES AND COMBAT AGAINST DUMPING
SALES;

6. TO COLLECT, ANALYZE, AND PROVIDE INFORMATION AND
FORECASTS ON THE DOMESTIC AND INTERNATIONAL MARKET PRICES;

7. TO ORGANIZE AND ADMINISTER THE TASKS OF SCIENTIFIC
RESEARCH, INTERNATIONAL CO-OPERATION, TRAININGS, AND
WORKSHOPS FOR OFFICIALS WORKING IN THE PRICE AREA; AND

8. TO CONDUCT CHECKS AND INSPECTIONS; TO RESOLVE COMPLAINTS
AND REPORTS; AND TO HANDLE VIOLATIONS OF THE LAWS CONCERNING
PRICES.

ARTICLE 32: AUTHORITIES COMPETENT FOR STATE
UNCLASSIFIED

PAGE 04 HANOI 01769 08 OF 10 150935Z
ADMINISTRATION OVER PRICES

1. THE GOVERNMENT OVERSEES UNIFORM STATE ADMINISTRATION OVER
PRICES ON A NATIONWIDE BASIS.

2. THE AUTHORITY COMPETENT FOR STATE ADMINISTRATION OVER
PRICES IS RESPONSIBLE BEFORE THE GOVERNMENT FOR EFFECTING
STATE ADMINISTRATION OVER PRICES.

3. MINISTRIES AND MINISTERIAL-LEVEL AUTHORITIES, WITHIN
THEIR SCOPE OF DUTIES AND AUTHORITY, ARE RESPONSIBLE FOR CO-
COORDINATING WITH THE AUTHORITY COMPETENT FOR STATE
ADMINISTRATION OVER PRICES IN PERFORMING THE FUNCTION OF
STATE ADMINISTRATION OVER PRICES WITHIN THEIR OWN BRANCHES
IN ACCORDANCE WITH THE PRICE ADMINISTRATION AUTHORITY
DELEGATED BY THE GOVERNMENT.

4. PEOPLE'S COMMITTEES OF PROVINCES AND CITIES DIRECTLY
UNDER THE CENTRAL AUTHORITY, WITHIN THEIR SCOPE OF DUTIES
AND AUTHORITY, ARE RESPONSIBLE FOR PERFORMING THE FUNCTION
OF STATE ADMINISTRATION OVER PRICES WITHIN THEIR OWN
LOCALITY IN ACCORDANCE WITH THE PRICE ADMINISTRATION
AUTHORITY DELEGATED BY THE GOVERNMENT.

ARTICLE 33: ORGANIZATIONAL STRUCTURE OF THE AUTHORITY IN

UNCLASSIFIED

UNCLASSIFIED PTQ0612

PAGE 01 HANOI 01769 09 OF 10 150936Z
ACTION STR-00

INFO LOG-00 AGRE-00 AID-00 CEA-01 CIAE-00 CTME-00 DODE-00
ITCE-00 DOTE-00 SRPP-00 EAP-00 EB-00 EXME-00 E-00
FAAE-00 FBIE-00 UTED-00 VC-00 FRB-00 H-01 TEDE-00
INR-00 ITC-01 L-00 VCE-00 MOFM-05 MOF-01 AC-01
NSAE-00 NSCE-00 OES-01 OMB-01 OPIC-01 ACE-00 SP-00
SSO-00 SS-00 TEST-00 TRSE-00 USIE-00 EPAE-00 DRL-02
G-00 NFAT-00 SAS-00 /015W
------------------CB23AF 150936Z /38
O 150923Z JUL 02
FM AMEMBASSY HANOI
TO SECSTATE WASHDC IMMEDIATE 7014
INFO AMCONSUL HO CHI MINH CITY
USDOC WASHDC
USDA WASHDC

UNCLAS SECTION 09 OF 10 HANOI 001769

SIPDIS

STATE PASS USTR FOR EBRYAN
CHARGE OF STATE ADMINISTRATION OVER PRICES

THE GOVERNMENT PRESCRIBES THE ORGANIZATIONAL SYSTEM,
FUNCTIONS, DUTIES, AND POWERS OF THE AUTHORITY IN CHARGE OF
UNCLASSIFIED

PAGE 02 HANOI 01769 09 OF 10 150936Z
STATE ADMINISTRATION OVER PRICES.

SECTION 2: PRICE-RELATED CHECKS AND INSPECTIONS

ARTICLE 34: BRANCH-SPECIFIC PRICE INSPECTIONS

1. THE AUTHORITY IN CHARGE OF STATE ADMINISTRATION OVER
PRICES PERFORMS THE FUNCTION OF BRANCH-SPECIFIC PRICE
INSPECTIONS.

2. BRANCH-SPECIFIC PRICE INSPECTORS CONDUCT CHECKS AND
INSPECTIONS ON THE COMPLIANCE BY ORGANIZATIONS AND
INDIVIDUALS OF THE PROVISIONS OF THE LAWS CONCERNING PRICES
AND THE PROVISIONS OF OTHER RELEVANT LAWS.

ARTICLE 35: POWERS AND RESPONSIBILITIES OF BRANCH-
SPECIFIC PRICE INSPECTORS

1. A BRANCH-SPECIFIC PRICE INSPECTOR HAS THE POWERS:

A) TO REQUEST BUSINESS AND PRODUCTION ORGANIZATIONS AND
INDIVIDUALS TO MAKE ACCURATE AND TRUTHFUL REPORTS IN A
TIMELY MANNER ON THE DATA AND DOCUMENTS RELEVANT TO THE
ASPECTS OF THE PRICE CHECK OR INSPECTION IN ACCORDANCE WITH
THE PROVISIONS OF LAW;

B) TO REQUEST THE RELEVANT ORGANIZATION TO DISPATCH AN
INDIVIDUAL TO PARTICIPATE, AND PROVIDE DATA AND DOCUMENTS
DIRECTLY RELEVANT TO THE ASPECTS OF THE PRICE CHECK OR
INSPECTION; AND

UNCLASSIFIED

PAGE 03 HANOI 01769 09 OF 10 150936Z
C) TO HANDLE ACTS OF VIOLATION OF THE LAWS CONCERNING PRICES
IN ACCORDANCE WITH THE PROVISIONS OF LAW.

2. THE RESPONSIBILITIES OF BRANCH-SPECIFIC PRICE INSPECTORS:

A) TO NOT USE THE ACQUIRED DATA, DOCUMENTS, AND INFORMATION
FOR ANY OTHER PURPOSES OTHER THAN FOR STATE ADMINISTRATION
OVER PRICES;

B) TO NOT DISCLOSE SECRETS RELATING TO THE BUSINESS [AND/OR]
PRODUCTION ACTIVITIES OF THE [CONCERNED] BUSINESS AND/OR
PRODUCTION ORGANIZATION [OR] INDIVIDUAL; AND

C) TO BE LIABLE BEFORE THE LAW FOR THEIR PRICE CHECKS AND
INSPECTIONS.

ARTICLE 36: RIGHTS AND OBLIGATIONS OF THE ORGANIZATION
OR INDIVIDUAL UPON A PRICE CHECK OR INSPECTION

1. THE ORGANIZATION WHICH, OR INDIVIDUAL WHO, IS REQUESTED
BY THE AUTHORITY COMPETENT FOR A PRICE CHECK OR INSPECTION
MUST MAKE AN ACCURATE AND TRUTHFUL REPORT IN A TIMELY MANNER
ON THE DATA AND DOCUMENTS RELEVANT TO THE ASPECTS OF THE
PRICE INSPECTION OR CHECK.

2. THE [CONCERNED] ORGANIZATION OR INDIVIDUAL MUST COMPLY
STRICTLY WITH THE HANDLING DECISIONS OF THE AUTHORITY IN
CHARGE OF STATE ADMINISTRATION OVER PRICES; IN THE EVENT
THAT IT/HE/SHE DOES NOT AGREE WITH SUCH DECISION, IT/HE/SHE
HAS THE RIGHT TO LODGE A COMPLAINT IN ACCORDANCE WITH THE
PROVISIONS OF LAW. DURING THE PERIOD OF COMPLAINT,
UNCLASSIFIED

PAGE 04 HANOI 01769 09 OF 10 150936Z
IT/HE/SHE STILL HAS TO COMPLY WITH THE HANDLING DECISION.

3. ORGANIZATIONS AND INDIVIDUALS HAVE THE RIGHT TO REFUSE
REQUESTS OF PRICE INSPECTION [AND/OR] CHECK THAT ARE NOT
CONSISTENT WITH THE PROVISIONS OF LAW.

SECTION 3: REWARDS AND HANDLING OF VIOLATIONS

ARTICLE 37: REWARDS

ORGANIZATIONS AND INDIVIDUALS ACHIEVE MERITS IN THEIR
IMPLEMENTATION OF THE LAWS CONCERNING PRICES WILL BE
REWARDED IN ACCORDANCE WITH THE STATE REGULATIONS.

ARTICLE 38: HANDLING OF VIOLATIONS OF THE LAWS CONCERNING
PRICES

1. ORGANIZATIONS AND INDIVIDUALS COMMITTING AN ACT OF
VIOLATION OF THE LAWS CONCERNING PRICES WILL BE PENALIZED
ADMINISTRATIVELY OR PUT UNDER INVESTIGATION FOR CRIMINAL
LIABILITY, DEPENDING ON THE NATURE AND EXTENT OF THEIR
VIOLATION; IF CAUSING DAMAGE, COMPENSATION MUST BE PAID IN
ACCORDANCE WITH THE PROVISIONS OF LAW.

2. ANY ONE WHO TAKES ADVANTAGE OF HIS/HER POSITION AND

UNCLASSIFIED

UNCLASSIFIED PTQ0613

PAGE 01 HANOI 01769 10 OF 10 150936Z
ACTION STR-00

INFO LOG-00 AGRE-00 AID-00 CEA-01 CIAE-00 CTME-00 DODE-00
ITCE-00 DOTE-00 SRPP-00 EAP-00 EB-00 EXME-00 E-00
FAAE-00 FBIE-00 UTED-00 VC-00 FRB-00 H-01 TEDE-00
INR-00 ITC-01 L-00 VCE-00 MOFM-05 MOF-01 AC-01
NSAE-00 NSCE-00 OES-01 OMB-01 OPIC-01 ACE-00 SP-00
SSO-00 SS-00 TEST-00 TRSE-00 USIE-00 EPAE-00 DRL-02
G-00 NFAT-00 SAS-00 /015W
------------------CB23B5 150936Z /38
O 150923Z JUL 02
FM AMEMBASSY HANOI
TO SECSTATE WASHDC IMMEDIATE 7015
INFO AMCONSUL HO CHI MINH CITY
USDOC WASHDC
USDA WASHDC

UNCLAS SECTION 10 OF 10 HANOI 001769

SIPDIS

STATE PASS USTR FOR EBRYAN

AUTHORITY TO VIOLATE THE PROVISIONS ON PRICES, ACCEPT
BRIBES, OR COVER FOR THOSE VIOLATING THE LAWS CONCERNING
PRICES, OR IS IRRESPONSIBLE, OR INTENTIONALLY ACTS IN
CONTRARY TO THE STATE REGULATIONS IN EFFECTING STATE
UNCLASSIFIED

PAGE 02 HANOI 01769 10 OF 10 150936Z
ADMINISTRATION OVER PRICES, OR COMMIT OTHER ACTS IN
VIOLATION OF THE LAWS CONCERNING PRICES WILL BE DISCIPLINED
OR PUT UNDER INVESTIGATION FOR CRIMINAL LIABILITY, DEPENDING
ON THE NATURE AND EXTENT OF HIS/HER VIOLATION; IF CAUSING
DAMAGE, COMPENSATION MUST BE PAID IN ACCORDANCE WITH THE
PROVISIONS OF LAW.

CHAPTER V
IMPLEMENTING PROVISIONS

ARTICLE 39: EFFECTIVE DATE FOR IMPLEMENTATION

THIS ORDINANCE TAKES EFFECT FOR IMPLEMENTATION FROM JULY
01, 2002.

PREVIOUS PROVISIONS THAT ARE INCONSISTENT WITH THIS
ORDINANCE ARE HEREBY REPEALED.

ARTICLE 40: GUIDELINES FOR IMPLEMENTATION

THE GOVERNMENT SETS FORTH DETAILED REGULATIONS AND
GUIDELINES FOR IMPLEMENTING THIS ORDINANCE.

HANOI, APRIL 26, 2002
ON BEHALF OF THE STANDING COMMITTEE OF THE NATIONAL ASSEMBLY
[SIGNED AND SEALED BY]
MR. NGUYEN VAN AN, PRESIDENT

END TEXT.

BURGHARDT
UNCLASSIFIED

PAGE 03 HANOI 01769 10 OF 10 150936Z

UNCLASSIFIED

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