2026 marks a crucial transitional period in the government's import and export tax management policy. The implementation of a roadmap to increase taxes on raw materials and the easing of incentives for the green automotive industry are becoming a focal point of attention for the business community.
Decree 199/2025/ND-CP, issued on July 8, 2025 and effective from the date of issuance, stipulates amendments and additions to the preferential export and import tariff schedule under Decree 26/2023/ND-CP. This article will analyze in detail the latest points to help businesses optimize costs and comply with tax laws in 2026.
Fluctuations in export taxes: Encouraging industrial gases, controlling raw resources.
The biggest change in the export tax categories under Decree 199/2025/ND-CP is the contrast between two groups of goods: Industrial gases and Minerals.
Tax reduction under Article 0% for industrial gases.
To support domestic gas producers in expanding into international markets, the export tax rate has been adjusted from 3% down to 0% for the following items:
- Argon gas.
- Nitrogen gas, Oxygen gas.
- Other rare gases.
The reduction of the tax rate to 0% is a positive signal, facilitating the flow of goods for the industrial gas sector. However, in stark contrast to the spirit of encouraging exports in the gas sector, the government is applying stricter tax discipline to resource extraction items. A prime example is the tiered tax increase on yellow phosphorus, aimed at prioritizing the retention of raw materials for domestic production and environmental protection.
The tax increase schedule for yellow phosphorus (Commodity Code 2804.70.00) is becoming increasingly stringent.
Yellow phosphorus is currently subject to a progressive tariff increase schedule. Businesses need to pay particular attention to these timelines to avoid being caught off guard in their financial planning.
- From July 8, 2025: The tax rate will increase from 3% to 5%.
- From January 1st, 2026: The 10% tax rate will be officially applied.
- From January 1st, 2027: Increase to the maximum level of 15%.
Not only does Decree 199/2025/ND-CP affect export goods, it also creates a "wave" of adjustments in the opposite direction. The increase in preferential import taxes on basic plastic and steel materials is posing a challenge for manufacturing businesses to optimize input costs in 2026.
Adjusting Most Favored Nation (MFN) import duties for raw materials in 2026.
Decree 199/2025/ND-CP adjusts the MFN tax rate upwards for several groups of basic plastic and steel raw materials, directly impacting the production costs of the household plastics and packaging industries.
Polyethylene and Polymer Resin Group
The tariff rate has increased from 0% to 2% for the following product groups:
- Code 3901.10.92: Polyethylene containing alpha-olefin monomers in amounts of 5% or less.
- Code 3901.20.00: Polyethylene with a specific gravity of 0.94 or more.
- Code 3901.40.00: Ethylene-alpha-olefin copolymers (specific gravity < 0.94).
- Code 3902.90.90: Other forms of propylene polymers.
Steel Group (Tin-mill Black Plate – TMBP)
For the item "Rolled black steel sheets for tin plating" (code 7209.18.10), the MFN tariff rate has been raised from 0% to 7% since September 2025. Throughout 2026, businesses producing tin cans and canned goods need to seek supply sources from countries that have signed FTAs with Vietnam to benefit from the 0% tariff rate instead of the current MFN rate of 7%.
Automotive component tax incentive program: A turning point for green vehicles.
This is considered a "highlight" of Decree 199/2025/ND-CP, as it adds regulations that make it easier for automotive businesses to meet the conditions for enjoying import tax under Decree 0% on automotive components.
The mechanism for combining production output for "Green Vehicles"
Previously, Decree 26/2023/ND-CP was primarily based on the production volume of traditional gasoline or diesel vehicles. The new regulation in point c.3.6, clause 3, Article 8 allows for:
- Add the output of environmentally friendly vehicles (electric vehicles, hybrid vehicles, fuel cell vehicles, vehicles running entirely on natural gas or biofuels) to the overall and individual output of their respective vehicle groups.
- This helps businesses easily reach the minimum production threshold to qualify for import tax refunds on components.
The company holds over 351% of the charter capital of automobile manufacturing and assembly companies.
An important addition for businesses that own:
- Businesses holding more than 351 TP3T of charter capital in automobile manufacturing and assembly companies that have been granted certificates of eligibility for automobile manufacturing and assembly by the Ministry of Industry and Trade (referred to as owning businesses) will have their automobile manufacturing and assembly production combined with that of the other companies if they meet the prescribed conditions to calculate the minimum production volume when considering eligibility for tax incentives under the Tax Incentive Program.
- The Customs agency will process tax refunds corresponding to the actual output of each company. This allows corporations to restructure their production chains without worrying about losing tax incentives.
Decree 199/2025/ND-CP presents not only cost challenges but also significant opportunities for businesses that know how to take advantage of preferential policies on electric vehicles and restructure production.
See more: New penalties for taxes and invoices effective from January 16, 2026.
Conclude
Decree 199/2025/ND-CP presents not only cost challenges but also significant opportunities for businesses that leverage preferential policies on electric vehicles and restructure production. Proactively updating on changes in MFN tariff rates and export roadmaps will help businesses maintain a competitive advantage in the volatile market of 2026.
Is your business struggling to adapt to the new tax rates or in need of expert advice on tax refund procedures? Let the team of experts at MAN – Master Accountant Network support you. Contact us today for assistance in reviewing and optimizing your business's tax plan for 2026!
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Content production by: Mr. Le Hoang Tuyen – Founder & CEO MAN – Master Accountant Network, Vietnamese CPA Auditor with over 30 years of experience in Accounting, Auditing and Financial Consulting.
Source: Decree 199/2025/ND-CP.
MAN Editorial Board – Master Accountant Network
