Legal guidelines: Market Access Conditions for Foreign Investors: The Most Detailed Regulations for Investors

1

Production and distribution of cultural products, including video  recordings on any medium  

WTO, VKFTA, VJEPA, AFAS, RCEP, AIFTA, AJCEP, ACFTA, AKFTA, ACFTA, AANZFTA, VN-EAEU FTA, AHKFTA: The right to distribute video records on whatever medium is excluded from these commitments.

Motion picture production (CPC 96112, excl. video tape), Motion picture distribution (CPC 96113, excl. video tape), Motion picture projection service (CPC 96121):

1. All films must have their content censored by Vietnam's competent authorities.
2. Only in the forms of business cooperation contracts or joint ventures with Vietnamese partners who are authorized to provide these services in Vietnam.  Foreign capital contribution may not exceed 51% of the legal capital of the joint venture.

Particularly for Motion picture projection service (CPC 96121): Vietnam's houses of culture, film projection place, public cinema clubs and societies and mobile projection teams are not allowed to engage in business cooperation contract or joint-venture with foreign service suppliers.

Particularly for WTO, VKFTA, VJEPA, ACFTA, AFAS, RCEP (This Sector belongs to List of MFN Exemption):

For production and distribution of television programs and cinematographic works: Measures granting the benefit of support programs to audiovisual works, and suppliers of such works meeting origin criteria.

ACIA: No investment license shall be issued to foreign investors in these sectors (Vietnam’ schedule of commitments):

1. Publishing of books, brochures, musical books and other publications (ISIC 2211);
2. Publishing of newspapers, journals and periodicals (ISIC 2212);
3. Publishing of recorded media (ISIC 2213);
4. Other publishing (ISIC 2219).

Particularly in the VN-EAEU-FTA

Cinemas must screen Vietnamese films on the occasion of big anniversaries of the country and for political, social and foreign relation tasks under regulations of the Ministry of Culture, Sports and Tourism. The ratio of screening Vietnamese feature films to total film shows must be at least 20%. Vietnamese feature films must be screened in the daily timeframe from 18 hours to 22 hours and may be screened at other hours.

EVFTA, UKFTA (Annex 8-C, Sub-paragraph 1(b)):

For production and distribution of cultural products sector, including video records, Vietnam may adopt or maintain any measure with respect to the operation of an enterprise as defined in subparagraphs 1(e) and 1(m) of Article 8.2

(Definitions) that is not in conformity with paragraph 2 of Article 8.5 (National Treatment), provided that such measure is not inconsistent with the commitments set out in Annex 8-B (Vietnam's Schedule of Specific Commitments).

CPTPP (Annex I – VN – 9):

Motion picture production (CPC 96112), Motion picture distribution (CPC 96113) and Motion picture projection service (CPC 96121):

1. Foreign investment to provide motion picture production, distribution and projection services may not be permitted except through a business cooperation contract or a joint venture with a Vietnamese partner legally authorized to provide such services, or the purchase of shares in a Vietnamese enterprise legally authorized to provide such services. In the case of a joint venture or the purchase of shares in an enterprise, foreign equity shall not exceed 51%.
2. For motion picture projection service, foreign organizations and individual are not permitted to engage in business cooperation contract or joint-venture with Vietnam’s houses of culture, public cinema clubs and societies, mobile projection teams, or owners or operators of temporary film-projection locations.
3. Cinemas must screen Vietnamese films on the occasion of major anniversaries of the country. The ratio of screening Vietnamese films to total films shall not be less than 20 per cent on an annual basis. Cinemas should show at least one Vietnamese film between the hours of 18:00 and 22:00.

Import/Export Services: Foreign investment in state-trading enterprises of Vietnam that import publications, recorded media as specified in Table 8(c) of the Report of the Working Party on the Accession of Vietnam in the WTO may not be permitted. For greater certainty, and consistent with Article 9.12.1(c) (Non-Conforming Measures), the liberalization of a state trading enterprise does not require the liberalization of all state trading enterprises.

Production and Distribution of Video Records: Vietnam reserves the right to adopt or maintain any measure in respect of investment in the production and distribution of video records on whatever medium..

Law of Vietnam:

Eligibility for circulating of audio and/or visual records containing art performances in the territory of Vietnam for commercial purposes to foreign organizations and individuals ^[1]:

1. Foreign organizations and individuals distributing audio and visual records containing art performances on Vietnamese territory shall conform to Decree 144/2020/ND-CP dated December 14, 2020 on performance arts and other relevant law provisions and must not contradict international agreements to which the Socialist Republic of Vietnam is a signatory. Eligibility for circulating of audio and/or visual records containing art performances for commercial purposes:

• Being public service providers capable of delivering art performances; being applicants for circulation of audio and/or visual records as per the law;
• Performing copyright deposit according to Article 23 of Decree 144/2020/ND-CP.

2. Foreign organizations and individuals must not directly distribute visual records containing art performances on Vietnamese territory.

2

Production and distribution, projection of television programs and art, cinematographic works

WTO, VKFTA, VJEPA, ACFTA, AFAS, RCEP (This sector belongs to List of MFN exemptions):

Production, distribution and projection of television programs and cinematographic works: Measures based upon coproduction agreements of audiovisual works, which confer National Treatment to audiovisual works covered by such agreements.

CPTPP (Annex NCM II-VN-21)

Production, distribution, and projection of television programs and cinematographic works: Vietnam reserves the right to adopt or maintain subsidies inconsistent with Article 9.10.2 (Performance Requirements) for audio-visual services and preferential treatment to television programs and cinematographic works produced under coproduction agreements.

EVFTA, UKFTA (Annex 8-C, subparagraph 1(b))

Production and distribution of cultural products, including video records, Vietnam may adopt or maintain any measure with respect to the operation of an enterprise as defined in subparagraphs 1(e) and 1(m) of Article 8.2 (Definitions) that is not in conformity with paragraph 2 of Article 8.5 (National Treatment), provided that such measure is not inconsistent with the commitments set out in Annex 8-B (Vietnam's Schedule of Specific Commitments).

Law of Vietnam:

Distribution of audio and visual records containing art performances of foreign organizations and individuals in Vietnam ^[2]:

1. Foreign organizations and individuals distributing audio and visual records containing art performances on Vietnamese territory shall conform to this Decree and other relevant law provisions and must not contradict international agreements to which the Socialist Republic of Vietnam is a signatory.
2. Foreign organizations and individuals must not directly distribute visual records containing art performances on Vietnamese territory.

3

Provision of radio and television broadcasts

CPTPP (Annex NCM II-VN-19):

Vietnam reserves the right to adopt or maintain any measure with respect to the sub-sectors listed above, including regulating activities in these sub-sectors in accordance with Vietnam’s laws and regulations.

For greater certainty, the absence of a reservation against the cross-border services obligations does not preclude Vietnam from ensuring that the cross-border supply of the listed subsectors complies with Vietnam’s laws and regulations, including applicable registration and licensing requirements.

WTO, VKFTA, VJEPA, ACFTA, AFAS, RCEP:

Production and distribution of audiovisual works through broadcasting transmission to the public: Measures which extend National Treatment to audiovisual works which meet certain origin criteria regarding access to broadcasting transmission.

Noted: This sector belongs to lists of MFN exemptions

EVFTA, UKFTA (Annex 8-C, subparagraph 1(a))

For the sector of radio and television broadcasting, including video records on whatever medium, Vietnam may adopt or maintain any measure with respect to the operation of an enterprise as defined in subparagraphs 1(e) and 1(m) of Article 8.2 (Definitions) that is not in conformity with paragraph 2 of Article 8.5 (National Treatment), provided that such measure is not inconsistent with the commitments set out in Annex 8-B (Vietnam's Schedule of Specific Commitments).

Law of Vietnam:

Criteria for being granted the License for Provision of Paid Radio and Television Services^[3]:

1. Foreign-invested enterprises wishing to obtain such License shall have their policies adopted by the Prime Minister.
2. Have plans for provision of subscription services according to the development of radio and television services, planning on transmission and broadcasting, and other planning in the fields of broadcasting and electronic information;
3. Have a License for Establishment of Telecommunications Network or leasing agreement on telecommunications networks that satisfy technical requirements for transmission and broadcasting to their subscribers (for services specified in Points a, b, c Clause 1 Article 4 hereof; have a verified domain “.vn” or defined URL (for services specified in Point dd Clause 1 Article 4 hereof);
4. Have the following plans: plans for personnel arrangement, investments in technical equipment; forecast and analysis television service markets; business plans and service charges, estimates of investments and operating cost for at least the first 02 years; proofs of charter capital or the equivalent;
5. Have plans for establishment of transceiver stations of all Vietnamese and foreign channels, except for channels specified in the list of channels serving essential political propagation of provinces: including plans for engineering design for signal processing systems, Ethernet transmission equipment, subscriber service controllers and content protectors;
6. Apply state-of-the-art technologies which are conformable with the State’s regulations on technical regulations and standards to ensure service quality and information security; plans for handling technical errors to ensure the continuity of the services and subscribers’ benefits;
7. Compile a list of expected Vietnamese channels (excluding those specified in Clause 4 Article 13 hereof), and foreign channels, on-demand programs and value-added content that are expected to be broadcast via paid radio and television channel (hereinafter referred to as “subscription service”) enclosed with the written consent of their content provider;
8. Obtain an agreement on locations of receivers of channels in accordance with Point c Clause 1 Article 14 hereof.