WTO, EVFTA, or Other International Commitments – Which Legal Framework Should Foreign Investors Rely On?
When establishing a foreign-invested enterprise in Vietnam, many investors focus primarily on Vietnam’s WTO commitments. In practice, however, WTO is only one of several international agreements that may be relevant when assessing market access conditions.
Depending on the investor’s nationality, the analysis may also involve the EVFTA, CPTPP, UKVFTA, ASEAN agreements, or other international treaties to which Vietnam is a party.
For example, in architectural services (CPC 8671), Vietnam’s WTO Schedule of Commitments generally requires foreign investors to be legal entities of a WTO member country. By contrast, for investors from the European Union, the EVFTA may offer a more flexible approach in certain circumstances, as it does not expressly require the investor to be a foreign legal entity.
Since different international agreements may provide different market access conditions, identifying the most appropriate legal basis requires a case-by-case assessment, taking into account the investor’s nationality, business sector, investment structure, and the licensing authority’s interpretation and practice.
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