Bản tin hàng tháng OneStepVietnam – Tháng 7/2025
ECONOMIC NEWS
July continued to mark a breakthrough milestone in Vietnam’s import‑export outlook: export turnover of core goods reached more than USD 41.6 billion (the highest monthly figure so far in 2025), pushing the total seven‑month export to USD 261.8 billion, increasing upto 14.6 percent year‑on‑year, while import turnover over the same period was estimated at USD 252.1 billion, resulting in a trade surplus of USD 9.7 billion.
Against this backdrop, the Government issued a suite of policies effective on July 1, 2025 to support enterprises and boost investment: Decree 117/2025/ND‑CP requires e‑commerce platforms to withhold and remit VAT on behalf of household and individual sellers in accordance with Vietnamese tax regulations; Decree 180/2025/ND‑CP on the public-private partnership (PPP) mechanism was introduced to open new channels of capital mobilization for developing science & technology, infrastructure, and digital transformation. At the same time, the Green Industry Forum 2025 emphasized that “green industrial parks” can boost labor productivity by 15% to 25% through the use of high-tech systems, eco-friendly facilities, and improved labor conditions, paving the way for Vietnam to join the global value chain with cleaner, higher-value products.
Price pressures remained well-managed through July. Inflation has remained below the government’s 4 – 4.5% target on average, helping to preserve macroeconomic stability. Consumer price index (CPI) increases have moderated thanks to stable food supplies and easing fuel costs, even as economic activity accelerates. Meanwhile, Vietnam’s fiscal position strengthened on the back of the growth momentum. Vietnam reduced the VAT from 10% to 8% (Decree No. 174/2025/ND-CP), effective until 2026, to boost consumer spending and ease business costs.
In mid-2025, Vietnam’s National Assembly formally approved an unprecedented merger of provincial-level administrative units, nearly halving their number. On June 12, 2025, the legislature passed Resolution 202/2025/QH15 to reduce 63 provinces and centrally run cities down to 34 (28 provinces and 6 cities). This brought Vietnam to the fewest provinces since national reunification, marking the largest territorial reorganization in modern history. Accompanying resolutions restructured lower-level governments as well – over 10,000 commune-level units were consolidated into 3,321 new communes, wards, and special towns. Crucially, the reform introduced a “two-tier” local government model, eliminating the district-level councils. Power is now exercised at only the provincial and commune levels, a structural shift that required amendments to the Law on Local Government (and even constitutional changes) to implement. This bold administrative overhaul, described by officials as a “comprehensive revolution” was undertaken to streamline governance nationwide.
Source: Online Newspaper of the Government, General Statistics Office, Ministry of Finance
NEW LEGAL REQUIREMENTS
1. Law No. 87/2025/QH15 on Amendments to Certain Articles of the Law on Promulgation of Legislative Documents
On June 25, 2025, at its 9th Session, the 15th National Assembly officially promulgated Law No. 87/2025/QH15. This Law takes effect from July 1, 2025, intending to consolidate and improve the legal framework governing the promulgation of normative legal documents; clearly defining the competence and decentralization between central and local authorities; and enhancing transparency, consistency, and efficiency in the organization and implementation of such documents.
The following content sets out in detail the classification system of normative legal documents, hierarchically from the central to the local level, as prescribed in Law No. 87/2025/QH15:
A. The system of legislative documents
– The Constitution.
– Codes and laws (hereinafter referred to as “laws”), resolutions of the National Assembly.
– Ordinances, resolutions of the Standing Committee of the National Assembly; joint resolutions between the Standing Committee of the National Assembly and the Presidium of the Central Committee of the Vietnamese Fatherland Front; joint resolutions between the Standing Committee of the National Assembly, the Government, and the Presidium of the Central Committee of the Vietnamese Fatherland Front.
– Orders, decisions of the President.
– Decrees, resolutions of the Government; joint resolutions between the Government and the Presidium of the Central Committee of the Vietnamese Fatherland Front.
– Decisions of the Prime Minister.
– Resolutions of the Council of Justices of the People’s Supreme Court.
– Circulars of the Chief Justice of the People’s Supreme Court; circulars of the Prosecutor General of the Supreme People’s Procuracy; circulars of Ministers, Heads of ministerial agencies; Circulars of the State Auditor General.
– Joint circulars between the Chief Justice of the People’s Supreme Court, the Prosecutor General of the Supreme People’s Procuracy, the State Auditor General, Ministers, and Heads of ministerial agencies.
– Resolutions of People’s Councils of provinces and cities (hereinafter referred to as “provinces”).
– Decisions of People’s Committees of provinces.
– Decisions of Chairpersons of People’s Committees of provinces.
– Legislative documents of local governments in special administrative-economic units.
– Resolutions of People’s Councils of communes, wards, and special administrative units affiliated to provinces (hereinafter referred to as “communes”).
– Decisions of People’s Committees of communes.
B. Resolutions of provincial People’s Councils, decisions of provincial People’s Committees, decisions of Chairpersons of provincial People’s Committees
– Provincial People’s Committees shall promulgate resolutions to:
+ Elaborate articles, clauses, points, and other issues assigned in the legislative documents promulgated by superior regulatory agencies;
+ Prescribe policies and measures to ensure the implementation of the Constitution, laws, and legislative documents promulgated by superior regulatory agencies;
+ Prescribe policies and measures for local socio-economic development, budget, and national defense and security; other special measures that suit the local socio-economic development conditions; decentralization of tasks and powers, and exercise of decentralized tasks and powers;
+ Pilot implementation of policies as prescribed by the Law on Local Government Organization.
– Provincial People’s Committees shall promulgate decisions to:
+ Elaborate articles, clauses, points, and other issues assigned in the legislative documents promulgated by superior regulatory agencies;
+ Prescribe measures for implementation of the Constitution, laws, and legislative documents promulgated by superior regulatory agencies, resolutions of the People’s Councils at the same level on local socio-economic development, budget, and national defense and security;
+ Prescribe measures for performing their state management functions locally; decentralization of tasks and powers, and exercise of decentralized tasks and powers.
– Chairpersons of provincial People’s Committees shall promulgate decisions to:
+ Prescribe measures for directing and managing the operation of provincial People’s Committees; cooperation between specialized agencies, other agencies, and organizations affiliated to provincial People’s Committees;
+ Prescribe the decentralization of tasks and powers and the exercise of decentralized tasks and powers.
C. Legislative documents of local governments in special administrative-economic units and districts, and communes
– Local governments in special administrative-economic units shall promulgate legislative documents as prescribed in this Law and other relevant legislative documents of the National Assembly.
– People’s Councils of communes shall promulgate resolutions to prescribe:
+ Issues assigned in the laws and resolutions of the National Assembly;
+ Policies and measures to ensure the implementation of the Constitution, laws, and legislative documents promulgated by superior regulatory agencies;
+ Policies and measures for local socio-economic development; exercise of decentralized tasks and powers;
– People’s Committees of communes shall promulgate decisions to prescribe:
+ Issues assigned in the laws and resolutions of the National Assembly;
+ Measures for implementation of the Constitution, laws, and legislative documents promulgated by superior regulatory agencies, resolutions of the People’s Councils at the same level;
+ Measures for performing their state management functions locally; exercise of decentralized tasks and powers.
2. Decree No. 158/2025/ND‑CP on Elaboration and Guidance on Implementation of Some Articles of the Law on Social Insurance Regarding Compulsory Social Insurance
Key updates in the regulation include:
– Exemption from compulsory social insurance contributions for probationary contracts; employees working part-time with a monthly salary lower than the minimum contribution threshold are not required to participate.
– Registered business household owners are required to participate in compulsory social insurance: from July 1, 2025, for those declaring tax under the declaration method, and extended comprehensively (including households paying presumptive tax) from July 1, 2029.
– Employees assigned to study, intern, or work domestically or abroad while still receiving a salary in Vietnam must continue to contribute to compulsory social insurance.
– The statutory base salary is abolished, replaced by a “reference level” set by the Government (not lower than the current base salary); this level is adjusted based on the Consumer Price Index, economic growth, and the sustainability of the social insurance fund.
– Detailed regulations on salary as the basis for social insurance contributions: Labor contracts based on hourly/daily/weekly wages: salaries are converted according to contractual terms; Salaries paid in foreign currency: converted using the average buying rate of four state-owned commercial banks, updated on January 2 and July 1 each year; Enterprise managers who do not receive salary are still assigned a participant code and required to contribute to compulsory social insurance according to their applicable group.
– Expanded scope of retroactive and additional social insurance contributions: Applies to cases of retrospective salary increases and Vietnamese employees signing new contracts abroad upon returning to Vietnam; The deadline for retroactive contributions is shortened to the end of the following month (after the salary increase or repatriation month); Late payment interest is capped at 0.03%/day (calculated on the total payable amount).
– For foreign employees working in Vietnam: Having labor contracts of 12 months or more must participate in compulsory social insurance; Employees contribute 8% of salary; Employers contribute 17% (3% for sickness/maternity + 14% for retirement/survivorship); plus occupational accident insurance (~ 0.5%) → total contribution is approximately 30% of monthly salary.
– Retirement and one-time social insurance benefits are adjusted: If the employee has contributed for 20 years and the pension calculated under the formula is lower than the reference level, they will receive a pension equal to the reference level. Periods of voluntary and compulsory contributions can be combined to meet eligibility for retirement benefits under the compulsory scheme.
The decree was issued on June 25, 2025, and took effect on July 1, 2025.
3. Decision No. 61/QD-TLD on Adjustment and Reduction of Trade Union Fee Contributions
On July 29, 2025, the Presidium of the Vietnam General Confederation of Labour (VGCL) issued a decision regarding the adjustment of trade union fee contributions.
Accordingly, union members at grassroots trade unions within non-state enterprises – including joint-stock companies without controlling state capital, non-public service units, cooperative unions, foreign organizations and international entities operating within Vietnamese territory, foreign executive offices under business cooperation contracts in Vietnam, and union members working overseas – will contribute a monthly trade union fee equal to 0.5% of their salary used as the basis for mandatory social insurance contributions in accordance with social insurance laws. However, the maximum monthly contribution is capped at 10% of the State’s prescribed base salary.
These grassroots trade unions are allowed to collect union fees from members at a rate of 0.5% of the actual take-home salary (after deductions for social insurance, health insurance, unemployment insurance, and personal income tax), or at a higher rate than 0.5% of the salary base for social insurance if approved through a written resolution by the expanded Executive Committee of the grassroots trade union (from union team leaders and above). This rate must be clearly specified in the union’s internal financial regulations.
Any union fees collected more than the standard rates stipulated in Clauses 2 and 3 of this regulation will be retained 100% by the grassroots trade union to supplement operational expenditures in compliance with applicable regulations. When submitting financial statements, grassroots unions must separately report the additional fee amount using the prescribed template to provide a clear basis for calculating contributions due to higher-level trade union bodies.
The decision was issued on July 29, 2025, and took effect on July 1, 2025.
ONESTEPVIETNAM NEWS
In July 2025, OneStep Vietnam remained actively engaged in advancing social compliance efforts. On July 15 and 17, the team participated in two separate Mid-Year Check-In sessions – one for Member Firms and one for Member Auditors – organized by the Association of Professional Social Compliance Auditors (APSCA). These sessions provided valuable departmental updates from APSCA, introduced newly appointed personnel from various departments, and offered deeper insights into the CSCA examination process, including Q&A discussions to support auditors on their certification journey.
Throughout the month, OneStep Vietnam consistently carried out a diverse range of audits, assessments, and verifications across multiple factories, reaffirming our dedication to upholding ethical standards and promoting responsible sourcing practices.
OneStepVietnam team – July 2025