Question: We are Singapore company and would like to set up entity in Vietnam. We will focus on freight forwarding business and out-source local transportation / warehousing / Customs Declaration as well as other local activities to local vendors.
In other words, the entity in Hai Phong will not physically perform the transportation within the medium term (say 3-5 years). We will make further evaluation by that time to see whether we should fine-tune our strategy.
Your further guidance will be highly appreciated
Answer: It is grateful to know you and your company. We are willing to help you setting up company in Vietnam.
Logistic service is classified to conditional investment sectors in Vietnam. Then, you shall have to comply with foreign ownership restriction, particular as follows:
+ Custom clearance: You shall have to setup a joint venture company with a Vietnamese Partner. You can own up to 99.99% capital of the joint venture.
+ Freight transportation agency: You can setup wholly foreign owned company.
+ Warehouse service: You can setup wholly foreign owned company.
+ Road Freight transportation: You can own maximum 51% capital of a company in Vietnam.
+ Road Passenger transportation: You can own maximum 49% capital of a company in Vietnam.
Here above is several information regarding to logistic services in Vietnam. We shall discuss in further detail when you provide us information of your proposed business activities in Vietnam.
