REPRESENTATIVE OFFICE AND BRANCH ESTABLISHMENT LICENSES APPROACHING EXPIRY: REQUIRED PROCEDURES 

REPRESENTATIVE OFFICE AND BRANCH ESTABLISHMENT LICENSES APPROACHING EXPIRY: REQUIRED PROCEDURES 

The Establishment License of a Representative Office (RO) or Branch of a foreign trader in Vietnam is granted for a definite term. As the License approaches its expiry date, the foreign trader should proactively carry out the renewal procedures within the statutory timeframe to ensure that the RO or Branch can continue its operations lawfully without interruption. The following are the key regulations and procedures to be noted when applying for renewal of the License.

1. Applicable cases

Pursuant to Article 9 of Decree No. 07/2016/ND-CP, the Establishment License of a Representative Office (RO) or Branch of a foreign trader in Vietnam is valid for 05 years, but must not exceed the remaining validity period of the foreign trader’s Business Registration Certificate or an equivalent document where such document specifies a validity period. When the License is approaching expiry and the foreign trader wishes to continue its operations in Vietnam, it must carry out procedures for renewal of the License.

Pursuant to Clause 1, Article 23 of Decree No. 07/2016/ND-CP, the renewal application must be submitted at least 30 days before the expiry date of the License. Accordingly, the foreign trader should proactively review the validity period of the License and prepare the renewal dossier in advance to avoid any interruption to its operations.

2. Competent authorities for processing the application

Pursuant to Article 5 of Decree No. 07/2016/ND-CP, for an RO located outside an industrial park, export processing zone, economic zone or hi-tech park, the Department of Industry and Trade of the province or centrally-run city where the RO is headquartered is competent to issue, amend, renew and revoke the License.

For an RO located within an industrial park, export processing zone, economic zone or hi-tech park, the relevant Management Board shall have jurisdiction over the licensing procedures.

For a Branch, the competent licensing authority shall be determined in accordance with Article 14 of Decree No. 07/2016/ND-CP and the applicable mechanism for management of the relevant operating location.

3. Procedures

Step 1: Prepare the application dossier

  • Responsible party: The foreign trader.
  • Work to be performed: Review the validity period of the License and the conditions for continued operation, and prepare one renewal application dossier in accordance with Article 22 of Decree No. 07/2016/ND-CP.
  • Timeline: Complete and submit the dossier at least 30 days before the expiry date of the License pursuant to Clause 1, Article 23.

Step 2: Submit the application dossier

  • Responsible party: The foreign trader or its duly authorized representative.
  • Work to be performed: Submit the dossier in person, by post or online where applicable, to the licensing authority pursuant to Clause 2, Article 23 of Decree No. 07/2016/ND-CP.
  • Timeline: Within 03 working days from the date of receipt of the dossier, the licensing authority shall examine the dossier and request supplementation if the dossier is incomplete or invalid. Such request for supplementation may be made only once.

Step 3: Appraisal and renewal of the License

  • Responsible party: The licensing authority.
  • Work to be performed: Review and appraise the dossier and issue a decision to renew or refuse to renew the License.
  • Timeline: Within 05 working days from the date of receipt of a complete and valid dossier, the licensing authority shall renew the License. In case of refusal, a written notice specifying the reasons must be issued. Where consultation with the relevant Ministry is required, the processing period shall comply with Clause 5, Article 23 of Decree No. 07/2016/ND-CP.

4. Required documents

Pursuant to Article 22 of Decree No. 07/2016/ND-CP, the renewal dossier includes:

  • Application for renewal of the Establishment License of the RO/Branch in the form prescribed by the Ministry of Industry and Trade: Original;
  • Copy of the foreign trader’s Business Registration Certificate or an equivalent document;
  • Copy of the issued RO/Branch Establishment License;
  • Documents evidencing that the foreign trader is operating in accordance with applicable regulations;
  • Other documents required under specialized laws and regulations, if any.

For documents issued by foreign authorities, translation into Vietnamese, notarization/certification and consular legalization shall be carried out in accordance with Decree No. 07/2016/ND-CP and relevant laws and regulations.

5. Procedural outcome

Where the application satisfies all applicable conditions, the competent authority shall issue a renewed Establishment License for the RO or Branch. The validity period of the renewed License shall be determined in accordance with Clause 3, Article 9 of Decree No. 07/2016/ND-CP, i.e. it must not exceed 05 years and must not exceed the remaining validity period of the foreign trader’s Business Registration Certificate or equivalent document where such document specifies a validity period.

Legal Basis

Decree No. 07/2016/ND-CP detailing the Commercial Law regarding representative offices and branches of foreign traders in Vietnam.

    𝐋𝐈𝐍𝐂𝐎𝐍 𝐋𝐀𝐖 𝐅𝐈𝐑𝐌 – 𝐒𝐮𝐬𝐭𝐚𝐢𝐧𝐚𝐛𝐥𝐞 𝐜𝐨𝐨𝐩𝐞𝐫𝐚𝐭𝐢𝐨𝐧

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