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Condition to set up a postal services company in vietnam (delivery)

Today, with the development of information technology, the postal service is increasingly focused. On the other hand, along with the development in the business of services, foreign investors are tending to invest in providing postal services in Vietnam. Foreign investors wishing to establish a Vietnamese postal service must follow these legal investment conditions.

Legal basis:

  • Vietnam’s commitment to the WTO
  • Law on Investment 2020;
  • Postal Law 2010;
  • Decree No.31/2021/ND-CP dated March 26, 2021;
  • Decree No.47/2011/ND-CP dated June 17, 2011;
  • Decree No.150/2018/ND-CP dated November 7, 2018.

Postal service is the service of accepting, transporting, and delivering mail by means from the sender’s location to the recipient’s location via the postal network, except online.

At the commitment form when Vietnam joined the WTO, delivery service has the code CPC 7512: there are no restrictions on postal services. After 5 years from the date Vietnam joined, it is allowed to establish a 100% foreign-invested company providing postal services.

Postal service is one of the occupations in the list of conditional occupations as prescribed in the Law on Investment 2020.

Conditions for a postal service business are prescribed in the Postal Law 2010.

Conditions on charter capital ownership ratio of foreign investors in economic organizations

Foreign investors are enabled to establish postal service companies with 100% foreign investment.

The minimum charter capital of the postal service business is prescribed as follows:

  • In case of providing postal services within the province or inter-provincial, a company must have a minimum capital of 02 billion VND;
  • In the case of providing international postal services, a company must have a minimum capital of 05 billion VND.

Conditions for investment form:

Foreign investors investing in postal services are carried out in the following forms:

  • Establishment of foreign-invested economic organizations;
  • Invest in the form of capital contribution, share purchase, capital contribution to economic organization.

Scope of postal service business of foreign investors

Foreign investors can establish postal service companies in the following scope:

  • Providing postal services within intra-provincial scope;
  • Providing postal services within inter-provincial and international scope.

Conditions for business licenses under specialized law

Foreign investors doing business in services after being granted investment registration certificates and business registration certificates need to issue postal service business licenses.

Investors are willing to find out postal service business license referenced in the article: Postal service business license (https://luatvietan.vn/giay-phep-kinh-doanh-dich-vu-buu-chinh.html)

Some questions related to the establishment of a company with 100% foreign-invested capital

Are acts prohibited when performing postal services?

Acts of being granted in postal operations include:

  • Sending, accepting, transporting, and distributing postage contains incitement, causing insecurity, undermining national unity, and destroying the State of the Socialist Republic of Vietnam.
  • Send, accept, transport, and deliver mail containing weapons, objects, explosives, poisons, radioactive substances, drugs, germs of epidemics aimed at terrorism, harming citizens’ lives and property, causing social disorder and safety.
  • Sending, accepting, transporting, and sending mail containing cultural products contrary to social ethics, contrary to Vietnamese customs and customs.
  • Impersonating others when using the postal service.
  • Appropriation and theft of postal mail; Swap the contents of the post.
  • Disclosing information on the use of postal services, opening and destroying illegal postage.
  • Violation of public postal works; Hindering legitimate postal operations.
  • Performing illegal competition in postal operations.
  • Illegal production, trading, and use of Vietnam Postage stamps and foreign postage stamps.
  • Illegal postal activity.

Do foreign investors need to be in a joint venture with domestic investors when investing in postal services?

Foreign investors can invest 100% to establish a foreign-invested company doing postal services in Vietnam.

What postal services are foreign investors allowed to do business with?

Foreign investors may trade in the following postal services:

  • Providing postal services within intra-provincial scope;
  • Providing postal services within inter-provincial and international scope.

Services for establishment of foreign-invested companies of Viet An Law firm

  • Advice on conditions for the establishment of foreign-invested capital companies: the rate of capital contribution of foreign investors in Vietnam; business conditions for industries; project location; note the procedures before and after the establishment of a foreign-invested company;
  • Advice on the selection of suitable types of companies for investors: Limited Company or Joint Stock Company;
  • Advice on opening capital transfer accounts and capital contribution durations;
  • Advice on guiding investors to prepare documents necessary to establish a foreign-invested company;
  • Advise and draft dossier of the establishment of companies for investors;
  • Represent investors to discuss with competent State agencies of Vietnam in the process of carrying out the procedures for establishing companies for investors (Apply for investment registration certificates, business registration certificates, business licenses, licenses according to specialized requirements, make legal seal and procedures after the establishment of the company,…;
  • Comprehensive, regular consulting, accounting services, tax law package activities arising in the process of doing business in Vietnam for investors.

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