Entering 2026, the fire safety equipment market in Vietnam is experiencing unprecedented opportunities. With the removal of many “sub-license” barriers and the introduction of new tax incentives, this is a “golden time” for investors to enter this promising market. However, to conduct business sustainably and legally, enterprises need to understand the latest regulations. Viet An Law Firm would like to provide clients with detailed advice on the procedures for setting up a fire protection equipment company in Vietnam according to current regulations.
Table of contents
Previously, according to Appendix IV of the 2020 Investment Law, the business of fire prevention and fighting services was a conditional business sector. Accordingly, businesses could conduct only fire protection equipment after being granted a Certificate of eligibility to conduct business in fire prevention and fighting services by the Public Security agency.
The conditions for conducting business in fire protection equipmentare stipulated in Clause 9, Article 41 of Decree 136/2020/ND-CP (amended and supplemented by Decree 50/2024/ND-CP). Accordingly, businesses selling fire safety equipment must meet the following requirements regarding the company’s legal representative: the head or legal representative of the business establishment must hold a diploma or certificate in fire prevention and firefighting, and must be the person whose name appears on the Business Registration Certificate.
However, according to the amended Investment Law of 2025, from July 1, 2025, fire prevention and fighting business will no longer be a conditional business sector. At the same time, the Law on Fire Prevention, Fighting and Rescue 2024, effective from July 1, 2025, and its guiding documents have abolished the regulation that fire prevention and fighting services are no longer a conditional business sector.
Therefore, from July 1st, 2025, the business of fire protection equipment will no longer be a conditional business sector and will no longer require a Certificate of Eligibility for Fire Prevention and Fighting Services as before.
However, when setting up a fire protection equipment company, it is necessary to pay attention to the conditions for company establishment according to the Enterprise Law of 2020, amended in 2025, such as the founding entity, company name, head office address, business lines…
The company registration documents vary depending on the type of business, as stipulated in Articles 19, 20, 21, and 22 of the Enterprise Law of 2020, amended in 2025, and Article 24 of Decree 168/2025/ND-CP. These documents primarily include:
Note regarding the recording of business sector codes in business registration documents: Companies trading in fire fighting equipment can register a 4-digit sector code in the System of Economic Sectors under Decision No. 36/2025/QD-TTg, such as:
Businesses trading in fire protection equipment often import goods. When registering for wholesale trade, the business automatically has the right to import and export these items without needing to register a separate import/export industry code, but should pay attention to customs procedures and quality inspection of imported goods.
The application will be submitted to the Provincial Business Registration Authority where the company is headquartered, specifically:
Within 3 working days from the date of receipt of the application, the Business Registration Authority is responsible for reviewing the validity of the application and issuing a new Business Registration Certificate.
If the application is invalid, the Business Registration Authority must notify the business in writing of the necessary amendments and additions. If the application is refused, the Business Registration Authority must notify the business in writing and state the reasons clearly.
To support new businesses entering the market, especially in key sectors related to social security, the 2025 Corporate Income Tax Law and Decree 20/2026/ND-CP have issued outstanding incentive regulations that businesses need to take advantage of immediately upon establishment:
Corporate Income Tax Exemption for the First 3 Years: Based on Decree 20/2026/ND-CP, newly established businesses that meet the conditions (regarding scale or investment location according to the new plan) will enjoy a 100% exemption from corporate income tax for the first 3 years. The tax exemption period is calculated continuously from the first year the business has taxable income.
Applying the Corporate Income Tax Law 2025: The new law has simplified tax settlement procedures and expanded deductible expenses when determining taxable income, creating favorable conditions for fire protection equipment businesses to optimize cash flow during the startup phase.
Therefore, immediately after completing the establishment procedures, businesses need to work with an accounting and tax consulting firm to register for these incentives in accordance with the procedures of Decree 20/2026/ND-CP, avoiding missing out on important financial benefits in the early years of operation.
Clients who need advice on setting up a fire protection equipment company in Vietnam are welcome to contact Viet An Law Firm for the best support.
