Page 256 - CRC_One Report 2021_EN

Business Overview and Performance Corporate Governance Financial Statements Enclosure

onward, a plan for environmental protection must be in the Vietnamese market. The law also applies to
registered with and acknowledged by a provincial public service agencies that are not an enterprise,
natural resources and environment office, a district-level such as hospitals or schools; (2) Calculation of market
committee of people, a community-level committee share-A new method of calculation is set to determine
of people, or an agency tasked with managing the market share of enterprises in the relevant market.
an industrial estate/zone, an economic park/zone The calculation is based on the percentage of goods
or an export park/zone. and service volume that the enterprise involved sells
or buys, in comparison to the total units of goods and
After receiving approvals from responsible agencies, service sold or purchased each month, each quarter or
an authorized agency may conduct examinations each year by all the enterprises involved in the market;
occasionally to ensure compliance with applicable (3) Anticompetitive practices agreements-The law
environmental standards. prohibits any contract that restricts new competition,
including deals on sharing customers, on avoiding
11. Vietnam’s Regulations and transactions with enterprises that have not signed
Laws on Fire Safety any contract together, on restriction of the product
market, product sources, and the service provision
Before the construction of most commercial buildings to enterprises that have not signed any contract
(such as a supermarket or a shopping mall), project together, as well as other contracts that significantly
developers are required to submit a design blueprint for result or may result in restricted competition; and (4)
fire prevention and firefighting, with assessment from Business merger-Previously, any transaction that leads
the Vietnam’s national police department or provincial to economic concentration (such as a merger, combination
police in charge of fire prevention, firefighting, fire relief or acquisition) is prohibited only in case such an action
and rescue, depending on the size of the construction work. can result in increasing the relevant enterprise’s market
Relevant certificates from state agencies authorized to share to over 50 per cent. However, under the 2018
approve the construction design and issue a construction legislation, a new definition for “economic concentration”
permit are required. Before business operation begins, focuses on the fact as to whether the transaction
the construction work that was evaluated on fire prevention significantly results or may result in restricted competition.
and firefighting must undergo testing on fire prevention
and firefighting. The test result forms the foundation 13. Vietnam’s Law on

for the project’s investors to make their decision and to Consumer Right Protection
start the construction. Moreover, any company that
owns a shopping mall, supermarket or grocery store with On 17 November 2010, the National Assembly of Vietnam
an area of 300 square metres and over, or a capacity approved the Law on Protection of Consumers’ Rights
of 1,000 cubic metres and more, is required to take fire/ No. 59/2010/QH12, which sets the regulations about
explosion insurance in line with applicable regulations. the rights and duties of consumers, the liability of
organisations or persons selling goods and/or services
12. Vietnam’s Laws on Trade Competition to consumers, the responsibility of social organisations in
protecting consumers’ interest, the resolution of disputes
On 12 June 2018, the National Assembly of Vietnam between consumers and organisations or persons selling
endorsed a new Competition Law No. 23/2018/QH14 goods and/or services, and the state’s responsibility in
(“Trade Competition Law 2018”), effective from 1 July 2019. defending consumers’ benefits. This legislation specifies
This new legislation replaces Competition Law the following responsibilities of relevant agencies
No. 27/2004/QH11, which was issued by the National that supply goods and services to consumers:
Assembly of Vietnam on 3 December 2004. The 2018
Competition Law has the following important principles (1) Product labelling in compliance with relevant laws;
that differ from the previous one: (1) The scope of (2) Public announcement of prices for products and/
enforcement-The 2018 legislation governs activities by or services at the place of business; (3) Display of
both Vietnamese and foreign legal entities or persons warning and protective measures to consumers in case
that “result or may result in restricted competition” that goods and/or products may endanger health, life

256 Annual Report 2021 (Form 56-1 One-Report)