Regulations on import and demolition of used ships

Illustration image. Source: Internet

This Decree stipulated about the subject and conditions that allow imports of used ships in order to manage the activities of demolishing used ships in Vietnam.

The Decree specified that used ships with hulls of non-metallic materials allowed to be imported for demolition including: 1-Dry ships include: General goods, bulk cargo, equipment, woodchip, timber, cereals, packed goods, iron and steel; 2-Container vessels; 3-vessels carrying ores; 4-oil carrier including: Crude oil, vegetable oil; 5-Liquid petroleum gas carrier gas tanker; 6-RO ship, other ships, sea barges, sea ferries.

Used ships imported for demolition must meet the following conditions: belonging to one of six types of ships as mention above; the shipowner must have a confirmation document and is responsible for the commitment that the ship is not in the state of mortgages or maritime claims;do not convert, upgrade or change the purpose of use and not transfer, buy or resell.

The Decree also stipulated that enterprises importing used ships for demolition must meet the following conditions: a Vietnamese enterprise wholly owned by Vietnamese organizations and individuals; an owner, manager or operator of a ship demolition establishment that has already been put into operation in accordance with the provisions of law.

Ship demolition establishments must meet the following conditions: having wharves and navigable party announced under Decree No. 58/2017/ND-CP dated May 10, 2017; the establishment should be eligible to environmental protection conditions as prescribed in the provisions of Decree No. 40/2019/ND-CP dated May 13, 2019; having human resources and processes for controlling dangerous factors and plans for handling technical incidents causing serious occupational safety and health as stipulated in the provisions of Decree No. 39/2016/ND-CP dated May 15, 2016; having safety conditions for fire prevention and fighting as complied with the provisions of Decree No. 79/2014/ND-CP dated July 31, 2014, and the Law amending and supplementing a number of articles on the law on fire prevention and fighting.

The decree also specified the principle of importing and demolition of used ships.

Accordingly, the import and demolition of used ships must ensure maritime safety, maritime security, labor safety, fire and explosion prevention; as well as protect human health and the environment.

The demolition of used ships should be carried out only at the ship demolition establishments that have been put into operation as prescribed.

Used ships imported for demolition must be brought into the demolition establishment within 30 days after completing customs procedures but not exceeding 90 days after the day that ship arrived at the first Vietnam seaport. The time for demolition must not exceed 180 days from the starting date of demolition.

Enterprises importing or demolishing used ships must buy the insurance and fulfill the obligations of covering a loss about the environment relating to the import and demolition of used ships as prescribed.