Import-export of goods is a complex international trade activity that requires businesses to master the process from contract negotiation to the delivery of goods to the consignee. Each step in the process has its own legal requirements, documents, and procedures.
According to statistics from the General Department of Vietnam Customs, each year Vietnam has more than 15 million customs declarations processed. A clear understanding of import-export procedures not only helps businesses avoid legal risks but also optimizes customs clearance time and logistics costs.
See more articles container import costs to clearly understand the types of fees in the process.
VTM Logistics provides end-to-end logistics services, supporting businesses from contract negotiation, Incoterms consulting, and document preparation through to customs clearance and cargo transportation. With over 15 years of experience, we have partnered with hundreds of import-export businesses in Hai Phong and across the country.
Contract negotiation is the first and most important step, as it determines all responsibilities and costs of the parties. Both parties (buyer and seller) negotiate the terms on price, quantity, quality, delivery time, payment method, and Incoterms conditions.
When signing an international commercial contract, businesses should pay particular attention to Incoterms conditions (e.g., FOB, CIF, EXW, DDP), as these clearly define who is responsible for transportation, insurance, customs clearance, and risk at each point. A well-drafted contract helps avoid disputes later.
In addition, the contract should clearly specify the payment method (L/C, T/T in advance, D/P, D/A), delivery deadline, contractual penalties, and the applicable law in the event of a dispute. This is an important legal basis for proceeding with the next steps.
After the contract is signed, the seller proceeds to prepare the goods according to the agreed type, quantity, quality, and time. The goods need to be inspected, packed, and labeled in accordance with the regulations of the importing country and the contract requirements.
In parallel with preparing the goods, businesses need to prepare a full set of documents. The basic import-export document set includes: Sales Contract, Commercial Invoice, Packing List, Bill of Lading or Air Waybill, Certificate of Origin (C/O), Certificate of Quality (CQ), and related permits.
Practical tip: Document errors are the leading cause of customs clearance delays. Carefully check the information on the Invoice and Packing List: the goods description must match the HS code, and the quantity and weight must be accurate. A small error in the documents can cause the shipment to be held by customs for 2-3 days.
Special goods such as food, chemicals, and pharmaceuticals require additional quarantine certificates, food safety and hygiene certificates, or specialized import licenses. Preparing full documents from the start helps the customs clearance process go smoothly.
Depending on the Incoterms conditions agreed in the contract, the buyer or seller will be responsible for hiring transport vehicles. The choice of transport method depends on the type of goods, volume, time, and cost: sea freight (low cost, long transit time), air freight (fast, high cost), road, or rail.
For sea freight, businesses need to contact the shipping line or logistics company to book space (booking), confirm the sailing schedule, and obtain the Bill of Lading. The container should be selected appropriately for the cargo type: 20DC for heavy goods, 40HC for large-volume goods, and Reefer for frozen goods.
Cargo insurance is an indispensable step, especially for high-value goods. Import-export cargo insurance usually offers three basic conditions: ICC-C (minimum cover), ICC-B (average cover), and ICC-A (all-risks cover). Insurance premiums typically range from 0.1% to 0.5% of the cargo value.
Customs declaration is the most important and complex step in the import-export process. Businesses must submit electronic customs declarations through the VNACCS/VCIS system of the General Department of Vietnam Customs. The declaration must fully state information about the goods, HS code, origin, value, quantity, and mode of transport.
Accurately determining the HS code (Harmonized System) is a key factor, as it determines tax rates and specialized management regulations. An incorrect HS code can lead to tax reassessment, administrative penalties, and customs clearance delays. Currently, there are more than 5,000 6-digit HS codes and more than 10,000 8-digit HS codes.
After the declaration is submitted, the customs system automatically assigns it to a channel based on risk assessment: Green channel (exemption from inspection), Yellow channel (document inspection), or Red channel (document and physical inspection of goods). Businesses need to monitor the declaration status and promptly handle additional requests from customs authorities.
In addition to the customs declaration, businesses may have to submit other documents such as a Certificate of Origin (C/O), Import License, or specialized inspection results, depending on the type of goods. Preparing a complete document set helps the declaration process run quickly and smoothly.
After the declaration is assigned to a channel and tax obligations (if any) are completed, the goods are officially cleared. For imported goods, businesses receive the goods from the port/warehouse and transport them to their own warehouse. For exported goods, the goods are brought to the port for procedures to load onto the ship/aircraft.
The international transportation process needs to be closely monitored. Businesses should use container/shipment tracking services to update schedules, know exactly the cargo location, the estimated time of arrival (ETA), and any incidents (if any).
When the goods arrive at the destination port, procedures for receiving the goods (delivery order) and domestic transportation need to be completed. For FOB imports, the importing business needs to hire a logistics provider to handle import customs clearance and transport to the warehouse. For CIF imports, the shipping line or forwarder will support this process.
The final step in the process is payment between buyer and seller according to the method agreed in the contract. Common international payment methods: T/T (Telegraphic Transfer), L/C (Letter of Credit), D/P (Documents against Payment).
The L/C method is preferred because it is safe for both parties — the issuing bank commits to payment when a complying set of documents is presented. However, L/C requires very strict documents; any discrepancy can result in refusal of payment.
After completing payment, the company needs to carry out contract settlement: reconcile payables and receivables, compare actual costs against estimates, and archive the full document set for audit and tax settlement. Well-organised import-export records management helps the company easily look up information and ensure transparency in financial reporting.
Every step in the import-export process carries potential risks if the company lacks experience. VTM Logistics accompanies you in handling the entire process — from Incoterms consulting, document preparation, and customs declaration to cargo transportation — helping you conduct international business with peace of mind.
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How do export and import processes differ?
Basic export and import processes are similar in main steps but differ in the direction of cargo movement, documents, and customs procedures. For export, goods move from the domestic market abroad, and the exporter usually carries out procedures at the port of export. For import, goods move from abroad to Vietnam, and the importer carries out procedures at the port of arrival. Export documents usually require a C/O, while import requires additional import permits and specialized inspections.
How long does it take to complete an end-to-end import-export process?
Depending on cargo type and transport mode, the end-to-end import-export process can take from 7-30 days. Sea freight from Vietnam to the US or EU usually takes 20-30 days (including 15-25 days transit + 2-5 days procedures). Air freight to China, Japan, and Korea takes only 2-5 days.
What conditions does a company need to be permitted to import and export?
A company needs a Business Registration Certificate with import-export business lines, a tax code, an import-export enterprise code (issued by the General Department of Customs), and registration of a digital signature for electronic customs declaration. Some special commodities require additional sub-licenses from specialized ministries.
What are the common risks in the import-export process?
Common risks include: (1) Incorrect HS code leading to back tax collection and penalties; (2) Invalid documents causing customs clearance delays; (3) Risk of cargo damage during transportation; (4) Payment risk when the partner fails to fulfill obligations; (5) Exchange rate fluctuations affecting contract value; (6) Sudden changes in tax policy and import regulations.
