VN Legal Watch — Daily Intelligence Briefing

Date: 2026-04-19 (Sunday) Analyst: Bobbie (automated) Coverage period: April 15–19, 2026

1. MAJOR DEVELOPMENT: Criminal Code (Penal Code) Amendment Package

Overview

The Ministry of Public Security (Bộ Công an) has published a draft policy to amend the Penal Code (Bộ luật Hình sự) for public consultation. The consultation period runs until May 7, 2026. The draft is expected to be reviewed at National Assembly Session 3 (XVI legislature) and adopted at Session 4.

This is the most significant legislative development currently in Vietnam's pipeline, with far-reaching implications for criminal justice, business, and civil liberties.

1.1 Reducing Death Penalty-Eligible Crimes

Document: Draft policy for Penal Code amendment (Bộ Công an) Status: Draft — Public consultation until May 7, 2026

Vietnam currently has 10 capital crimes after the July 1, 2025 amendment reduced the list.
The new draft proposes to further narrow capital punishment, retaining it only for the "most serious crimes" that infringe upon critically important legal interests and cause severe economic, social, or security consequences.
This aligns with international standards and continues Vietnam's trend of gradually reducing death penalty offenses.

Statute of limitations on execution: The draft formalizes a rule that if a death sentence is not executed within 20 years (the current statute of limitations under Article 60), the sentence is automatically commuted to life imprisonment. This codifies what was previously only guided by Supreme Court Resolution 03/2025.

Impact:

Continues Vietnam's trajectory toward reduced use of capital punishment
Provides legal certainty for death row inmates whose sentences have expired
Aligns with international human rights norms

1.2 Doubling Financial Penalties for Economic/Financial Crimes

Status: Draft — Same package

The draft proposes doubling maximum fines across multiple offense categories:
- Production, business, and commercial crimes
- Tax, finance, banking, securities, insurance crimes
- IT and telecommunications crimes
Current minimum fines (1 million VND for individuals, 50 million VND for commercial entities) are considered too low given economic growth and income levels.
Example: Securities fraud (Article 209) currently caps individual fines at 2 billion VND. The new cap would be ~4 billion VND.

Impact:

Businesses and executives in finance, securities, and banking face significantly higher financial exposure
Designed to improve deterrence and asset recovery from economic crimes
Shifts penal strategy from imprisonment toward financial penalties where appropriate

1.3 Expanding Fines as Alternative to Imprisonment

Status: Draft

The draft proposes extending fines as a sentencing option for:
- Less serious offenses
- Some serious offenses
- Even some "very serious" offenses in specific categories
Conditions for fine-instead-of-prison: full confession, remorse, cooperation, and complete restitution of all damages.
The policy aims to move from permissive ("may fine") to mandatory ("shall fine when conditions met"), giving courts clearer guidance.

Impact:

Reduces prison population pressure
Encourages restitution and cooperation with investigators
Particularly relevant for white-collar crimes — the FLC Group case was cited where 14 defendants had prison sentences converted to fines on appeal after full restitution

1.4 Increased Prison Sentences for Privacy/Defamation Crimes

Status: Draft

The Ministry proposes increasing prison terms for:
- Slander/defamation (vu khống)
- Insult/humiliation (làm nhục)
- Fraudulent advertising (quảng cáo gian dối)
Rationale: These crimes have become more complex, especially online, with growing incidence among 16–29 year olds. Current penalties are insufficient for deterrence.

1.5 Community Service as Formal Supplementary Punishment

Status: Draft

Currently, "community labor" (lao động phục vụ cộng đồng) under Article 36 is only a support measure for non-custodial reform sentences for unemployed persons.
The draft would elevate it to a formal supplementary punishment, applicable regardless of employment status.
Up to 4 hours/day, 5 days/week. Exemptions for pregnant women and severely disabled.

Impact: Creates an alternative to fines for financially incapable offenders, reduces incarceration costs, promotes rehabilitation.

1.6 Other Penal Code Changes

New criminal offenses to be added for behaviors not yet criminalized
Expanded corporate criminal liability for commercial entities
Adjusted property value thresholds for criminal prosecution (both upward and downward for different offenses)

2. E-Commerce Law 2025 (Luật Thương mại điện tử 2025)

Status: Enacted — Implementation ongoing

Vietnam's first comprehensive E-Commerce Law was passed in 2025. According to LuatVietnam's analysis, the law marks the first time Vietnam has dedicated legislation specifically governing e-commerce, covering:

Online business registration and regulation
Consumer protection in digital transactions
Platform liability
Cross-border e-commerce rules

Impact: Significant compliance requirements for all online businesses operating in or targeting Vietnam. Companies need to review their digital operations against the new requirements.

3. Key New Government Decrees (Nghị định)

3.1 Decree 122/2026/NĐ-CP — BOT Traffic Project Dispute Resolution

Issuing body: Government (Chính phủ) Date: April 3, 2026

Addresses long-standing disputes in Build-Operate-Transfer (BOT) traffic infrastructure projects. This decree provides a legal framework for resolving conflicts between project investors, government agencies, and users that have plagued Vietnam's toll road system for years.

Impact: Critical for infrastructure investors, toll operators, and transport companies. May affect toll rates and project economics.

3.2 Decree 110/2026/NĐ-CP — Recycling and Waste Treatment Responsibilities

Issuing body: Government Date: April 1, 2026

Establishes extended producer responsibility (EPR) requirements for recycling and waste treatment. This implements environmental provisions from recent legislation.

Impact: Manufacturers and importers face new compliance obligations for product lifecycle management. Significant cost implications for consumer goods, electronics, and packaging industries.

3.3 Decree 112/2026/NĐ-CP — International Carbon Credit Exchange

Issuing body: Government Date: April 1, 2026

Regulates the international exchange of greenhouse gas emission reduction results (carbon credits). Creates a legal framework for Vietnam to participate in international carbon markets.

Impact: Opens opportunities for Vietnamese companies to sell carbon credits internationally. Important for energy, manufacturing, and forestry sectors. Aligns with Vietnam's COP26 net-zero commitments.

3.4 Decision 17/2026/QĐ-TTg — Dissolving National Traffic Safety Committee

Issuing body: Prime Minister Date: April 15, 2026

Dissolves the National Traffic Safety Committee (Ủy ban An toàn giao thông Quốc gia) and local traffic safety boards. Functions likely being absorbed into other government structures.

Impact: Institutional restructuring in transport governance. Businesses in transport/logistics should monitor where regulatory functions migrate.

3.5 Circular 15/2026/TT-BCT — Decentralizing Trade Procedures

Issuing body: Ministry of Industry and Trade (Bộ Công Thương) Date: March 25, 2026

Amends Circular 38/2025 to decentralize administrative procedure implementation in trade-related areas to provincial authorities. Notably, provincial People's Committees now have authority to issue permits for transporting multiple types of dangerous goods (effective April 10, 2026).

Impact: Reduces centralization, potentially speeds up permit processing. Businesses should work with local authorities rather than central ministries for certain trade procedures.

4. Tax & Fiscal Policy

4.1 Fuel Import Tax Reduction Extension

Issuing body: Ministry of Finance (Bộ Tài chính) Status: Draft — Under review by Ministry of Justice

MoF proposes extending 0% MFN import tax on gasoline and fuel through June 30, 2026 (currently expires April 30).
Also proposes adding 3 raw material categories for Nghi Sơn refinery at 0% rate (down from 5%).
Estimated revenue loss: ~997 billion VND for the 2-month extension; total ~2,021 billion VND since inception.
Context: Middle East conflict (Strait of Hormuz blockage) has disrupted fuel supply chains. Gasoline RON 95-III now at 23,760 VND/liter (up 18% from late February). Diesel at 31,040 VND/liter (up 61%).

Impact: If approved, keeps fuel costs stable through Q2 2026. Critical for logistics, transport, and consumer prices. All other fuel taxes (environmental protection, VAT, special consumption) already reduced to 0% through June per National Assembly resolution.

4.2 Gold Trading — Non-Cash Payment Requirements

New regulations require gold shops to pay sellers via bank transfer rather than cash. Shops are issuing payment commitment notes with 3-day transfer windows.

Impact: Part of anti-money laundering and cash-economy reduction efforts. Gold traders and individuals selling gold should be aware of the new payment timeline.

5. Administrative & Provincial Updates

5.1 HCMC Investment Attraction Plan 2026–2030

Document: Decision 2301/QĐ-UBND (April 2026) HCMC has published its investment attraction project catalog for 2026–2030, identifying priority sectors and projects for FDI and domestic investment.

5.2 Education Law Implementation

Document: Consolidated Document 02/VBHN-BGDĐT (2026) Ministry of Education consolidated the regulations on high school graduation exams following recent amendments.

5.3 Anti-Corruption Implementation

Cần Thơ issued Plan 174/KH-UBND to implement amendments to the Law on Petitions, Law on Complaints, Law on Denunciations, and Anti-Corruption Law amendments.

5.4 Intellectual Property — Huế

Decision 1270/QĐ-UBND from Huế announces revised/banned administrative procedures in IP under the Science & Technology Department.

5.5 Fireworks for April 30 Liberation Day

Document: Official Letter 3097/UBND-VX (HCMC) HCMC approved fireworks display for the 51st anniversary of Southern Liberation (April 30, 1975 – April 30, 2026).

6. Criminal Justice Cases of Note

6.1 Real Estate Mogul — 14-Year Sentence for 1,000 Billion VND Bank Fraud

Dương Thanh Cường, already serving life imprisonment, received an additional 14 years for fabricating loan documents that caused over 1,000 billion VND in losses to banks. Highlights ongoing enforcement against real estate/finance fraud.

6.2 Property Auction Enforcement Gap (Quảng Ngãi)

A case exposing a gap in Vietnam's enforcement system: buyer won a house at auction (2.3 billion VND), but the former owner broke in and re-occupied it. The enforcement authority claims no responsibility after handover, leaving the buyer with no clear remedy. Both parties have filed petitions. Police are investigating.

Impact: Highlights need for stronger post-auction possession protections and enforcement authority obligations.

7. Crypto / Digital Assets

No Vietnam-specific regulatory developments detected this period from monitored sources (Coin68, Vietnam Blockchain). The Coin68 RSS feed primarily covers international crypto market news (SEC regulatory changes in the US, quantum computing threats to Bitcoin, etc.).

Vietnam's crypto regulatory framework (VASP regulations, SBV policy) remains in development. No new circulars, decrees, or government resolutions on virtual assets were detected this week.

8. Conclusions

This Week's Theme: Penal Code Reform

The dominant legal trend is the comprehensive Penal Code amendment proposed by the Ministry of Public Security. This single package touches death penalty policy, financial penalties, criminal procedure, community service, privacy protections, and corporate liability — making it the most consequential legislative initiative currently in Vietnam's pipeline.

High-Impact Items

Penal Code amendment — Will affect every business and individual in Vietnam. May 7 deadline for public input.
Fuel tax extension — Direct impact on inflation and cost of living.
BOT traffic decree — Resolves years of infrastructure investment disputes.
Carbon credit decree — Opens international carbon market participation.

What to Watch (Next 2-4 Weeks)

May 7: Public consultation closes on Penal Code amendment. Expect intensive debate and potential revisions.
NA Session 3 (XVI): Penal Code draft expected to be presented for initial review.
April 30: Fuel import tax 0% rate expires — watch for extension decision.
E-Commerce Law 2025: Watch for implementation decrees and circulars.
Decree 110/2026 (EPR): Implementation details and compliance timelines.

Business Implications

Financial services: Prepare for doubled penalties — review compliance programs.
Manufacturing/import: New EPR obligations under Decree 110; assess product lifecycle costs.
Infrastructure/transport: BOT resolution framework (Decree 122) may reopen stalled projects.
Energy/carbon: Carbon credit trading opportunities under Decree 112.
All businesses: Penal Code changes will expand corporate criminal liability.

Source Health

Source	Status	Notes
VnExpress Legal	✅ Excellent	Deep analysis, multiple articles on Penal Code reform
LuatVietnam (van-ban-moi)	✅ Good	Successfully extracted new document titles
LuatVietnam (homepage)	✅ Good	Rich content with new decrees and featured docs
thukyluat.vn	❌ DNS failure	Domain does not resolve — likely offline
toidaocoin.com	❌ DNS failure	Domain does not resolve
Dân Trí (phap-luat)	⚠️ JS-rendered	Correct URL: dantri.com.vn/phap-luat.htm (not /xa-hoi/)
Tuổi Trẻ	⚠️ Paywall	Content behind "Tuổi Trẻ Sao" subscription
Coin68	⚠️ JS-rendered	Homepage empty via web_fetch; RSS feed works
Vietnam Blockchain	⚠️ JS-rendered	Minimal content via web_fetch
Government sites	❌ Skipped	Previously failed; ASP.NET/JS-heavy

New source discovered: Coin68 RSS feed (https://coin68.com/rss/tin-noi-bat.rss) — viable alternative for crypto news extraction.

Report generated: 2026-04-19T17:25 UTC Sources: VnExpress, LuatVietnam, Coin68 RSS Next scheduled run: 2026-04-20