Truck Regulations 7/1/2018: Your Questions Answered

With the new regulations regarding “Truck” badges for trucks under 3.5 tons taking effect on July 1, 2018, just days away, many vehicle owners remain hesitant, unclear, and uninformed about the procedures involved. This article from Xe Tải Mỹ Đình will clarify all issues related to this regulation.

A white truck smaller than 3.5 tons is parked, highlighting the topic of vehicles affected by the new regulations.A white truck smaller than 3.5 tons is parked, highlighting the topic of vehicles affected by the new regulations.

Trucks under 3.5 tons not engaged in commercial transport are not required to display badges or install tracking devices.

Truck Badge Regulations from 7/1/2018: Lingering Concerns

According to Decree 86/2014/ND-CP on business and conditions for road transport business, from July 1, 2018, enterprises, cooperatives, and business households transporting goods by automobiles with a designed tonnage of under 3.5 tons are required to have a business license for automobile transport, install a vehicle tracking device (GSHT), and be issued a “Truck” badge. However, this regulation has caused considerable confusion and various interpretations within the vehicle owner community.

Mr. Nguyen Tuan Duong, an owner of a 1.5-ton truck in Hanoi, shared: “This is the first time I’ve heard about the regulation requiring badges for trucks under 3.5 tons. If the law stipulates it, I will comply. But I still question the necessity of this, because my truck is a personal vehicle, not affiliated with any unit or organization.” Mr. Duong also believes that, unlike large trucks, small trucks under 3.5 tons are mostly family vehicles, only carrying goods for family or small business purposes, not for professional transportation.

Sharing the same concern, Mr. Pham Anh Dung in Ha Nam asked: “My family’s truck mainly carries agricultural products for the family, not for commercial transport, so why should we register for business or attach a badge?” Mr. Dung is concerned about the complex administrative procedures and the costs incurred when having to register for transport business, while the family’s need to transport goods is infrequent and the quantity of goods is not large.

Regarding the installation of tracking devices, Mr. Dung also stated: “Installing a black box is unnecessary for me, because I drive the car myself, manage it myself, I don’t hire anyone, so there’s no need to monitor it, it’s too complicated.”

Who is Required to Display Truck Badges According to the 7/1/2018 Regulations?

To clarify these questions, Mr. Dao Viet Long, Head of the Transport Management Department, Hanoi Department of Transport, stated that as the date of July 1, 2018, approaches, the number of people coming to apply for truck badges has increased significantly. However, many vehicle owners are still unclear about the regulations regarding documents and procedures, leading to repeated additions and adjustments. The application for a badge requires a copy of the vehicle registration, a valid vehicle inspection certificate, and the tracking device must meet the correct standards and transmit data to the Vietnam Road Administration.

Mr. Nguyen Van Thanh, Chairman of the Vietnam Automobile Transport Association, affirmed that the issuance of badges and signs in transport business has been implemented for a long time and has brought many positive effects. “The main objective of issuing badges is to make it easier for authorities to identify which enterprise the vehicle belongs to, serving management and handling when incidents occur. This is also the basis for managing the number of vehicles of transport businesses,” Mr. Thanh emphasized.

However, Mr. Dao Viet Long also noted that not all trucks under 3.5 tons are required to display badges. According to Clause 1, Article 50, Circular 63/2014/TT-BGTVT of the Ministry of Transport, for transport business units that do not collect money directly (for example: transporting internal goods from the factory to the warehouse) using vehicles under 10 tons and with a quantity of fewer than 5 vehicles, they are not subject to the requirement to obtain a transport business license by automobile, truck badges, and installation of tracking devices.

Ms. Phan Thi Thu Hien, Deputy General Director of the Vietnam Road Administration, further explained that Decree 86/2014/ND-CP classifies transport business into two forms: transport business that collects money directly and transport business that does not collect money directly. For the form of transport business that does not collect money directly, Circular 63/2014/TT-BGTVT clearly stipulates the cases that must have a transport business license, badges, and tracking devices, including: transporting dangerous goods, oversized and overweight goods, units with 5 or more vehicles, or using vehicles with a carrying capacity of 10 tons or more.

Thus, it can be understood that production facilities and businesses that are not transport businesses, only use trucks under 3.5 tons to transport goods serving their business activities (not for hire) and have a quantity of fewer than 5 vehicles are not subject to the mandatory requirement to display the “Truck” badge according to the regulations from July 1, 2018.

A close-up of a truck badge, emphasizing the importance of understanding the regulations.A close-up of a truck badge, emphasizing the importance of understanding the regulations.

Consequences of Non-Compliance with Truck Badge Regulations from 7/1/2018

Ms. Phan Thi Thu Hien also warned that, according to the roadmap of Decree 86/2014/ND-CP, from July 1, 2018, transport businesses from 3.5 tons and under are required to install tracking devices. After this time, enterprises, cooperatives, business households transporting goods, and drivers of automobiles engaged in commercial transport of goods with a tonnage of under 3.5 tons who do not comply with the regulations will be subject to administrative penalties according to Decree 46/2016/ND-CP with a fine ranging from 3-5 million VND.

Conclusion:

The regulation on attaching truck badges from July 1, 2018, aims to manage transport business activities and ensure traffic order and safety. However, not all trucks under 3.5 tons must comply with this regulation. Vehicle owners need to clearly determine whether their intended use of the vehicle falls under the category of transport business to comply with the law and avoid unnecessary penalties. If there are any further questions, vehicle owners should contact the local Department of Transport directly for specific advice and answers.

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