Importer of Record (IOR) in Vietnam: How Foreign Companies Can Import Without a Local Entity

Nguyễn Thanh Thủy
Nov 20
7 min read

Updated: Nov 21

Vietnam has become one of Asia’s most attractive destinations for manufacturing, sourcing and consumer sales. But for many foreign businesses, the first real obstacle appears at the border: complex customs rules, strict licensing requirements, and the need for a local legal entity to import goods.

If you don’t yet have a company in Vietnam, or you’re only shipping small volumes, setting everything up just to bring in a few shipments can feel excessive. That is where an Importer of Record (IOR) comes in. By appointing a qualified local IOR, you can move goods into Vietnam legally without having to establish a Vietnamese company immediately.

What Is an Importer of Record in Vietnam?

An Importer of Record (IOR) in Vietnam is a locally registered business that agrees to appear as the official importer on customs documents and take responsibility for the shipment under Vietnamese law.

Instead of your overseas company showing up as the importer on the import declaration, the IOR’s name and tax code are used. That local company:

Is listed as the consignee or importer on shipping and customs documents
Deals directly with customs and relevant authorities
Ensures the shipment complies with Vietnam’s import regulations and tax rules

In practical terms, the IOR acts as your local importing arm, even though you don’t have a legal entity on the ground. You still control the commercial transaction and the business relationship with your customer, but the IOR takes on the work and risk involved in moving goods through customs.

Why Do Foreign Companies Use an IOR in Vietnam?

The main reasons are speed, risk management and cost.

Faster entry into the market

Setting up a trading company in Vietnam is doable, but it is not fast. You need to register a legal entity, obtain investment and business licences, register for tax and e-invoicing, open a bank account and sometimes secure additional import licences. For many industries, this process can stretch over several months.

An IOR already has all of that in place. Because they are a functioning Vietnamese company with a customs code and access to the electronic customs system, they can start importing almost immediately. That allows you to ship products into Vietnam while you are still evaluating the market, negotiating with partners or deciding what form of local presence you eventually want.

Reduced compliance risk

Vietnam’s customs regulations, technical standards and sector-specific rules are detailed and can be interpreted differently from jurisdiction to jurisdiction. A mistake as simple as choosing the wrong HS code, mis-describing a product or forgetting a supporting certificate can trigger inspections, delays or fines.

An experienced IOR works with these rules every day. Their reputation with customs depends on getting documentation right, obtaining the correct licences and presenting a clear, consistent story about each shipment. By using such a partner, you lower the chances of avoidable disputes with customs and reduce your exposure to local regulatory risk.

More efficient use of resources

For businesses that are only testing Vietnam or that import occasionally, maintaining a full entity, compliance team and warehouse infrastructure is rarely the best use of capital. With an IOR model, the heavy lifting is outsourced. You pay a service fee tied to your shipments instead of funding a fixed local structure from day one.

What Does an Importer of Record Actually Do?

The easiest way to understand the IOR role is to follow a shipment from start to finish and see where the IOR steps in.

Before the shipment leaves

Once you have agreed on using an IOR, product details and transaction terms are shared with them. They review what you plan to ship and how it will be declared. This often includes:

Checking commercial invoices, packing lists and contracts
Proposing appropriate HS codes and verifying duty and VAT implications
Identifying whether licences, registrations or certificates will be required for your goods

If your products fall under specific controls – for example medical items, food and beverages, cosmetics, chemicals or certain electronics – the IOR will flag these requirements and plan the necessary applications ahead of time. Getting this done before the goods move is one of the most important ways to avoid delays later.

When the shipment arrives in Vietnam

When the goods reach a Vietnamese port or airport, the IOR files the import declaration using its own customs account. The declaration lists the IOR as importer, includes the agreed HS codes and values, and attaches the supporting documents that were prepared earlier.

Customs may clear the shipment based on the file alone or may call for additional information or inspection. In either case, the IOR handles the communication, responds to queries and attends any physical inspections. Once customs has verified everything and assessed duties and taxes, the IOR arranges payment so that the shipment can be released.

After customs clearance

Once customs formalities are complete, the IOR coordinates delivery inside Vietnam. That might mean picking up a full container and trucking it directly to a warehouse, or collecting smaller consignments and delivering them to multiple locations.

The IOR also keeps copies of the full customs file: declarations, permits, tax receipts and correspondence with authorities. These records are essential if customs later reviews past imports or if you decide to switch to your own entity and want to show a clean compliance history.

Legal Framework: Why the Relationship Must Be Properly Documented

Using an IOR is not simply a matter of “borrowing” a local company’s name. Under Vietnamese practice, this arrangement is usually treated as a form of entrusted import service. That means the relationship between you and the IOR needs to be clearly documented.

In most cases, you will sign a contract that sets out:

Which party owns the goods at each stage of the transaction
What the IOR will do (for example: customs declaration, licensing, payment of import duties, transport and delivery)
How service fees are charged and which risks each side is responsible for

Some providers will also ask for a Power of Attorney so they can represent you formally before customs and other agencies.

Customs authorities are used to seeing these models and may request the agreement if they want to verify the nature of the transaction. If there is no written contract, or if the paperwork does not match what appears on the customs declaration, the shipment can attract unnecessary attention. In serious cases, authorities might suspect tax evasion or attempts to bypass controls.

For that reason, any foreign company engaging an IOR in Vietnam should insist that contracts and authorisations are properly drafted, signed and kept on file.

How an IOR Helps You Benefit from Vietnam’s Trade Agreements

Vietnam has signed a broad range of trade agreements with major partners in Asia, Europe and beyond. These agreements can significantly reduce tariffs on qualifying goods – but only if the origin and classification of the products are documented correctly.

An IOR with solid customs expertise can help you understand whether your products are likely to meet the rules of origin for a particular agreement. They can guide suppliers on how to prepare Certificates of Origin and make sure those documents line up with the HS codes and descriptions you intend to use on the declaration.

This is especially valuable when you are importing components or machinery from FTA partners and want to avoid paying standard MFN duty rates unnecessarily. Even where shipments originate from countries that do not have an agreement with Vietnam, an IOR can advise on customs regimes and planning options that may legally reduce your overall duty burden.

Other services

When Is an Importer of Record the Right Solution?

Using an IOR is not a universal answer, but there are several situations where it is often the most practical choice.

One common scenario is market testing. Maybe you are exploring Vietnam as a new sales destination and want to send demonstration units, small trial batches or initial stock to a local distributor. At this stage you may not be ready to commit to a full subsidiary, but you do need a way to move goods in quickly and legally. An IOR gives you that option.

Another typical case involves low-volume or irregular imports. If you only send a few shipments per year, or your trade with Vietnam is seasonal, it is unlikely that a standalone local entity will pay for itself. Outsourcing imports to an IOR lets you serve customers without building a permanent structure everywhere you sell.

A third situation is highly regulated products. If your goods require product registration, safety testing, technical certification or approval from specialised ministries, the administrative load can be heavy. An IOR that regularly handles those product categories will already understand common pitfalls, timelines and documentation standards, making the process far smoother than starting from scratch.

Even domestic companies sometimes use IOR-style services when they lack the internal capacity to deal with complex imports. For foreign companies, the value is even clearer because the IOR bridges both the regulatory and the cultural gap.

What Are the Main Benefits of Using an IOR in Vietnam?

Taken together, the advantages of working with an Importer of Record can be summarised as follows:

Speed – you can start importing long before a local entity would normally be ready.
Compliance – you gain access to local customs knowledge and procedures that have already been tested in practice.
Cost control – you avoid the initial investment and overheads of setting up a company until the business justifies it.
Flexibility – you can scale imports up or down and change your market entry strategy as you learn more.
Strategic freedom – you can maintain your current corporate and tax structure while still serving customers inside Vietnam.

For many businesses, an IOR is the bridge between having zero presence in Vietnam and operating a fully fledged local company. It buys time and information: time to see how the market responds, and information about how your products move through the local system.

Choosing an Importer of Record Partner

Because the IOR is the name customs will see on every one of your shipments, choosing the right partner matters. When evaluating potential providers, it is worth looking at:

Their legal status and registrations in Vietnam
Their experience with your type of products and your industry
The clarity of their contracts, pricing and liability terms
How responsive they are and what languages they support for daily communication

The IOR relationship is long-term and high-trust by nature. A good partner will not only clear your shipments but also help you think ahead about future volumes, regulatory changes and the transition to your own entity if and when the time is right.

Conclusion

Vietnam offers major opportunities, but its import environment remains tightly regulated and paperwork-heavy. For foreign companies that want to move quickly, an Importer of Record is often the most practical way to get goods on the ground without waiting months for a local entity and import licences.

By standing in as your official importer, a reliable IOR takes charge of customs documentation, duties and taxes, permits, clearance and delivery. That frees you to focus on what you do best: developing products, building relationships and growing your business in Vietnam.

Not sure whether you should register a company in Vietnam or work with an Importer of Record first? Get in touch with us and we can walk you through the pros and cons for your specific case.

Email: contact@vinex.com.vn Hotline/WhatsApp: +84 98 111 18 11