Not every project has its technology examined. Technology appraisal within policy approval targets only projects using restricted-transfer technology or carrying a risk of adverse impact on the environment, resources and security — chemical plants, metallurgy, waste treatment and imported second-hand lines are examined first. Understanding this mechanism lets the investor prepare the technology file as part of the approval dossier instead of meeting it as a mid-process surprise.
Which projects are appraised and by whom
Under the frame of Investment Law 143/2025/QH15 combined with the Law on Technology Transfer (consolidated text VBHN 138/2026 after amending Law 115/2025/QH15, guided by Decree 101/2026/ND-CP replacing Decree 76/2018/ND-CP), a policy-approval project using technology on the restricted-transfer list, or posing adverse environmental or resource impact risk, passes technology appraisal inside the approval appraisal process. The science and technology authority — the Ministry of Science and Technology or the provincial Department, by devolution — is the focal point for the technology appraisal opinion, embedded in the general approval appraisal sequence rather than a standalone licence.
The technology file the investor must present comprises: a technology and production-process description; equipment origin and condition (new or used, year of manufacture, energy and material consumption norms); a comparison with advanced sector technology; and emission evaluation with treatment solutions. Used equipment must additionally meet the import standards for used machinery — equipment age, remaining performance — under the sector rules on used-equipment import.
The fail criteria: obsolete and prohibited technology
Two lists decide the file fate: the prohibited-transfer list — technology banned absolutely for security, environmental or health reasons — and the restricted-transfer list, usable but subject to appraisal and possible conditions. Beyond the lists, appraisal applies obsolete-technology criteria: technology with excessive energy and material consumption; equipment beyond depreciation with no spare parts; technology the origin country has eliminated on environmental standards. A line that is “cheap because foreigners discarded it” is usually exactly the line concluded obsolete.
The point investors underestimate: the technology appraisal conclusion is a component of the policy approval file — a fail at the technology stage leads to non-approval, or approval conditioned on changing technology, and changing technology after equipment is purchased is a project financial catastrophe. Internal technology due diligence must therefore happen before signing the equipment purchase contract, ideally before filing for approval at all.
Timing and appeal routes on a fail conclusion
Technology appraisal runs within the general policy-approval appraisal timeframe, but technically complex projects typically generate their own technical explanation rounds before an appraisal council — total time is therefore less predictable than for ordinary projects, and the investor should budget one extra explanation cycle in the schedule. The appraisal conclusion must be written and state its grounds: which prohibited list, restricted list or obsolescence criterion applies.
On a fail conclusion the investor has three routes: first, change the technology or add technical solutions and seek re-appraisal of the changed part — the most effective route in practice; second, administrative complaint under the Law on Complaints against the related conclusion or decision where list or criterion application is believed wrong; third, administrative litigation at court under administrative procedure law. What not to do is implement the failed technology while complaining: a complaint does not automatically suspend the conclusion effect, and pressing on converts an administrative dispute into an investment violation.
Technology appraisal is a quality gate for industrial inputs, not a harassment procedure. A project using clean, modern technology documented with proper technical files passes this gate as a natural part of its dossier; a project importing discarded lines is stopped — exactly as the mechanism is designed. This draft is pending review by the QA Council.
Frequently asked questions
Which projects face technology appraisal when seeking approval?
Policy-approval projects using technology on the restricted-transfer list, or posing risk of adverse impact on the environment, resources or security, under the frame of Investment Law 143/2025/QH15 and the Law on Technology Transfer (consolidation VBHN 138/2026). Typical cases are chemical, metallurgy, dyeing and waste-treatment projects and projects importing used production lines. Projects using ordinary technology outside the lists do not pass this stage.
What are the obsolete and prohibited technology criteria?
Prohibited-transfer technology sits on the Government banned list — it may not be brought into Vietnam in any case. Restricted-transfer technology is usable but must be appraised and may carry conditions. Beyond the lists, technology is rated obsolete where energy and material consumption is abnormally high, equipment is over-age and unmaintainable, or the origin country has eliminated it on environmental standards. Used equipment must also satisfy its own import standards on age and performance.
How long does technology appraisal take, and who performs it?
Technology appraisal is embedded in the policy-approval appraisal sequence: the science and technology authority (Ministry of Science and Technology or provincial Department by devolution) organises it, may convene an expert council for complex projects, and issues a written opinion forming part of the consolidated appraisal file. Real time depends on complexity and the number of technical explanation rounds; budget one extra explanation cycle beyond the nominal approval timeframe.
Can a fail conclusion be appealed?
Three routes exist: change or upgrade the technology and seek re-appraisal of the changed part (the most effective in practice); administrative complaint under the Law on Complaints against the related conclusion or decision where a list or criterion was misapplied; and administrative litigation at court. Note that a complaint does not automatically suspend the conclusion — the failed technology part must not be implemented while the complaint runs.
Will a cheap used production line pass appraisal?
Only if the equipment satisfies two condition layers at once: the import standards for used machinery and equipment (age, performance, energy consumption under sector rules) and not being rated obsolete or restricted-failed in technology appraisal. A line eliminated abroad on environmental standards will almost certainly fail the second layer. Before signing a used-equipment purchase, check the technology lists and seek a preliminary view from the science and technology authority.
This article has been quality-reviewed by the FLAW AI Legal Council