Authors : Võ Thị Thu Hồng; Nguyễn Vũ Hiếu Trung; Nguyễn Thị Cẩm Ly

Volume/Issue : Volume 11 - 2026, Issue 3 - March

Google Scholar : https://tinyurl.com/4t4pcawm

Scribd : https://tinyurl.com/bde62ntr

DOI : https://doi.org/10.38124/ijisrt/26mar1938

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Abstract : Although Vietnam has signed and implemented a large number of free trade agreements (FTAs), the actual use of tariff preferences by firms remains below potential. This gap raises an important question: why do many exporting firms fail to take full advantage of available tariff preferences even when the agreements appear beneficial in principle? This study examines the factors affecting the utilization of FTA tariff preferences among exporting firms in Ho Chi Minh City, Vietnam. Drawing on comparative advantage theory, transaction cost theory, the new-new trade theory, the behavioral theory of the firm, and the technology acceptance model, the study develops a framework linking FTA awareness, rules of origin, compliance costs, firm capability, and government support to tariff preference utilization. Survey data from 205 exporting firms were analyzed using Cronbach’s Alpha, exploratory factor analysis, correlation analysis, and multiple regression. The results show that FTA awareness has the strongest positive effect on tariff preference utilization, followed by compliance costs and government support. By contrast, rules of origin and firm capability do not remain statistically significant in the final regression model. These findings suggest that firms’ actual use of tariff preferences depends less on formal eligibility alone than on how well they understand FTAs, how they perceive compliance burdens, and whether they can access effective institutional support. The study contributes firm-level evidence from Vietnam and offers practical implications for exporters and policymakers seeking to improve the real utilization of FTA benefits.

Keywords : Free Trade Agreements; Tariff Preference Utilization; Exporting Firms; Compliance Costs; Government Support; Vietnam.

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