LAW NO. 118/2025/QH15 AND NEW VISA AND ENTRY-EXIT RULES: WHAT SHOULD FDI ENTERPRISES PREPARE FOR THEIR FOREIGN EMPLOYEES?

On July 1, 2026, Law No. 118/2025/QH15 amending and supplementing a number of articles of 10 laws relating to security and order - including the law on entry, exit, transit and residence of foreigners in Vietnam - officially took effect. This is the broadest amendment to Vietnam's visa policy and management of foreigners in many years, most notably marking the first time Vietnam has created a dedicated visa category for high-quality digital technology talent. For FDI enterprises employing foreign staff in Vietnam, this is a policy area to review immediately to avoid being caught off guard when handling visa and temporary residence card procedures for foreign experts and managers going forward.

1. Two entirely new visa categories: UĐ1 and UĐ2

1.1. UĐ1 for digital technology talent, UĐ2 for accompanying family

The most notable feature of Law 118/2025/QH15 is the introduction of two visa symbols that have never existed in Vietnam's entry-exit legal framework before. The UĐ1 visa is issued to high-quality digital technology talent and certain individuals eligible for special incentives under the State's talent-attraction policy; the UĐ2 visa is issued to the spouse and children under 18 accompanying a UĐ1 visa holder. Together with familiar categories such as LS, ĐT1 and ĐT2, this group of visas now has a maximum validity of up to 5 years - significantly longer than the common 1-2 year term under the previous regulations.

1.2. Residence cards extended to 10 years, family sponsorship broadened

Temporary residence cards issued under the ĐT1, UĐ1 and UĐ2 categories also have their maximum validity extended to up to 10 years, compared with 5 years under the former Circular 04/2015/TT-BCA. In addition, the Law introduces a visa exemption mechanism for certain individuals eligible for special priority in support of socio-economic development, and expands family sponsorship by allowing grandparents to sponsor grandchildren visiting Vietnam — something the previous regulations did not permit.

2. Circular 70/2026/TT-BCA: Digitized forms and filing channels

2.1. About 24 forms revised, electronic filing enabled

To implement Law 118/2025/QH15, on May 25, 2026 the Ministry of Public Security issued Circular 70/2026/TT-BCA amending Circular 04/2015/TT-BCA and Circular 31/2015/TT-BCA, effective the same day as the Law, July 1, 2026. The circular revises approximately 24 forms, including visa application forms (NA1, NA1a) and the temporary residence card form (NC3B), to align with the new visa symbols. Notably, organizations and individuals inviting or sponsoring foreigners may now submit applications directly, through postal services, or by electronic means meeting the prescribed conditions — rather than only in person as before.

2.2. Transitional rule: old documents remain valid until expiry

The circular also sets out clear transitional rules: documents issued before July 1, 2026 remain valid until their stated expiry date, and applications filed before that date continue to be processed under the former rules. Enterprises whose foreign employees are still holding temporary residence cards under the old form therefore do not need to replace them immediately, but should update internal procedures to use the new forms for any fresh applications or renewals going forward.

3. From October 1, 2026: No more paper filings for temporary exit suspension and entry denial decisions

3.1. The roadmap to a fully electronic system

Another important operational change comes from Official Dispatch No. 18046/QLXNC-P5 dated July 16, 2026, issued by the Immigration Department. Under this dispatch, from September 1, 2026 the Department began officially accepting data on temporary exit suspension and entry denial decisions (for example, due to unpaid tax, ongoing investigation, or court or competition council rulings) through its electronic system; and from October 1, 2026, it will stop accepting paper documents for these procedures altogether. Agencies authorized to issue such decisions were required to install secure, internet-connected computers, register digital signatures, and designate liaison officers by August 1, 2026.

3.2. Practical implications for FDI enterprises

This change mainly affects state agencies authorized to issue exit suspension decisions, but it also has practical implications for FDI enterprises: a legal representative or manager with outstanding tax or financial obligations will now be recorded and processed on the electronic data system at a much faster update speed than under the former paper-based mechanism. Enterprises should therefore proactively review and fully settle the tax and financial obligations of their legal representatives to avoid the risk of an unexpected temporary exit suspension.

4. What should FDI enterprises do?

With visa policy, temporary residence cards and entry-exit procedures all changing at once in 2026, FDI enterprises should proactively:

4.1. Review the list of foreign experts, managers, and technical staff currently working at the enterprise to assess whether they qualify for the UĐ1 visa category (and UĐ2 for accompanying family members) as high-quality digital technology talent, in order to benefit from the longer visa and residence card terms;

4.2. Update internal procedures and application templates for inviting and sponsoring foreigners to match the new forms under Circular 70/2026/TT-BCA, and consider switching to electronic filing to shorten processing time;

4.3. Check the validity status of temporary residence cards and visas for all foreign employees, prioritizing cases nearing expiry rather than waiting until the last moment, to avoid complications during the transition between the two sets of forms;

4.4. Review and fully settle the tax and financial obligations of legal representatives and managers before October 1, 2026, when the electronic data system for temporary exit suspensions becomes fully operational;

4.5. Consult legal advisors for a case-by-case assessment, particularly for foreign employees in senior management positions or key technology expert roles within the enterprise.

The above summarizes the most notable changes to visa policy, temporary residence cards, and entry-exit procedures taking effect in 2026. These regulations directly affect an FDI enterprise's ability to deploy and retain foreign personnel, and should be tracked proactively rather than addressed only when a specific application arises. For advice on visas, work permits, temporary residence cards for foreigners, or other legal matters related to employing foreign workers in Vietnam, Lexsol is always ready to accompany you and provide suitable legal solutions.

Read more: Decree 283/2026/ND-CP: New fines in the fields of labor and social insurance that businesses need to know