Decree No. 349/2026/ND-CP: Key Updates on Contractor Selection

On September 9, 2026, the Government issued Decree No. 349/2026/ND-CP amending and supplementing a number of provisions of the Decrees detailing and providing measures for the implementation of the Law on Bidding on contractor selection. The Decree takes effect from the date of its issuance.

Decree No. 349/2026/ND-CP focuses on amending and supplementing various regulations concerning price quotation collection, expert teams and appraisal teams, direct contracting, low-value procurement, supervision of bidding activities, resolution of petitions, subcontractor management, and the mechanism for ordering public products and services funded by the state budget.

These amendments are expected to provide greater clarity in implementation procedures, enhance flexibility in certain specific circumstances, and further strengthen transparency and openness in bidding activities.

1. Amendments to Regulations on Price Quotation Collection and Price Determination

One of the notable changes is the new regulation on price quotation collection.

Under the Decree, for goods and services, the procuring entity must collect at least one price quotation and is encouraged to collect more than one quotation.

Requests for price quotations must be published by the procuring entity on the National E-Procurement System. Interested entities shall submit their quotations through the System within a minimum period of 3 working days from the date on which the request is published.

• Where more than one quotation is received, the procuring entity may determine the average price. If the price of a quotation, or any item in a quotation, is more than or less than 30% of the average price, the procuring entity may exclude such quotation when determining the average price.

Specific Regulations on Pharmaceuticals, Chemicals and Medical Equipment

For procurement packages involving:

• Pharmaceuticals;
• Chemicals;
• Testing supplies;
• Medical equipment;
• Components, accessories and replacement materials used for medical equipment,

the procuring entity shall, based on professional and technical requirements, determine the technical criteria and organize the collection of price quotations.

The minimum period for interested entities to submit price quotations is 10 days from the date on which the request for price quotations is published on the National E-Procurement System.

In particular, where two or more quotations are received, the procuring entity may select the highest quotation that is consistent with its financial capacity and professional requirements.

The Decree also emphasizes the procuring entity's responsibility to ensure that the price quotation collection process is conducted openly and transparently. At the same time, entities providing quotations are responsible for the appropriateness of the pricing information and must comply with regulations on competition, dumping and price inflation.

2. Relaxation of Requirements for Members of Expert Teams and Appraisal Teams in Certain Cases

Decree No. 349/2026/ND-CP supplements regulations applicable to procurement packages under:

• Science, technology and innovation projects;
• High-tech application projects;
• Projects applying new technologies;
• Procurement packages under procurement estimates that do not form a project.

In these cases, the procuring entity may decide on the selection of members to participate in expert teams and appraisal teams based on the requirement that such members have the capacity to perform the assigned tasks, without necessarily being subject to certain requirements under the general regulations.

Where opinions need to be sought or specialized experts who are not personnel of the procuring entity or bidding consultancy organization need to be mobilized, such mobilized experts are not required to hold a bidding professional qualification certificate.

This provision provides greater flexibility in mobilizing specialized human resources for procurement packages with specific characteristics.

3. Increased Responsibility for Updating Information During Contract Performance

The procuring entity is responsible for updating the actual contract implementation progress on the National E-Procurement System upon completion of the milestones specified in the contract.

During contract performance, if there are any changes or developments relating to:

• List of subcontractors;
• Scope of work;
• Subcontracting ratio;
• Special subcontractors,

the procuring entity must also update the relevant information on the System.

This regulation enhances the ability to monitor contract performance after the contractor selection process has been completed.

4. Expansion of Certain Cases Eligible for Direct Contracting

Decree No. 349/2026/ND-CP significantly amends and supplements the cases in which direct contracting may be applied.

Notable cases include:

1/ First, procurement packages requiring urgent implementation to ensure compliance with timelines specified in resolutions, conclusions or directives issued by competent authorities.

2/ Second, procurement packages that need to be implemented immediately to ensure connectivity and synchronization among works within a project.

3/ Third, cases where a procurement package has been put out to tender but no contractor has been selected, including:

• No contractor submits a bid;
• No expression of interest or prequalification submission is received;
• All bids fail to meet the requirements;
• All contractors fail to meet the requirements for performing the procurement package.

In addition, the Decree amends and supplements cases of direct contracting related to digital transformation, including the development, construction, upgrading and expansion of national databases, shared digital platforms, information systems for handling administrative procedures, data integration and sharing platforms, and specialized databases.

5. Adjustment of Value Thresholds for Certain Procurement Packages

The Decree provides that:

• Procurement packages under procurement estimates that do not form a project with a package value not exceeding VND 1 billion;
• Consulting service procurement packages under projects with a package value not exceeding VND 3 billion;
• Non-consulting services, goods, construction and mixed procurement packages under projects with a package value not exceeding VND 5 billion.

This is one of the key provisions that enterprises, procuring entities and organizations participating in bidding activities should take into account when determining the applicable contractor selection method.

6. Simplification of Procurement for Packages Valued at No More Than VND 100 Million

Another notable provision concerns procurement packages or procurement items with a value of no more than VND 100 million.

Accordingly, the head of the relevant agency or procuring unit may decide on the procurement based on the principles of economy, efficiency and accountability for the decision made.

For these cases:

• The conditions specified in Clause 2, Article 79 are not required to be satisfied;
• The standard direct contracting procedure is not mandatory;
• However, all invoices and supporting documents must still be maintained in accordance with applicable laws.

In addition, where a procurement package simultaneously falls within cases eligible for direct contracting under both the standard procedure and the shortened procedure, the procuring entity may choose either procedure for implementation.

7. Additional Cases of Direct Contracting in Specialized Fields

The Decree also amends and supplements contractor selection cases in certain specialized fields.

These include matters relating to:

• Legal and lawyer services;
• Purchase of air tickets for domestic and international business trips;
• Air tickets for international delegations visiting Vietnam to attend conferences and seminars;
• Catering services and school meal services;
• Food, ingredients and input materials for meal services;
• Certain sports-related services;
• Postal services for serving documents originating from foreign countries;
• Goods, products and services under the Voucher Support mechanism;
• Periodic health check-ups and free screening services for certain groups of beneficiaries;
• Certain cases relating to planning activities, liquidation, dissolution, bankruptcy and transactions on commodity exchanges.

With respect to the Voucher Support mechanism, the Decree also specifies the responsibilities of the supporting agency in establishing evaluation criteria, quality control mechanisms, capacity assessment and the selection of a list of service providers.

8. Enhanced Disclosure of Contract Performance Results and Product Quality

Decree No. 349/2026/ND-CP introduces requirements for the disclosure of information on the results of order-based contract performance and information concerning the quality of goods that have been used, except for information classified as state secrets.

Such information may include:

• Implementation progress;
• Quality of goods and services;
• Contract violations and reasons for such violations;
• Other information as required.

Information on contract performance results must be published on the National E-Procurement System no later than 30 days from the end of the performance period of the order-based contract.

Information on the quality of goods used must also be disclosed within the prescribed timeframe.

9. Strengthening of the Mechanism for Supervising Bidding Activities

Another important provision of the Decree is the enhancement of the mechanism for regular supervision of bidding activities.

The entity responsible for regular supervision at the ministerial, sectoral or local level is responsible for receiving, monitoring and consolidating information from various sources, including:

• The National E-Procurement System;
• Reports submitted by procuring entities;
• Petitions and feedback from organizations and individuals;
• Other lawful sources of information.

Where unusual signs are detected that may adversely affect competition, fairness, transparency, efficiency or the progress of a procurement package or project, the supervisory authority may notify the procuring entity for review and appropriate action.

Where signs of violations are identified, the supervisory authority may request the procuring entity to take action within its authority or establish a supervision team where necessary.

Notably, the results of supervision and the implementation of corrective and remedial measures are also subject to disclosure on the National E-Procurement System.

10. Changes to the Time Limits and Procedures for Resolving Petitions

The new Decree provides more specific regulations on the resolution of petitions in bidding activities.

• For petitions concerning bidding documents, contractors, agencies or organizations must submit their petitions to the procuring entity at least 3 working days before the bid closing time.
• For other matters arising during the contractor selection process, contractors must submit their petitions before the notice of contractor selection results is issued.

The procuring entity is responsible for resolving a petition within 7 working days from the date of receipt.

• For petitions concerning contractor selection results, a contractor may submit a petition within 10 days from the date on which the contractor selection results are published on the National E-Procurement System.

Where a Petition Resolution Council accepts and resolves the petition, the resolution period is 30 days from the date on which the Council is established.

• For petitions involving multiple complex issues, the Petition Resolution Council may decide to extend the resolution period by a maximum of 10 days from the expiry of the prescribed resolution period.

11. Additional Mechanism for Handling Cases Where No Contractor Participates

Where no contractor submits a bid by the bid closing time, the procuring entity may apply direct contracting under the corresponding case or choose another course of action in accordance with the regulations.

In certain cases, the bid closing time may be extended by at least 5 working days, while other procurement packages may be extended by at least 10 days.

This provision provides an additional legal basis for handling situations where the contractor selection process fails to attract participating contractors.

12. New Regulations on Contractors Whose Personnel Violate Bidding Laws

The Decree also provides for cases where, during contract performance, personnel of a contractor are convicted by a court of serious violations of bidding regulations, and such violations are related to the contractor's successful bid.

In such cases, the procuring entity must:

• Terminate the contract;
• Forfeit the contract performance security;
• Make payment only for the portion of work that has been completed and accepted in accordance with the contract.

The contractor shall be deemed to have failed to fulfill the contract, and this information shall be published on the National E-Procurement System.

13. Clarification of the Addition and Replacement of Goods in Certain Cases

The Decree introduces provisions applicable where a procurement package has only one participating contractor, and the bid substantially satisfies the requirements but certain ordinary, commonly used and readily available goods do not meet the technical requirements.

If the total value of such goods does not exceed 1% of the procurement package value, the procuring entity may consider and decide whether to allow the contractor to add or replace the goods.

However, the price of the additional or replacement goods must not exceed the quoted unit price of the original goods.

14. Mechanism for Restoring the Validity of Bids When the Evaluation Process Is Prolonged

Where the evaluation of bids or proposals is prolonged, resulting in the expiration of their validity, the procuring entity may request the contractor to restore the validity of its bid or proposal and the corresponding bid security.

If the contractor does not agree or refuses to restore the validity, its bid or proposal shall not be further considered or evaluated, but the contractor shall not be subject to sanctions for violations under the bidding laws.

This provision is intended to address situations where the evaluation period extends beyond the originally anticipated timeframe.

15. Clearer Regulations on Subcontractor Management and Engagement

The Decree amends regulations on subcontractor management in the direction of more clearly defining the respective responsibilities of the procuring entity and the contractor.

The procuring entity shall specify the percentage limit on the maximum value of work that may be subcontracted in the bidding documents or request for proposals.

The contractor may propose:

• The scope of work to be subcontracted;
• The value of the subcontracted work;
• The name of the subcontractor, if already identified.

In certain cases, where the contractor has not yet identified the subcontractor at the time of bid submission, the contractor may omit the subcontractor's name but must clearly specify the scope and anticipated value of the work to be subcontracted.

The Decree also provides that the replacement or addition of subcontractors must be approved in accordance with the regulations. The contractor remains responsible for the quantity, quality, schedule and other obligations relating to the work performed by the subcontractor.

• The purchase of raw materials, fuel, materials, supplies, spare parts, machinery and equipment, or the hiring of construction equipment or personnel from suppliers or individuals for the performance of a procurement package shall not be considered subcontracting under the Decree.

16. Establishment of a Price Database for Bidding Activities

Decree No. 349/2026/ND-CP supplements the relevant regulations with the requirement to “develop a price database for bidding activities.”

This provides an important basis for gradually strengthening the data infrastructure used for price determination, benchmarking and evaluation in bidding activities.

17. Amendments to Regulations on Ordering Public Products and Services

Chapter II of the Decree amends and supplements a number of provisions of Decree No. 32/2019/ND-CP on the assignment of tasks, ordering, or bidding for the provision of public products and services funded by the state budget from recurrent expenditure sources.

The amendments concern, among other matters:

• Ordering budget estimates;
• Unit prices and ordering prices;
• Subsidy levels;
• Determination of unit prices and ordering prices;
• Mechanisms applicable to urgent ordering tasks;
• Economic-technical norms and cost norms;
• Transitional mechanisms for order-based contracts that have already been signed.

In particular, for urgent ordering tasks that need to be implemented immediately but for which the competent authority has not yet issued the applicable unit price or ordering price, in certain cases, the relevant agency or unit may sign a contract for up to 90% of the order value calculated based on the price applicable in the most recent year, or 90% of the estimate approved by the competent authority. Once the official unit price or ordering price is issued, the contract shall be adjusted accordingly.

18. Transitional Provisions and Effective Date

Pursuant to Article 28, Decree No. 349/2026/ND-CP takes effect from the date of its issuance, i.e. September 9, 2026.

• For certain public products and services for which an ordering decision has been issued or an order-based contract has been signed before the effective date of the Decree, implementation shall continue in accordance with the transitional provisions set out in the Decree.
• For certain cases where the 2026 state budget estimate has been allocated but no ordering decision has been issued and no contract has been signed, the ordering agency may choose to continue applying the previous regulations or the new regulations, subject to the conditions specified in the Decree.

For certain procurement packages involving domestically produced vaccines for which contracts were signed before the effective date of the Decree, the Decree also provides mechanisms for contract adjustment, payment and pricing in accordance with the new regulations.

Summary

Decree No. 349/2026/ND-CP introduces several notable changes to contractor selection, focusing on three key directions:

First, greater flexibility in contractor selection and direct contracting, particularly in urgent cases, procurement packages for which no contractor can be selected, and sectors with specific characteristics.

Second, simplification of certain procedures, notably for procurements valued at no more than VND 100 million, regulations on expert teams and appraisal teams, and the handling of situations arising during the bidding process.

Third, enhanced transparency, disclosure and accountability through the updating of information on the National E-Procurement System, publication of supervision results and contract performance results, and more specific regulations on the resolution of petitions.

Agencies, organizations, procuring entities and contractors should review the new regulations to ensure that contractor selection and contract performance are carried out in compliance with the applicable legal framework.

Decree No. 349/2026/ND-CP was issued on September 9, 2026, and takes effect from the date of its issuance.