A steel factory in Vietnam (Source: www.sggp.org.vn)Hanoi (VNA) - With an array of freetrade agreements (FTAs) inked and coming into force, countries around the worldhave also increased technical barriers to protect their domestic industries,exposing many Vietnamese businesses to the risk of losing markets if they lackthorough preparations.
Vietnamese exports are currently facing morethan 170 trade remedy lawsuits in many countries and territories, with 80percent related to the steel sector, according to the Trade Remedies Authorityof Vietnam (TRAV) at the Ministry of Industry and Trade (MoIT).
The Vietnam Steel Association said SoutheastAsia is the destination of 60 percent of total steel exports, while othermarkets include Europe, the US, Australia, and the Eurasian Economic Union(EAEU). However, export opportunities are at risk of being narrowed as a numberof major markets, like the US, the EU, Australia, some ASEAN countries, and theEAEU, have launched lawsuits against Vietnamese goods.
For example, in December 2019 the US Departmentof Commerce imposed duties of up to 456 percent on certain corrosion-resistantsteel products and cold-rolled steel processed in Vietnam using materials fromthe Republic of Korea (RoK) and Taiwan (China).
The Australian Anti-Dumping Commission recently initiatedanti-dumping and anti-subsidy probes into several aluminium-zinc coated steelproducts from Vietnam and elsewhere.
Earlier, after the Comprehensive and ProgressiveAgreement for Trans-Pacific Partnership (CPTPP) was signed, many steelproducers boosted exports to Canada, which is also a member of the deal. Inresponse, the Canadian Government immediately carried out an investigation intoVietnamese steel.
According to the Canada Border Services Agency’spreliminary conclusions, corrosion-resistant steel from Vietnam was dumped atmargins of between 36.3 percent and 91.8 percent, and corresponding temporaryduties will be imposed.
Apart from steel, Vietnamese products such ascar bodies, lawn mowers, foam mattress, polyester spun yarn, and 6mm-thick MDFboard are also at risk from safeguard measures being imposed in many markets,mainly the US, the RoK, India, Indonesia, Australia, and Thailand.
TRAV said that in order to protect Vietnameseproducts, the MoIT has swiftly assisted businesses subject to suchinvestigations to complete the necessary paperwork for submission to foreignagencies. It has also sent documents to those countries expressing concernabout their probes into Vietnamese exports.
To help reduce the risks posed by such traderemedy barriers, the ministry has submitted a draft plan on building andoperating an early warning system for trade remedies to the Government, theauthority noted, adding that actions in the initial stage of investigations arecritical to minimising any adverse impact on exporters.
It also suggested businesses proactively reformtheir production processes and ensure product origin is transparent,considering the use of locally-sourced materials as a guarantee for theirexports.
Economic experts said that as marketdevelopments will remain complicated in the time ahead, enterprises and theirassociations need to work closely with ministries and sectors to deal withtrade remedy lawsuits and, more importantly, prevent origin fraud by foreigngoods.
To help protect domestic firms, the MoIT will alsocarry out trade remedy inspections against imported goods.
For example, it applied official anti-dumpingduties, with 23.71 percent being the highest, on certain products withbiaxially oriented polypropylene (BOPP) film originating from China, Thailand,and Malaysia on July 20. Earlier, it received a request for an anti-dumpingprobe into H-shaped steel products from Malaysia./.
Vietnamese exports are currently facing morethan 170 trade remedy lawsuits in many countries and territories, with 80percent related to the steel sector, according to the Trade Remedies Authorityof Vietnam (TRAV) at the Ministry of Industry and Trade (MoIT).
The Vietnam Steel Association said SoutheastAsia is the destination of 60 percent of total steel exports, while othermarkets include Europe, the US, Australia, and the Eurasian Economic Union(EAEU). However, export opportunities are at risk of being narrowed as a numberof major markets, like the US, the EU, Australia, some ASEAN countries, and theEAEU, have launched lawsuits against Vietnamese goods.
For example, in December 2019 the US Departmentof Commerce imposed duties of up to 456 percent on certain corrosion-resistantsteel products and cold-rolled steel processed in Vietnam using materials fromthe Republic of Korea (RoK) and Taiwan (China).
The Australian Anti-Dumping Commission recently initiatedanti-dumping and anti-subsidy probes into several aluminium-zinc coated steelproducts from Vietnam and elsewhere.
Earlier, after the Comprehensive and ProgressiveAgreement for Trans-Pacific Partnership (CPTPP) was signed, many steelproducers boosted exports to Canada, which is also a member of the deal. Inresponse, the Canadian Government immediately carried out an investigation intoVietnamese steel.
According to the Canada Border Services Agency’spreliminary conclusions, corrosion-resistant steel from Vietnam was dumped atmargins of between 36.3 percent and 91.8 percent, and corresponding temporaryduties will be imposed.
Apart from steel, Vietnamese products such ascar bodies, lawn mowers, foam mattress, polyester spun yarn, and 6mm-thick MDFboard are also at risk from safeguard measures being imposed in many markets,mainly the US, the RoK, India, Indonesia, Australia, and Thailand.
TRAV said that in order to protect Vietnameseproducts, the MoIT has swiftly assisted businesses subject to suchinvestigations to complete the necessary paperwork for submission to foreignagencies. It has also sent documents to those countries expressing concernabout their probes into Vietnamese exports.
To help reduce the risks posed by such traderemedy barriers, the ministry has submitted a draft plan on building andoperating an early warning system for trade remedies to the Government, theauthority noted, adding that actions in the initial stage of investigations arecritical to minimising any adverse impact on exporters.
It also suggested businesses proactively reformtheir production processes and ensure product origin is transparent,considering the use of locally-sourced materials as a guarantee for theirexports.
Economic experts said that as marketdevelopments will remain complicated in the time ahead, enterprises and theirassociations need to work closely with ministries and sectors to deal withtrade remedy lawsuits and, more importantly, prevent origin fraud by foreigngoods.
To help protect domestic firms, the MoIT will alsocarry out trade remedy inspections against imported goods.
For example, it applied official anti-dumpingduties, with 23.71 percent being the highest, on certain products withbiaxially oriented polypropylene (BOPP) film originating from China, Thailand,and Malaysia on July 20. Earlier, it received a request for an anti-dumpingprobe into H-shaped steel products from Malaysia./.
VNA
