On April 26, 2019, the
Department of Trade Protection (PVTM) – Ministry of Industry and Trade received
a dossier requesting investigation and application of anti-dumping measures for
some plastic products and products by Plastic is made from polymers and
propylene (“Investigated Goods”) originating from the People’s Republic of
China (China), Kingdom of Thailand (Thailand) and Malaysia. The requester in
the case are representatives of the domestic manufacturing industry, including
two companies: (i) Hung Nghiep Formosa Limited Liability Company; and (ii)
Plastic Joint Stock Company Youl Chon Vina.
On August 5, 2019, the
Ministry of Industry and Trade issued Decision No. 2334 / QD-BCT on conducting
investigation and application of anti-dumping measures.
What is scope of investigation in anti-dumping case AD07?
The products alleged
to be dumped are products made of plastic and plastic products made from
propylene polymers (also called Biaxial Oriented Polypropylene film – BOPP)
imported from the above countries and dumping on the Vietnam market which
caused significant losses to Vietnam’s BOPP film industry under the following
HS codes: 3920.20.10 and 3920.20.91.
The period of
investigation to determine dumping behavior is from July 1, 2018 to June 30,
2019. The investigation period to determine the damage of domestic
manufacturing industry is from July 1, 2916 until June 30, 2019.
How to determine damages and causal relation?
The alleged dumping
products are considered to be the main cause of significant losses in the
domestic manufacturing industry, reflected by the decline in indicators such as
utilization capacity, inventory, profits and dynamic price, price pressure…
What the investigation agency require?
Within 15 days after
the issuance of the investigation decision of the Minister of Industry and
Trade, the investigating authority shall send the investigation questionnaire
to the following subjects:
– The applicant
submits the application for anti-dumping measures;
– Other domestic
manufacturers;
– The party proposed
to investigate applies anti-dumping measures;
– Importers of goods
subject to investigation;
– The diplomatic
mission of the country where the goods originated is investigated;
– Other stakeholders
that the investigating authority deems necessary.
Within 30 days after
receiving the investigation question, interested parties must provide a written
answer to all questions in the questionnaire. In case of necessity or a written
request for extension with reasonable reasons from interested parties, the
investigating agency may extend the time limit but must not more than 30 days.
How long does the investigation will take?
Please be informed
that the time limit for the anti-dumping measures imposition investigation
shall be within 12 months from the day on which the decision on investigation
is issued, with a possible extension up to 6 months if necessary. Interested
parties could authorize law firm in Vietnam with international trade and
anti-dumping specialization to respond to authorities in Vietnam.
Accordingly, after
initiating the investigation, the Ministry of Industry and Trade will send the
questionnaires to related parties to collect information to analyze and
evaluate the alleged contents including the following acts:
+ Dumping behavior of
BOPP film export enterprises of China, Thailand and Malaysia;
+ Damage of BOPP film
manufacturing industry in Vietnam.
In case of necessity,
from the preliminary investigation results, if found that the damage of dumping
has a great impact on the domestic manufacturing industry, the Ministry of
Industry and Trade may apply anti-dumping measures. The period includes import
management for investigated goods, application of temporary anti-dumping
duties, consultations and application of anti-dumping duties effective before.
The Ministry of Industry and Trade will conduct the verification
and examine the information provided by the parties before completing the
official investigation conclusion on the case. At the same time, the Ministry
of Industry and Trade will also hold public consultations so that stakeholders
can directly exchange, provide information and express their views on the case
before making a final conclusion on the case.
Whom could respond the questionnaire and participate to
cooerate?
The Ministry of
Industry and Trade recommends that all organizations and individuals who are
importing – exporting, distributing, trading and using goods subject to
investigation be registered as a related party and provide necessary information
to the Ministry of Industry and Trade to ensure their rights and interests in
accordance with the law.
The Ministry of
Industry and Trade may apply anti-dumping duty which is effective backward for
goods subject to tax within 90 days before the application of temporary
anti-dumping duty. Therefore, the Ministry of Industry and Trade recommends
that organizations and individuals in the process of signing import contracts,
distribution, business and use of investigated goods should pay attention to
the possibility of applying anti-dumping tax. Temporary and anti-dumping taxes
are effective backwards.
As international trade law firm, we at ANT Lawyers always monitor changes in law and provide
clients with recent update.
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