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Vietnam: Investigating the application of measures to prevent evasion of trade remedies for cane sugar products from Thailand

On September 21, 2021, the Vietnamese Ministry of Industry and Trade issued Decision No. 2171/QD-BCT on investigating and applying measures to prevent evasion of trade remedies against dumping and anti-subsidy on cane sugar products originating from Thailand accused of evading through 5 ASEAN countries including Laos, Cambodia, Indonesia, Malaysia, and Myanmar on the basis of the request documents of the representative of the domestic industry and the Vietnam Sugar Association.

Previously, on February 9, 2021, the Ministry of Industry and Trade issued Decision 477/QD-BCT applying a temporary anti-dumping and anti-subsidy tax on cane sugar products originating from Thailand.

Not only that, on June 15, 2021, the Ministry of Industry and Trade continued to issue Decision No. 1578/QD-BCT applying official anti-dumping and anti-subsidy measures to some sugarcane products imported into Vietnam originating from Thailand.

Import data from customs authorities show that sugar imports are declared as originating from the five ASEAN countries mentioned above in the period after Vietnam initiated an anti-dumping and anti-subsidy investigation on sugarcane from Thailand from October 2020 to June 2021 that has increased sharply compared to the previous 9-month period.

In which, the import volume increased from 107,600 tons to 527,200 tons and the amount of sugar imported from Thailand into Vietnam decreased by nearly 38%, from 955,500 tons to 595,000 tons.

Immediately after the amount of sugar imported from some ASEAN countries (besides Thailand) showed signs of increasing, the Trade Remedies Administration (Ministry of Industry and Trade) and related units actively consulted and supported the Vietnam Sugar Association as well as the domestic cane sugar industry collect information and data, build a dossier of request for investigation against evasion of trade remedies with sugarcane products.

The profile of the domestic manufacturing industry has provided some information and evidence that there are signs of trade remedy evasion through the five ASEAN countries mentioned above, mainly reflected in the sudden increase in imports from these countries.

Investigate the application of measures to prevent evasion of trade remedies for cane sugar products

After initiating an investigation, the Vietnamese Ministry of Industry and Trade will send an investigation questionnaire to relevant parties to collect information in order to analyze, evaluate and clarify the allegations as well as investigate acts of evading anti-dumping and anti-subsidy measures in accordance with the law.

In addition, the Ministry of Industry and Trade will also verify and confirm the information provided by related parties before completing the official investigation conclusion on the case.

Furthermore, the Ministry of Industry and Trade will investigate and apply necessary measures in accordance with the provisions of law and international commitments to establish a fair competitive environment for the domestic sugar industry and ensure the effectiveness of trade remedies.

The Ministry of Industry and Trade also recommends that all organizations and individuals that are importing, exporting, distributing, trading, and using the investigated goods register as related parties and provide necessary information to the Ministry of Industry and Trade and monitor closely to ensure their legitimate rights and interests.

The above news was originally posted on www.lexology.com

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