With a view to protecting the local steel industry, the Ministry of Industry and Trade on March 7 issued Decision No. 862/QD-BTC, announcing additional tariffs on imported steel products as a temporary safeguard against inexpensive imported steel products.
|Making steel sheets in Siam Steel Vietnam Co., Ltd., in Phuc Dien industrial park (Hai Duong province)__Photo: Huy Hung/VNA|
Accordingly, from March 22, 2016, import duty rates of 23.3 percent and 14.2 percent will be imposed on steel billets and long steel products, compared to the current zero percent and five percent, respectively, for a maximum of 200 days.
However, these safeguards will not be applicable to products from developing countries, whose steel exports to Vietnam account for under three percent of the country’s total imports.
This move results from an investigation during the last two months launched by Decision No. 14296/QD-BCT dated December 25, 2015, due to a complaint lodged by four companies including Hoa Phat Steel Joint-Stock Company, Southern Steel Limited Liability Company, Thai Nguyen Iron and Steel Joint-Stock Company and Vietnam-Italy Steel Joint-Stock Company.
Initial findings suggested that the recent surge in imports has caused serious damage to local production of steel billets and long steel products.
Specifically, the amount of imported steel billets rose from more than 466,000 tons in 2012 to 1.5 million tons in 2015. The amount of imported long steel products also rose from more than 387,000 tons in 2012 to 1.2 million tons in 2015.- (VLLF)