The safeguard duty extension has been made after reviewing and evaluating the impacts of imported fertilisers on the local fertiliser production. Photo ndh.vn
HÀ NỘI The Ministry of Industry and Trade (MoIT) has decided to extend the imposition of safeguard measures on several imported fertilisers for the next two years.
According to a recent decision, the safeguard measures on imported monoammonium phosphate (MAP) and diammonium phosphate (DAP) fertilisers have taken effect from March 7 this year to September 6, 2022.
The safeguard duty on the imported fertilisers stands at VNĐ1.05 million (US$46) per tonne for one year from March 7, dropping to VNĐ1.03 million from March 7 next year.
It will be then VNĐ1.01 million starting from March 7, 2021 to September 6, 2022.
MoIT has decided to make the extension after reviewing and evaluating the impacts of imported fertilisers on local fertiliser production as petitioned by domestic fertiliser producers according to the Law on Foreign Trade Management.
The ministry, in conjunction with other relevant agencies, had considered the production and business activities of the local fertiliser industry and its adjustments since the safeguard measures were first imposed in 2018.
The possibility that the domestic manufacturing industry will be severely damaged or will be threatened to cause serious damages if the safeguard measure is terminated, as well as the impacts of the safeguard duty on related industries had been also put under consideration.
“On the basis of the review, the MoIT has determined that the extension of imposing the safeguard measures on imported DAP and MAP fertilisers is necessary to prevent damage to the domestic fertiliser industry. The extension also ensures the effectiveness of the safeguard measures, giving the domestic fertiliser industry more time to adjust,” according to the MoIT’s statement.
According to the World Trade Organisation’s rules, a safeguard measure can be extended up to eight years, subject to a determination by competent national authorities that the measure is needed and that there is evidence the industry is adjusting.
The MoIT imposed safeguard measures on DAP and MAP fertiliser products imported into Việt Nam in March 2018 after initiating a fertiliser dumping investigation as petitioned by domestic fertiliser producers, who requested that trade defence measures be applied to a number of imported fertiliser products due to their negative impact on domestic production. VNS