Vietnam Initiates the Investigation on Anti-dumping to Polyester Filament Yarns

On April 6 2020, Minister of Ministry of Trade and Industry (MOIT) signed the Decision 1079/QD-BCT on investigating and applying anti-dumping measures to someproducts made of polyester filament yarns originated from People’s Republic of China, Republic of India, Republic of Indonesia and Malaysia. Related parties may by themselves or authorize to experienced law firm in Vietnam on international trade to work with Trade Remedies Authority of Vietnam to cooperate.

Who are Requesters of Anti-dumping Investigation in Vietnam?

The Requester is 03 (three) companies including (i) Vietnam Petrochemical and Fiber Joint Stock Company (ii) Formosa Industries Corporation (iii) century synthetic fiber corporation. In which, production of Requester and Supporter take 67,4% total similar production produced domestically and there is no domestic producer oppose the case.

What Imported Products under Anti-dumping Investigation in Vietnam?

The products under investigation of AD10 are some products made of polyester filament yarns with following HS code: 5402.33.00, 5402.46.00 and 5402.47.00 originated from People’s Republic of China (China), Republic of India (India), Republic of Indonesia (Indonesia) and Malaysia.

What are Duty Levels Proposed by Requester?

Countries/territories of origin	Proposed duty
China	17,0%
India	54,9%
Indonesia	60,6%
Malaysia	6,4%

How to Determine Damage and Causal relationship in Anti-dumping Case?

Products which are supposed to be dumped are the reasons leading to the significant damage of domestic industry:

·        An excessive increase regarding the imported production of products originated from China, India, Indonesia and Malaysia.

·        Signs of the price difference, the price of imported products are always considerably lower than the sale price of domestic industry.

·        Decrease in profits and gross profit margin, production, coefficient of using capacity of domestic industry, whilst the market share of similar products from China, India, Indonesia and Malaysia is increasing.

The causal relationship: The dossiers of Requester proved that there is a causal relationship between dumping imported products and significant damage of domestic industry.

How to Register as Interested Parties in Anti-dumping Case?

According to Article 74 Law on foreign trade management, interested parties in the case include:

a) Overseas organizations and individuals that produce and export products under consideration to Vietnam;

b) Importers of products under consideration;

c) Foreign associations whose majority of members are organizations and individuals producing and exporting products under consideration;

d) The Government and competent authorities of the exporting country of product under consideration;

dd) Organizations and individuals that submit the application for the trade remedies;

e) Domestic producers of like products;

g) Domestic associations whose majority of members are producers of like products;

h) Other organizations and individuals that obtain legal rights and interests related to the investigated cases or facilitate the investigation or representative organizations of protection of customer rights.

Accordingly, organizations and individuals must register and be accepted by Investigating Authority to become Interested Parties in case.

Organizations and individuals can register with Investigating Authority as Interested Parties in case according to Application form for registration as interested parties and send them to Investigating Authority at the below address by the following methods: (i) Official dispatch and (ii) email within 60 working days from the day on which the decision on investigation takes effect (April 06^th, 2020).

In order to ensure their rights and interests, the investigating authority recommend that organizations and individuals that produce, import or use the investigated goods register as interested parties to exercise the right to access information, provide information and express opinions during the investigation of the case.

What Investigation Questionnaire Refers To?

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 Interested Parties, including:

i).The applicant requests for application of anti-dumping measures;

ii).Other domestic manufacturers which Investigating Authority knows;

iii).Parties requesting for application investigation of anti-dumping measures which Investigating Authority knows;

iv).Importers of goods under investigation;

v).Diplomatic authorities of the country where the origin of goods under investigation;

vi).Other interested parties deemed necessary by the Investigating Authority.

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 Authority may extend the time limit but it must be not more than 30 days.

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. In special case, Investigating Authority can determine other time limit for investigation but it shall not be less than 6 months.

Our competition lawyers at ANT Lawyers - law firm in Vietnam will always follow up with development from authorities to provide update to clients on anti-dumping cases.