July 8, 2004

 

 

Vietnam Pans U.S. Shrimp Dumping Duties
 

Vietnam voiced anger yesterday at an initial U.S. ruling to slap anti-dumping duties of up to 93.13 percent on shrimp exports, saying its prices were fair and did not jeopardize U.S. jobs.

 

The U.S. Commerce Department's preliminary decision to impose hefty duties on shrimp imports from Vietnam and China came after southern U.S. shrimpers accused the two countries of selling pond-raised shrimp in the United States at below-market prices.

 

"VASEP vehemently protests the preliminary ruling by the DOC in the anti-dumping suit," the Vietnam Association of Seafood Exporters and Producers said in a statement late on Tuesday.

 

"The unjust decision by DOC will have an adverse impact on the livelihood of millions of shrimp farmers in the coastal areas, thousands of workers in shrimp processing factories in Vietnam, as well as cause direct damages to shrimp consumers," it said.

 

The proposed duty of 93.13 percent would affect an estimated 64 percent of Vietnam's shrimp exports, the Vietnam Shrimp Exporters Association said.

 

"We are going to fight until the end," association president Nguyen Van Kich told Reuters. The group had contacted its lawyers to file an appeal, he said.

 

The U.S.-Vietnam Trade Council that promotes trade between the two countries called the decision an enormous disappointment.

 

"This is shockingly high," said council president Virginia Foote.

 

The duties will be up to 93.13 percent on shipments from Vietnam and 112.81 percent for Chinese imports, the Commerce Department said in a preliminary ruling.

 

A final decision will not be made until November.

 

China had no immediate comment but a commerce ministry official said it might issue a statement later in the day.

 

Fishery products, including shrimp, rank as communist Vietnam's fourth-biggest earner after crude oil, garments and footwear.

 

Shrimp exports to the United States rose seven-fold between 1998 and 2002, when shipments reached US$470 million. They were estimated to have exceeded US$500 million in 2003.

 

U.S. consumers could see a price hike of about 44 percent if the duties on shipments from China, Vietnam and four other targeted countries - Thailand, Brazil, India and Ecuador - take effect, said Wally Stevens, president of the Shrimp Task Force.