US may remove anti-dumping tariff on Vietnam's shrimp

 

 

 

In a November 15 workshop held in Ho Chi Minh City, American lawyer Kenneth J. Pierce predicted that a sunset review of anti-dumping duties on Vietnam's frozen shrimp may end the tariff. 

 

Pierce said Vietnam has solid evidence that it has nothing to do with the problems that are plaguing the US shrimp industry.

 

Vietnam's shrimp exports to the US are farmed in natural conditions and the dumping band is relatively low in comparison with other countries.

 

However, Vietnamese shrimp exporters are not attending the hearing proceedings, which indicates a lack of determination to have the anti-dumping tariff removed during the sunset review period.

 

The review will be conducted by both the US Department of Commerce (DOC) and US International Trade Commission (ITC) just before the five-year anniversary of the anti-releasing of anti-dumping tariff decision.

 

This will be the first sunset review on shrimp imports and will be the best opportunity for Vietnam to obtain the lowest possible duties. The expenses for a sunset review may reach US$400,000 to US$600,000.

 

According to the Vietnam Association of Seafood Exporters and Producers (VASEP), the last administration review of Vietnam's frozen shrimp products exported to the US for the period of between February 1, 2007 to January 31, 2008 has been completed and showed good signs for Vietnam.

 

The last review revealed some changes compared to the preliminary review announced in March 2009. Many more Vietnamese shrimp exporters have received anti-dumping duties of nearly zero percent.

 

Duties imposed on three defendants, Minh Phu Joint Stock Company, Carimex and Phuong Nam Company, have been slashed to very low levels of nearly zero percent.

 

Mseafood Corporation, a subsidiary of Minh Phu Company in Ca Mau province, received a reimbursement of US$4.2 million, the security money paid during US consideration of anti-dumping duties on shrimp imports.

 

The US imposition of anti-dumping duties on Vietnam's frozen shrimp products since 2003 has significantly decreased the number of exporters. The duties on Vietnamese enterprises were once as high as 26 percent.