Vietnam News Network

Vietnam News: Local, National, Business, Sport, Entertainment and Technology

Trade XRPUSD, Bitcoin and Cryptocurrencies

BUY & SELL XRPUSD | View XRPUSD News & Updates


Buy Sell XRPUSD, Bitcoin and Cryptocurrencies

Anti-dumping tax makes Vietnamese shrimp less competitive   2008-09-12 - VNN

Truong Dinh Hoe, Secretary General of the Vietnam Association of Seafood Exporters and Producers (VASEP), said that the final decision by the US Department of Commerce (DOC) on exempting only four Vietnamese frozen warm-water shrimp export and processing companies from anti-dumping tariffs would make Vietnamese shrimp less competitive in the world’s market.

 

US cuts tariffs for shrimp exporters

 

DOC's decision would make Vietnamese shrimp less competitive in the world’s market.

Hoe said that the decision was really a surprise to Vietnamese seafood producers and exporters. The result of the second administrative review was far below expectations.

 

Under the DOC’s final decision, only four Vietnamese companies will be exempted from the anti-dumping tax, while 23 companies will bear the tax rate of 4.57% and two other companies will be imposed 25.76%.

 

The tax rates, according to Hoe, have surprised and discouraged enterprises.

 

Prior to that, the preliminary decision by DOC said that the tax rate on 28 Vietnamese companies would be lowered to 0%. Except the said 28 enterprises, other Vietnamese shrimp exporters would bear the common anti-dumping tax rate of 25.76% when exporting products to the US.

 

Hoe affirmed that the enterprises will continue ‘fighting’ in the next administrative reviews; however, he admitted that there is little possibility these enterprises will get the 0% rate.

 

The final decision by DOC will burden Vietnamese shrimp companies in their competition with big rivals like Thailand and India. The enterprises of the two countries were also defendants in US dumping lawsuits, and were initially imposed higher tax rates than the ones imposed on Vietnamese companies. However, the companies of the two countries later gained lower tax rates than Vietnam.

 

After the second administrative review, the anti-dumping tax rate on Indian companies was lowered to 1.69%. Meanwhile, DOC also announced the final anti-dumping tax rate of 3.18% on Thai companies, a sharp decrease from the previously applied level of 6.09%.

 

Though expecting difficulties, VASEP said that the final decision by DOC will not keep US importers away from Vietnamese products. Shrimp exports are expected to reach $1.5bil in turnover, equivalent to last year’s exports.

 

Currently, the biggest challenge of Vietnamese shrimp is the competition with regional countries in farming white shrimp, which has become a favourite in the world. Thailand and China both have good experience in farming this kind of shrimp, while Vietnam is just beginning.



Other news

BUSINESS IN BRIEF 12/9   2008-09-12

Office leasing fees to drop sharply   2008-09-12

Foreign banks won’t dominate local market   2008-09-12

VN-Index drops below 500 points, HASTC-Index below 170 points   2008-09-12

Buses the key to reducing gridlock in HCMC   2008-09-12

Singapore investment firm opens in capital   2008-09-12

Vietnam drops five places in WB business environment rating   2008-09-11

Many City petrol stations admit to repeated rip-offs   2008-09-11

Cushman & Wakefield forecasts sharp fall in office rent   2008-09-11

Doing Business 2009 report: Vietnam gets undeserved grade   2008-09-11

PetroVietnam considering selling stakes of Dung Quat   2008-09-11

BUSINESS IN BRIEF 11/9   2008-09-11

Companies cancelling plans to buy treasury stocks   2008-09-10

Five goals of supporting industries development strategy   2008-09-10