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ANTI-DUMPING LAW OF THE PHILIPPINES

● Offers safety net protection to a Philippine local business that has been or is
expected to be seriously harmed by dumping goods into or sold in the country.
● Dumping occurs when exporters try to sell their product to an importer in the
Philippines at a lower price than its normal value, leaving a material injury to the
domestic industry that creates the same product.
● This gives the country a right to adopt an adequate response to protect itself
against the practice of unfair trading done by other countries.
● This includes imposing a duty or tariff to make the pricing mechanism fair
between the domestic goods produced and the similar products that are
considered to be dumped.
● If the product is being imported in the Philippines for use in the nation of export or
origin and its expected value is less than its export price, a special duty called the
“Anti-dumping duty” is levied on it. This charge is based on the difference
between the cost of export and the normal value of such a product.

PHILIPPINES IMPOSING DUMPING MEASURES TO OTHER COUNTRIES

● Anti-Dumping Protest Against The Importation Of Cold Rolled Coils/Sheets


From Taiwan
○ Cold rolled coils/sheets from Taiwan were dumped into the Philippines at a
margin ranging from US$ 21.62 – US$ 74.37/MT or 6.63% to 26.98% of
the export price. Said margins were above the 2% de minimis requirement.
○ The DTI-BIS preliminary investigation indicated an affirmative finding of
the necessary elements of dumping which merited the imposition of the
corresponding surety bond for the identified exporters from Taiwan, of cold
rolled coils/sheets, having a width of 600 mm or more, as exported to the
Philippines within the period of March 1998 to May 1999.
○ On 28 June 1999, National Steel Corporation filed an anti-dumping protest
against the importation of Cold Rolled Coils/Sheets from Taiwan. The
preliminary determination of this case was suspended on 17 January 2000
due to the pendency at the Tariff Commission (TC) of an earlier case
against the same product originating from the said country of export.
○ On 02 July 2000, the Secretary of DTI formally resumed the anti-dumping
investigation. Then, on 12 December 2000, the DTI-BIS issued the results
of its preliminary determination:
○ Volume of dumped imports was 9.30% of total Philippine imports of the
like product. Said volume satisfied the 3% de minimis volume requirement
which materially injured the local industry.
○ Preliminary Conference was held on 27 December 2000 for the purpose of
exploring the possibility of amicable settlement/price undertaking and to
apprise the parties on the schedule(s) and procedure of the public
consultation, and other related matters necessary for the speedy
disposition of the case. The parties in attendance were the protestant
NSC, importers/protesters Sonic Steel, Bacnotan Steel Corporation,
Philsteel, and many others.

● Vietnamese Cement Dumping Reportedly Continues In Spite Of Safeguard


Duty In The Philippines
○ The Department of Trade and Industry (DTI) has launched a probe into the
possible imposition of a new anti-dumping duty on imports of cement from
Vietnam.
○ The Philippine Star newspaper has reported that Vietnamese cement
continues to enter the Philippine market at allegedly dumped prices
despite the DTI’s safeguard measures on the product.
○ The DTI is authorized to investigate where prices are believed to be
harmful to the domestic industry. Cemex Philippines, Holcim Philippines
and Republic Cement have applied for a probe.
○ Cemex Philippines, Holcim Philippines and Republic Cement all applied
for an anti-dumping investigation into cement products imported from
Vietnam. The Philippines’ Department of Trade and Industry is expected to
begin investigating allegations of cement dumping from Vietnam, following
applications by three local manufacturers, according to the Manilla
Standard.

● PH’s Department of Agriculture vs. Turkish flour producers


○ On November 17, 2014, the Department of Agriculture (DA) implemented
the Department Order No. 10.
○ This imposes anti-dumping duties against flour exports of Turkish
suppliers until 2021.
○ This imposition was made due to the findings of the Tariff Commission that
these imports made by Turkish suppliers were harmful to the country.
○ This implementation was made because of the petition filed by the
Philippine Association of Flour Miners, Inc. that locally-made flours were
incompetent against the Turkish flours who were obviously lower in cost
due to it being sold at dumping prices.
○ On September 9, 2020, it was announced by the Tariff Commission of the
Philippines that the anti-dumping duties would be extended until 2023.

● Republic Asahi Glass Corporation (RAGC) vs. Chinese suppliers of Clear


Figured Glass
○ The RAGC filed an anti-dumping protest against suppliers of CFGs from
China. This protest was filed on June 27, 2000
○ A protest was filed because allegedly, the said products were imported at
a dumped price causing injuries to the Philippines’ domestic industry
○ The preliminary investigation found some cases connected to the said
dumping issue. These cases were the exports made by Shanghai Ta-yuan
Glass Co. Ltd. and Shanghai Cen Eagle Industrial Trading.
○ After a thorough investigation, it was found out that STG’s CFGs were
different from the local CFGs in terms of sizes, quality and characteristics.
○ Despite both producers (local and domestic) having the same production
process, a certain pattern on STG’s CFG was not locally produced.
Therefore due to a lack of conclusive evidence, the case against STG was
dismissed.

PHILIPPINES IMPOSING DUMPING MEASURES TO OTHER COUNTRIES

● Banana harvests on Mindanao, Philippines


○ The anti-dumping duties were imposed by Indonesia when it was proven
that there were Cavendish bananas dumped from the Philippines that
resulted in losses to domestic industries producing similar commodities in
2016.
○ As part of our bilateral partnership, Indonesia has acknowledged our trade
deficits in favor of them.
○ During the bilateral meeting, the lifting of this ban was also accounted
when the Indonesia has already recognized Davao Region, Northern
Mindanao, and SOCCSKSARGEN as pest free areas for banana
production
○ The Department of Agriculture said that Indonesia is exporting $1 billion
worth of commodities while we are only exporting $1 million worth of
goods to Indonesia.
○ Finally, Indonesia agreed to our request and removed the anti-dumping
measure against our Bananas, particularly the Northern Mindanao and
Soccsksargen regions which were certified as free trade areas for
bananas by Indonesia.
○ For us, this is a breakthrough as we continue to penetrate even the
Indonesian market and boost our exports for our agricultural products
especially banana as one of our top export product

● Philippine Pineapple exports to Australia


○ Australia still has a policy to allow only de-crowned pineapples into its
market and refused to liberalize its import policy on fresh pineapples. The
Australian government’s concern is that in the pineapple crown is where
most of the pests are found which could contaminate and infest Australia’s
agriculture industry.
○ The Australian government first imposed the anti-dumping measure for
five years in 2006 after Golden Circle Limited, the sole producer of canned
pineapples in Australia, requested the ban on the entry of canned
pineapples from the Philippines. It was extended by five more years in
2011 and yet another five years in 2016.
○ The Australian government lifted its ban on Philippine canned pineapples,
paving the way for the duty-free entry of the export product into the large
Australian market once the anti-dumping measure expires on Oct. 17 for
consumer canned pineapples and on Nov. 13 for food service industrial
canned pineapples. After a 15-year absence, canned pineapples from the
Philippines will once again enter Australia.

● Philippine firms allegedly “dumping” carbon steel pipes to the detriment of


the American steel manufacturing industry
○ The US said that it was investigating the Philippines and four other nations
for allegedly "dumping" circular welded carbon grade steel pipes after four
American producers claimed these imports were causing serious injury to
their industry, according to Amy Remo of the Daily Inquirer.
○ Imports of steel pipe from Oman, Pakistan, the Philippines, the United
Arab Emirates, and Vietnam were subjected to antidumping duty
investigations, while imports of the same product from Pakistan were
subjected to a separate countervailing duty (CVD) examination.
○ However, an order issued by the Commission stated, “The Commission
found that imports of circular welded carbon-quality steel pipe from the
Philippines are negligible and [the Commission’s] investigation with regard
to imports from this country is thereby terminated,” and US International
Trade Commission (ITC) will continue pursuing its antidumping
investigation against exporters from four other countries.
○ The two Philippine exporters identified in the petition earlier denied having
exported such products to the US, according to the Department of Trade
and Industry (DTI).

HOW DOES THE ANTI-DUMPING LAW IN THE PHILIPPINES PROTECT ITS LOCAL
PRODUCERS?

● The Philippine Tariff Commission is open to protests and petitions filed by local
producers against foreign imports if ever that dumping practices were committed
by the foreign importers.
● The Philippine Tariff Commission conducts thorough investigations on these
cases filed by the local producers. These investigations usually take time to have
a clear conclusion but this is only because the Philippine Tariff Commission
scrutinizes not only the internal factors but also the external factors.
● Given that imports make up a lot of the country’s gross national income, they still
avoid turning a blind eye on the local producers.

CONCLUSION

 Dumping is said to take place when the exported goods of a country to another
country are at a lower price goods than its normal value. As this business
practice has negative impacts to domestic markets, the Anti-dumping Law of the
Philippines was made.
 The law aims to protect Filipino exporters against unfair business trade practices,
a thorough examination and investigation abiding the international trade
agreements must be demonstrated in order to establish solid pieces of evidence
that such an act was done. However, an investigation will not be possible unless
the application was filed “by or on behalf of the domestic industry”.
 It serves the purpose of providing remedy to the domestic industry against the
injury caused by the unfair trade practice of dumping and is a trade remedial
measure to counteract the trade distortion caused by dumping and the
consequential injury to the domestic industry.
 It also aims to rectify the situation and the unjust effect that occurs upon dumping
and to reestablish the implementation of fair trade.
 The protection occurs as the anti-dumping duty is imposed on the importation of
products and the imposition of duty or tariff is done to make the trade competition
fair and give the Filipino exporters the right to be free from unfair business trade
practices.
SOURCES

● https://tariffcommission.gov.ph/ad-00-02
● https://www.philstar.com/business/2008/01/21/39827/australia-wonrsquot-ease-
import-policy-fresh-pineapples
● https://business.inquirer.net/332176/after-15-yrs-canned-pineapples-from-ph-
%E2%80%8Dto-enter-australia#ixzz79XJ2JlrC
● https://www.globalcement.com/news/item/12313-vietnamese-cement-dumping-
reportedly-continues-in-spite-of-safeguard-duty-in-the-philippines
● https://www.cemnet.com/News/story/170692/philippines-dti-to-begin-anti-
dumping-investigation-into-vietnamese-imports.html
● Dti.gov.ph. (n.d.). Retrieved October 14, 2021, from
https://www.dti.gov.ph/negosyo/imports/trade-remedies/anti-dumping/.
● Kenton, W. (2021, October 13). Anti-dumping duty. Investopedia. Retrieved
October 14, 2021, from https://www.investopedia.com/terms/a/anti-dumping-
duty.asp.
● manilabulletin_admin. (2019, April 1). Indonesia lifts ban on exports of ph onions,
bananas. Manila Bulletin. Retrieved October 15, 2021, from
https://mb.com.ph/2019/04/02/indonesia-lifts-ban-on-exports-of-ph-onions-
bananas/.
● Staff, C. N. N. P. (2019, April 1). Indonesia ends anti-dumping duties on ph
banana imports. cnn. Retrieved October 14, 2021, from
https://www.cnnphilippines.com/business/2019/4/1/Indonesia-banana-imports-
Philippines-anti-dumping.html.
● Writer, S. (2016, October 21). Itochu to overhaul Asian banana farming for bigger
yields. Nikkei Asia. Retrieved October 16, 2021, from
https://asia.nikkei.com/Business/Itochu-to-overhaul-Asian-banana-farming-for-
bigger-yields.
● Billo, B.B. (2011). The Politics of the Anti-Dumping Law of the Philippines.
Retrieved from
https://www.researchgate.net/publication/228246166_The_Politics_of_the_Anti-
Dumping_Law_of_the_Philippines
● Remo, A. (2015). 2 PH firms cleared in antidumping case. Retrieved from
https://business.inquirer.net/204168/2-ph-firms-cleared-in-antidumping-case
Prepared By:

Group 3

Barja, Arjelene

Buena, Chloe Noelle

Cuba, Hazel Joyce

Lim, Czer Erick Joshua

Llorin, Alyssa Joanna

Nuite, Mary Ann

Palma, Shaira Joy Bobis

Rona, John Ray

Turiano, Maria Med Eulexi

Yanzon, Shaira Maxine

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