Vietnam to impose 34% anti-dumping tax on sugar imports from Thailand

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HANOI, Feb 9 (Reuters): Vietnam said on Tuesday it plans to impose anti-dumping duties on raw sugar that originates in Thailand, claiming soaring imports are undermining its domestic sugar industry.

The Vietnamese industry and trade ministry said a 33.88% levy would apply on Thai sugar, but a timeframe for when it will come into force has yet to be decided.

Vietnam removed import duties on sugar imported from Southeast Asian countries in 2020 in accordance with the commitments of the Asean trade in Goods Agreement (ATIGA).

However, provisions allow ASEAN countries to impose import duties to protect the rights and interests of their domestic industries against anti-competitive behaviour.

Vietnam's decision to reintroduce duties, specifically for raw sugar, comes after the ministry conducted an anti-dumping investigation that started last September, following complaints by Vietnam sugar industry officials.

The probe's preliminary results showed that subsidized and dumping of sugar from Thailand surged to 1.3 million tonnes in 2020, up 330.4% from 2019, the ministry said in a statement.

"A series of domestic sugar factories have been closed, causing 3,300 employees to lose their jobs and having negative impacts on 93,225 farmer households," the statement added.

"An anti-dumping tax of 33.88% will be imposed on raw sugar originated from Thailand and will be reviewed regularly."

The ministry's investigation is still ongoing and will conclude in the second quarter. The Vietnamese side will work with relevant agencies to make a final decision on when it will introduce the duty, the ministry said.

Meanwhile, Vietnam recorded 19 new cases of Covid-19 infection on Tuesday, including three imported and 16 locally transmitted, according to the Ministry of Health.

The new infections brought the total confirmed cases in the country to 2,069 with 35 deaths as of 6pm local time Tuesday.

Among the locally transmitted cases, six were recorded in the northern Hai Duong province, three in the northern Quang Ninh province, two each in the Vietnamese capital Hanoi, the northern Hung Yen province and the southern Ho Chi Minh City, and one in the central highlands Gia Lai province.

As many as 1,474 patients have been given the all-clear, the ministry said, adding that over 99,800 people are being quarantined and monitored.

As part of efforts to contain the recent resurgence of Covid-19, Ho Chi Minh City has enforced the suspension of all cultural, sports and entertainment activities, and has shut down non-essential business and service establishments such as beauty salons, dance halls, bars, pubs and e-game stores from Tuesday until further notice.

The local administration also requested the suspension of religious rituals and activities with 20 people or more.


date:2021-02-24

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