Vietnam encounters increasing trade defence lawsuits as exports expand
Vietnam is facing an increasing risk of trade defence lawsuits as exports expand after the country's active international integration and participation in free trade agreements (FTAs).
Illustrative image (Photo: VNA) Hanoi (VNS/VNA) - Vietnam is facing an increasing risk of trade
defence lawsuits as exports expand after the country's active international
integration and participation in free trade agreements (FTAs).
Most recently, the US Department of Commerce officially announced it would initiate an anti-dumping investigation on polyester texture yarn (PYT) imported from Malaysia, Indonesia, Thailand and Vietnam.
Vietnam’s PYT export to the US increased from 490,000 USD in 2017 to 4.5 million USD in 2019, making up 8.7 percent of the US’ PTY import in the period from September 2019 to August 2020.
Steel, which had an average export value of 4.2 billion USD per year, was the product facing the most trade defence lawsuits.
The Ministry of Industry and Trade’s statistics showed that Vietnam faced 30 trade defence lawsuits in the first nine months of this year, compared to just 10 in the same period last year. Among them, there were six cases related to steel. The investigations were mainly initiated by the US, India, Turkey, Canada and Australia.
According to Deputy Minister of Industry and Trade Tran Quoc Khanh, Vietnam participated in 14 FTAs, pushing the country’s exports from 15 billion USD in 2001 to nearly 100 billion USD in 2011, with exports expected to reach 270 billion USD this year.
The ministry said that the main cause for the increasing number of investigations targeting Vietnamese exports is their rapid increase.
Many Vietnamese products were creating significant competition in importing markets, meaning industries in foreign countries were requesting investigations and applications of trade defence instruments.
The problem was that while there was an increasing risk of measures from importing markets, Vietnamese enterprises were still not well aware of trade defence policies.
Phan Khanh An from the ministry’s Trade Remedies Authority of Vietnam, said a recent survey showed about 15 percent of enterprises did not know anything about trade defence, only two percent were well aware of the issue, while the rest had heard about trade defence but did not understand it enough.
An said that many Vietnamese exporters did not know that their products were under investigation for trade defence measures or faced higher tariffs.
According to Phan Mai Quynh from the Vietnam Trade Remedies Authority, Vietnamese enterprises should not be afraid of such measures but participate actively in the investigation process, such as answering questions by investigators and preparing documents as requested.
She said that the active cooperation of enterprises made up 90 percent of the results of the investigation.
She also urged enterprises to develop advanced and modern management systems with clear records as well as having legal departments to study trade regulations.
In addition, enterprises should actively cooperate with industry associations and State management agencies to cope with trade defence lawsuits./.
Most recently, the US Department of Commerce officially announced it would initiate an anti-dumping investigation on polyester texture yarn (PYT) imported from Malaysia, Indonesia, Thailand and Vietnam.
Vietnam’s PYT export to the US increased from 490,000 USD in 2017 to 4.5 million USD in 2019, making up 8.7 percent of the US’ PTY import in the period from September 2019 to August 2020.
Steel, which had an average export value of 4.2 billion USD per year, was the product facing the most trade defence lawsuits.
The Ministry of Industry and Trade’s statistics showed that Vietnam faced 30 trade defence lawsuits in the first nine months of this year, compared to just 10 in the same period last year. Among them, there were six cases related to steel. The investigations were mainly initiated by the US, India, Turkey, Canada and Australia.
According to Deputy Minister of Industry and Trade Tran Quoc Khanh, Vietnam participated in 14 FTAs, pushing the country’s exports from 15 billion USD in 2001 to nearly 100 billion USD in 2011, with exports expected to reach 270 billion USD this year.
The ministry said that the main cause for the increasing number of investigations targeting Vietnamese exports is their rapid increase.
Many Vietnamese products were creating significant competition in importing markets, meaning industries in foreign countries were requesting investigations and applications of trade defence instruments.
The problem was that while there was an increasing risk of measures from importing markets, Vietnamese enterprises were still not well aware of trade defence policies.
Phan Khanh An from the ministry’s Trade Remedies Authority of Vietnam, said a recent survey showed about 15 percent of enterprises did not know anything about trade defence, only two percent were well aware of the issue, while the rest had heard about trade defence but did not understand it enough.
An said that many Vietnamese exporters did not know that their products were under investigation for trade defence measures or faced higher tariffs.
According to Phan Mai Quynh from the Vietnam Trade Remedies Authority, Vietnamese enterprises should not be afraid of such measures but participate actively in the investigation process, such as answering questions by investigators and preparing documents as requested.
She said that the active cooperation of enterprises made up 90 percent of the results of the investigation.
She also urged enterprises to develop advanced and modern management systems with clear records as well as having legal departments to study trade regulations.
In addition, enterprises should actively cooperate with industry associations and State management agencies to cope with trade defence lawsuits./.
You should also see
InfographicADB maintains 2024 economic growth forecast for Vietnam
In its April 2024 Asian Development Outlook (ADO) report, the Asian Development Bank (ADB) has maintained its earlier forecast for Vietnam’s economic growth this year, despite ongoing uncertainties from the external environment. Vietnam’s economy is expected to achieve a growth rate of 6.0% in 2024 and 6.2% in 2025.
See more
Business
Vietnam treasures multifaceted cooperation with Côte d'Ivoire: Deputy FM
Vietnam always attaches importance to and wishes to bolster multifaceted cooperation with Côte d'Ivoire – its traditional friendship partner in Africa, Deputy Minister of Foreign Affairs Nguyen Minh Hang has said.
Videos
Foreign investment driven towards new breakthrough phase
Vietnam has so far drawn nearly 500 billion USD in registered FDI capital after nearly four decades of opening up its economy, with investment quality improvement considered a key task for a new breakthrough phase ahead.
Business
Quang Ninh attracts additional 115 million USD from Japan investors
The Quang Ninh Economic Zone Authority (QEZA) presented investment certificates to two Japanese projects worth 115 million USD in total at a conference held at Song Khoai Industrial Park (IP) on April 19.
Business
Central bank plans to auction gold bars on April 22
The State Bank of Vietnam (SBV) will auction SJC-branded gold bars on April 22, a representative of the central bank said on April 19.
Business
Hanoi to host Vietnam Medipharm Expo 2024
The 31st Vietnam International Medical and Pharmaceutical Exhibition (Vietnam Medipharm Expo 2024) is scheduled to take place in Hanoi from May 9 to 12, an official of the Ministry of Health (MoH) told a press conference on April 19.
