The Ministry of Industry and Trade has decided to initiate an anti-dumping investigation on high-fructose corn syrup originated from China and the Republic of Korea.
Farmers harvest sugar. Appropriate trade defence measures should be considered to protect the local sugar industry which was facing pressure from smuggled sugar.
Under the established regulations on trade remedies, the ministry would send questionnaires to related parties to collect information for analysis and evaluation of the alleged claims, including injuries to Viet Nam’s sugar industry.
If necessary, based on the initial findings, the ministry would consider the imposition of temporary anti-dumping measures to prevent the dumping from continuing to cause damage to the domestic industry.
The petition was lodged by six refined sugar companies, including Son La Sugar Joint Stock Company, Lam Son Sugar Cane Joint Stock Corporation, KCP Vietnam Industries Limited, Can Tho Sugar joint Stock Company, MK Sugar Viet Nam Limited Company and La Nga Sugar Cane and Sugar Joint Stock Company.
Those companies account for 54.94 per cent of the total domestic output of corn syrup.
The period of investigation was from April 1, 2019 to March 31, 2020.
The petitioner proposed the imposition of a 36.09 per cent tariff on products from China and 40.02 per cent on products from the Republic of Korea.
The sugar industry of Viet Nam has faced difficulties in recent years, which was partly caused by sugar smuggling.
Sugar cane prices dropped to low levels (around VND100,000 per tonne) which did not encourage farmers to plant this type of crop.
Prime Minister Nguyen Xuan Phuc in March asked the Ministry of Industry and Trade to consider the application of trade defence instruments appropriate to Viet Nam’s established law and international practices to protect the local sugar industry. In addition, the prevention of sugar smuggling must also be enhanced. — VNS