Imported sugar products coded HS 1701.13.00, 1701.14.00, 1701.99.10, 1701.99.90, and 1702.90.91 will be subject to an anti-dumping tax rate of 42.99% and an anti-subsidy tax rate of 4.65%.
These two taxes are additional import taxes to be applied to sugar imported from Thailand, including imports under tariff quotas.
The decision will take effect from June 16 and last for five years.
Previously, the final investigation from the Vietnamese side determined that several Thai sugar cane products imported to Vietnam showed signs of being dumped and subsidised, causing significance losses to the domestic sugar cane industry. In addition, there was a causal relation between the import of the dumped and subsidised goods and the substantial injury to the domestic industry.
The Trade Remedies Authority of Vietnam (Ministry of Industry and Trade) held a public consultation (online form) on May 12 with the participation of 80 delegates representing stakeholders including Governments, businesses, and associations of Thailand and Vietnam.
At the consultation, representatives of the domestic sugar industry said that the Thai sugar industry was supported by the Government through the control of the domestic market and imports, subsidies of exports, direct financial support of US$1.3 billion per year, debt financing, and others, which has caused serious damage to the Vietnamese sugar industry.
According to domestic producers, the sudden increase in the import of Thai sugar since 2020 is the main cause of the damage to the domestic sugar industry. The domestic production of cane sugar in the 2019-2020 crop was estimated at less than 800,000 tonnes, down from 1.2 million tonnes in the 2018-2019 crop year.
The Ministry of Industry and Trade launched the initiation of anti-dumping and anti-subsidy investigation on sugar products imported from Thailand on September 21, 2020, based on the request from the representative of the domestic industry.
