Displaying items by tag: customs duty

South Korea/Egypt: The South Korean government plans to implement a 72% import duty on white cement from Egypt. Yonhap News has reported that the Korea Trade Commission (KTC) recommended the duty as an anti-dumping measure, following its investigation into the impacts of Egyptian imports on the South Korean white cement industry. This consists of Union Corporation’s 200,000t/yr Chongju white cement plant in North Chungcheong.

South Korea consumed 100,000t of white cement in 2022. Egyptian white cement commanded a 10% (10,000t) market share. The domestic cement industry complained to the KTC against Royal El Minya Cement and Albatros International Cement Trading in March 2023. An additional probe will now follow to assess the correct rate for the duty.

Pakistan: Cement producers in Northern Pakistan have reported a 13% drop in the price of coal to US$126/t. The Pakistan Today newspaper has reported that this is due to the Afghan government lowering taxes on exports of coal from Afghanistan. The Taliban reduced its royalties on coal exports by 12% to US$30/t. Meanwhile, it reduced customs duties on coal exports by 33%, also to US$30/t.

Northern Pakistan is comprised of Azad Jammu and Kashmir, Khyber Pakhtunkhwa and Punjab. In 2022, regional cement plants were over 70% reliant on Afghan coal. That year, they paid coal prices of US$170 – 200/t.

Philippines: The Philippines Department of Trade and Industry has enacted a temporary duty on some imports of cement from Vietnam. The Manila Times newspaper has reported that the measure will be in force until April 2022 and only apply to ‘dumped’ cement. Importers will pay a duty of between US$1.02/t and US$10.50/t on ordinary Portland cement and between US$1.16/t and US$12.80/t on blended cement.

The measure follows a probe carried out on the basis of a petition by domestic cement producers APO Cement, Holcim Philippines, Republic Cement and Solid Cement. The probe found that the domestic cement industry had suffered a loss of market share and declining domestic sales between July 2019 and December 2020.

Trade Secretary Ramon Lopez said "We do not anticipate that these duties will result in an increase in the retail price of cement, because its effect on landed cost is minimal.” He added “Any price increases in imported cement will be discouraged by competition from domestic cement producers. The provisional anti-dumping duties will be imposed only on specific Vietnamese exporters found to be dumping cement to the Philippines. Vietnamese exporters who are not dumping can continue to export cement without having to post the provisional anti-dumping cash bond.”

Philippines: The Department of Trade and Industry (DTI) has introduced a customs duty on imported cement of US$4.81/t. The Manila Times reports that the measure is subject to annual review and will be in place for three years, decreasing by US$0.48/yr.

The government previously imposed a provisional tariff of US$4.02/t, in spite of protests from Vietnam that any executive action would be in contravention of World Trade Organisation rules. Philippine law allows for the imposition of such measures where an appointed advisory body has determined that increased imports ‘threaten to substantially cause injury to the domestic industry.’

The advisory body in question is the Tariff Commission, who in August 2019 recommended a tariff of US$5.68/t. Secretary of Trade and Industry Ramón López stated that the figure aims to address the threat with minimal impact on buyers. Cement prices in the country hit a low in early January 2019 of US$98.6/t, rising to US$108.25/t after the imposition of the provisional tariff.

Vietnamese producers will be the hardest hit by the price hike, with 75% of the Philippines’ imported cement originating in Vietnam. Asian Review reports that a further 18% comes from neighbouring China and 8% from Thailand.