By Kris Crismundo/PNA
MANILA — Cement importers insisted that they do not pose sufficient threat to the market position of local cement manufacturers, saying calls for additional safeguard duties against them are not warranted.
In a briefing Wednesday, Philcement Corp. president and chief executive officer Eduardo Sahagun, a member of the Philippine Cement Importers Association (PCIA), said there is no legal basis to slap cement imports with safeguard tariffs at this point.
Sahagun said cement manufacturers in the country are earning well, with cumulative profits of listed cement firms amounting to PHP50.36 billion from 2013 to 2017, based on their disclosures with the Philippine Stock Exchange.
“It is ironic that a safeguard tariff is being contemplated when domestic cement manufacturers neither sought protection, nor are their operations in danger of serious injury, or even remotely, face the threat of serious injury,” the position paper of PCIA said.
Last week, Department of Trade and Industry (DTI) Secretary Ramon Lopez said in a press conference that “there are these approved or legitimate trade measures that we will just have to institute” towards the cement importers after learning about a surge in cement imports.
Data from DTI showed that import volume in 2017 jumped 72 percent to 3.04 million metric tons (MT) from 1.77 million MT in 2016.
However, PCIA data reported that importers only imported a total of 2.98 million MT in 2017, increasing only by 20 percent from 2.47 million MT in the previous year.
PCIA data came from DTI’s Bureau of Import Services.
Sahagun said a big chunk of cement imports in the past years were made by cement manufacturers themselves to keep up with the robust demand.
He said the group had met for the first time with Lopez on Tuesday to discuss the issue.
He, however, noted that they only sought to communicate their concerns to the Secretary and not to change the decision that the agency has already made.
When asked if the meeting with importers has changed DTI’s action towards the cement importers, Lopez said his department will issue the statement Thursday.
