By Dean Aubrey Caratiquet
A preliminary investigation that seeks to gauge the threat imposed by increased imports of cement to the domestic industry was initiated by the Department of Trade and Industry (DTI). The probe covers cement classified under AHTN Codes 2523.29.90 and 2523.90.00 for the period of 2019 to June 2024.
The DTI’s decision is based on evidence indicating a significant increase in cement imports during the investigation period. In absolute terms, imports have steadily risen year-on-year from 2019 to 2023. Imports grew by 10% in 2020, 17% in 2021, and 5% in 2023. Additionally, the relative share of imports has also increased from 30% in 2019 to 47% in 2023, and further to 51% in the first half of 2024.
The initial findings show substantial evidence indicating that increased volumes of imported cement have jeopardized the domestic industry in various ways: declining market share, reduced production and sales, decreased capacity utilization, diminished profitability, price depression, undercutting, and suppression.
“At DTI, we are actively looking on how to assist Philippine industries, considering their contribution to economic value addition and jobs generation. We remain committed to providing an environment where the domestic industries can effectively compete with imports.” acting DTI Sec. Ma. Cristina Roque said.
The DTI invites the interested parties, particularly the exporters and importers, to submit their comments and position on the matter, including their views on whether the imposition of a safeguard measure is in the public interest.
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