09:35 | 26/12/2018 Economy- Society
(VEN) - Some countries are strengthening trade defense measures to protect domestic production. Vietnamese businesses have been facing a lot of anti-dumping lawsuits and lawsuits as a result.
The growing application of trade defense measures is partially attributed to the expanding trade liberalization worldwide, including the removal of tariff barriers and appearance of market opening commitments and free trade agreements (FTAs).
According to the Ministry of Industry and Trade’s Trade Defense Department, there are several lawsuit trends related to trade defense, including lawsuits against tax evasion, domino lawsuits, dual (anti-dumping and anti-subsidy) lawsuits. Also trending are investigations carried out in order to apply import restriction measures for reasons of national security, among others.
Vietnamese exporters have so far encountered 130 cases of trade defense lawsuits initiated by 17 countries and territories. Countries that most often applied such measures to Vietnamese goods include the US, Turkey, India, Brazil and European countries. They mainly implemented anti-dumping, anti-subsidy and tax evasion investigations.
Anti-dumping investigations mainly targeted metal products, chemicals, rubber, machinery, textiles, garments, paper, stone, and plastics, while anti-subsidy investigations were directed against rubber, plastics, chemicals, canned food, alcohol, beer, tobacco, textiles, garments, animals, and paper. Trade defense measures, mainly anti-dumping lawsuits, have greatly affected Vietnam’s exports.
Vietnamese businesses are uncertain how to obtain information to deal with the various lawsuits. Lacking experience and funding, most have not appealed efficiently. Some Vietnamese enterprises failed to meet investigators’ demands for production and contract data.
The Trade Defense Department has recommended that Vietnamese enterprises take the initiative in confronting such lawsuits, diversify exports and export markets, carefully study trade defense laws and trends in foreign markets, and add value to their products.
The department said enterprises should regularly read its notices, take the initiative in working with the department to find solutions to lawsuits and potential lawsuits, and strengthen close cooperation between parent companies and their subsidiaries to ensure true, consistent data.
Enterprises should also keep eyes of trade defense measures and be cautious in investment to avoid being accused
of tax evasions.