Vietnam's Association of Seafood Exporters and Producers is considering whether to challenge the US's heightened anti-dumping duties for Vietnamese frozen, warm-water shrimp.
The Vietnamese Government reported that the US Department of Commerce had raised the rate for those companies that had provided information to US authorities to determine dumping rates. The US has raised the rates on these businesses from 0.91 percent to 4.78 percent. The general rate, for all other exporters, remains 25.76 percent.
Truong Ðình Hòe, the Association's General Secretary, said it was considering whether to launch a complaint to the US State Court of International Trade on the basis of allegations that the US arrived at duty values using "zeroing," an anti-dumping duty calculation methodology outlawed by the World Trade Organization (WTO).
Under this controversial practice, multiple comparisons of the export price and the home market price of an allegedly dumped good are made. However, when aggregating the results of such comparisons to calculate the level of dumping for the product as a whole, the investigating authority ignores results where "negative dumping" occurs (when the product is sold on the export market at above the home market price). The effect of this is that the margin of dumping is increased, often substantially, thereby inflating the amount of anti-dumping duty paid.
The US is Vietnam's largest importer of shrimp, accounting for 22.7 percent of export market share.
Source: http://www.tax-news.com
Key words : Vietnam, May Challenge, US, Dumping Duties, Shrimp
