Many export product groups are at risk of being investigated and subject to trade defense measures

VCN - Many groups of goods such as wood, iron and steel, construction materials, manufactured industrial products exported to the US, EU... are at risk of being investigated, subject to trade defense measures, and evading defense measures. commerce.
Many export product groups are at risk of being investigated and subject to trade defense measures
When exports are large and competitive, there is an increased risk of applying trade defense measures. Photo: N.H

The Trade Defense Department (Ministry of Industry and Trade) has just announced a list of product groups at risk of being investigated, subject to trade defense measures, and evading trade defense measures.

The first group is five wood products exported to the United States. Specifically, plywood from hardwood materials, reference HS codes: 4412.31, 4412.32, 4412.33, 4412.34, 4412.94, 4412.99.

The product started receiving warnings from July 2019. The United States has officially imposed anti-dumping tax and anti-subsidy tax on similar products imported from China since November 2017.

In June 2020, the US Department of Commerce (DOC) initiated an investigation into evasion of trade remedies for plywood products imported from Vietnam. In July 2023, DOC issued the final conclusion of the case. According to this conclusion, plywood products imported from Vietnam to the United States, if they have a core using peeled wood imported from China, are considered to be evading the trade remedy measures being applied to plywood imported from China. If plywood from Vietnam has a core using peeled boards produced in Vietnam or other countries, it is not considered evasive.

Next are kitchen cabinets and bathroom cabinets, reference HS codes: 9403.40, 9403.60, 9403.90. The product started receiving warnings from April 2020. Based on the requests of US kitchen cabinet and bathroom cabinet manufacturers, in May and June 2022, DOC initiated an investigation into kitchen cabinets and bathroom cabinets imported from Vietnam and Malaysia into the United States. Whether the United States uses parts imported from China is within the scope of trade remedy measures and whether it is evading trade remedy measures that the United States is applying to China. In September 2023, DOC issued a preliminary adjustment conclusion listing 3 product cases within the scope of the original tax order. According to the latest plan, DOC will issue final conclusions on product scope in April 2024; issue preliminary and final conclusions on evasion in April and July 2024.

The next product is bedroom furniture, reference HS codes: 9403.50.9041, 9403.50.9042, 9403.50.9045, 9403.50.9080, 9403.90.7005, 9403.90.7080. The United States has applied anti-dumping and anti-subsidy taxes on similar products imported from China since 2005. In September 2022, after a review, DOC decided to extend the tax orders on products of China until 2027.

According to the Trade Defense Agency, this product accounts for a large proportion of total US imports, so there is a possibility that the US will initiate an investigation into trade remedies or tax evasion on imported bedroom furniture. from Vietnam.

The next item is a sofa with a wooden frame, reference HS code: 9401.61. The product started receiving warnings from November 2020. This item is on the list of imported goods from China that are subject to a 25% tax by the United States. Similar to bedroom furniture, sofas with wooden frames also account for a large proportion of total US imports, so Vietnamese businesses need to be careful to avoid using key components produced in China to process and assemble products and export them to the United States.

Next are wooden bars and wooden strip edges that are continuously shaped; Reference HS code: 4409.10, 4409.22, 4409.29. Products started to be warned from August 2021. The United States has applied anti-dumping and anti-subsidy measures on similar Chinese products since December 2020 with relatively high tax rates (the lowest anti-dumping tax is 33.87%, the lowest anti-subsidy tax is 20.56%).

Vietnam's proportion in total US imports is tending to increase. Enterprises exporting to the United States should note that they should avoid using main materials imported from China to produce this product.

The list are included in a number of construction material products exported to the United States such as: quartz artificial stone, reference HS code: 6810.99; ceramic tiles, reference HS codes: 6907.21, 6907.22, 6907.23, 6907.30, 6907.40; Corrosion-resistant carbon steel reference HS codes: 7210.30, 7210.41, 7210.49, 7210.61, 7210.69, 7210.70, 7210.90, 7212.30, 7212.40, 7212.50, 7212.60; box steel pipes and round steel pipes, reference HS codes: 7306.30, 7306.50, 7306.19, 7306.61; Prestressed steel cable, reference HS code: 7312.10.

Regarding Mexico, the Trade Defense Department said that in the near future, some steel products exported to Mexico are at risk of being subject to trade defense investigation such as: hot rolled steel, reference HS code: 7208.36, 7208.37, 7208.38, 7208.39; prestressed steel, reference HS code: 7312.10.

In addition, the Trade Defense Agency also notes that businesses export products such as: electric bicycles exported to the US and EU, reference HS code: 8711.60; Hot rolled steel sections exported to Australia, reference HS codes: 7216.31, 7216.32, 7216.33, 7216.40, 7216.50, 7228.70 and some aluminum products exported to the United States such as: aluminum wire and cable, reference HS codes: 8544.49; aluminum profile bar, reference HS codes: 7604.10, 7604.21, 7604.29, 7608.10, 7608.20, 7610.10, 7610.90…

By Ngọc Linh /Quynhlan

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