US reduces import tariffs for Vietnamese pangasius exporters

According to the Ministry of Industry and Trade (MoIT), on April 20, the US Department of Commerce (DOC) announced the official result of the 15th period of review (POR) for the period from August 1, 2017, to July 31, 2018, on the pangasius fish and basa fish products of Vietnam exported to the US.

Particularly, the final import tariff applied for some enterprises that had participated in answering the questionnaire and cooperating with the DOC was US$0.15 per kilogram or around 3.8 percent of the export price. Enterprises that did not cooperate would receive an import tariff of $2.39 per kilogram. Moreover, most large Vietnamese pangasius fish exporters, including Vinh Hoan JSC and Bien Dong Seafood Company, would continue to enjoy a zero-percent import tariff.

Thus, although the import tariff applied for uncooperative enterprises was kept the same as that in the 14th period of review, the import tariff for cooperative enterprises dropped significantly from $1.37 per kilogram in the POR14 to $0.15 per kilogram in the POR15. This is positive news for Vietnamese pangasius fish exporters amid the context that the Covid-19 pandemic is expected to affect the domestic fish farming industry.

Statistics showed that in the first half of March this year, pangasius exports from Vietnam to the US market rose by 18.8 percent year-on-year, a positive signal for Vietnamese pangasius exporters as the export value of pangasius fish to this market slumped in 2019. By mid-March this year, the US was the largest pangasius fish importer of Vietnam, accounting for 18.8 percent of the total pangasius exports.

According to the MoIT, Vietnamese pangasius fish products have been imposed anti-dumping tariffs by the US since 2003 and had to go through tariff reviews every year. Currently, the US DOC is conducting the 16th period of review, the MoIT recommended that relevant export enterprises should cooperate and provide sufficient and accurate information and data for the DOC to assess. The ministry will continue to collaborate with ministries, departments, the Vietnam Association of Seafood Exporters and Producers, and relevant exporters to take necessary actions to protect the rights and legitimate interests of Vietnam’s pangasius industry.

By Phan Thanh – Translated by Thuy Doan

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