Hoa Phat JSC : steel pipe company gets the anti-dumping tax rate of 0% in the US market

11/06/2016 10:52

United States Department of Commerce (DOC) has preliminary decision for anti-dumping investigation for welded carbon steel pipe (code HS 7306) importing into the US market. Accordingly, Hoa Phat Steel Pipe Co., Ltd. has been involved as a defendant voluntarily and is the only company of Vietnam entitled to a separate tax rate 0.38% when exporting carbon steel pipe into this market.

With the tax legal system of the United States, any tax rate of less than 2% is considered low tax rate and is implemented as a level of 0%. This is very beneficial verdict for Hoa Phat Steel Pipe Company in promoting of exports to the US market in the coming months before DOC releasing final document.

Hoa Phat Steel Pipe is the only company of Vietnam getting separate antidumping tariff 0.38% when exporting to the US market

The two defendants are Seah Steel Vina Corporation and Vietnam Hai Phong Hongyuan Machinery Manufactory Co., Ltd. under the tax rate 0% and 1.19%, respectively. The anti-dumping tax nationwide for remaining exporters from Vietnam is 113.18%.

DOC's preliminary decision also clarified that Hoa Phat Steel Pipe does not need to deposit money to the anti-dumping duties when exporting goods to the US market. Thus, the importers can import product of Hoa Phat into the United States without proving the responsibility and obligation to implement anti-dumping duty until a final decision issued by DOC within 135 days later (since 02/06/2016).

If the final ruling similar to the preliminary decision, then the anti-dumping investigation will end for Hoa Phat. Hoa Phat goods that imported into the United States prior to the verdict will not be affected by the DOC's final decision concerning this incident.

Started exporting the first batch of US steel pipe in 2010, Hoa Phat Steel Pipe Corporation manufactured under quality management system ISO 9001: 2008, meets the most stringent standards such as ASTM-A53 today; ASTM-A500, BS 1387/1985, … With the initiative to join the case seriously and promptly, Hoa Phat Steel Pipe believes that the DOC's final decision will be the same as the preliminary.

Relevant to the incident, on 28th Oct 2015, the DOC received antidumping petition from four US companies for products of welded carbon steel pipes imported from Vietnam. On 17/11/2015, DOC officially started investigation products of the above company exporting to the US in the period from April 1 - Sept 30, 2015. The anti-dumping imposition amplitude is 113.18%.

Pleaseclick her e to refer to the original decision of the United States Department of Commerce

Diep Anh - Nghi Tran