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| The United States (US) and Viet Nam signed an agreement on Monday (US time) to resolve disputes over American anti-dumping duties on Vietnamese shrimp. — VNA/VNS Photo Huy Hung |
HA NOI (Biz Hub) — The United States and Viet Nam signed an agreement in Washington on Monday (US time) to resolve protracted disputes over American anti-dumping duties on Vietnamese shrimp, according to the Viet Nam Competition Agency (VCA).
Accordingly, the Viet Nam Ministry of Industry and Trade, the US Department of Commerce (DOC) and the US Trade Representative agreed on a framework to resolve two World Trade Organisation (WTO) disputes, DS404 and DS492.
In these disputes with requests for consultations received in February 1, 2010 and February 20, 2012, respectively, Viet Nam considered that anti-dumping measures on certain frozen warm water shrimp from Viet Nam were inconsistent with the US's obligations to WTO.
As a result, Minh Phu Seafood Corporation, the largest shrimp exporter of Viet Nam, will no longer be subjected to anti-dumping duties while exporting shrimp to the US.
Under the US Department of Commerce's decision, Minh Phu Seafood Corporation's dumping margin was found to be zero or "not significant" in three consecutive administrative reviews.
Minh Phu Seafood Corporation would be refunded part of the anti-dumping duties the company had deposited in previous years, estimated to be worth millions of dollars, according to the VCA.
Unluckily, the anti-dumping duty order will remain in place for all other Vietnamese warm water shrimp exporters.
The agreement demonstrates the two countries' goodwill and efforts to address outstanding issues and promote bilateral ties to a higher level, especially in the context that the Trans-Pacific Partnership has been signed and is expected to soon come into force, VCA said on its website.
Viet Nam hailed the US's enforcement of WTO ruling as demonstrating the country's respect for its obligations at the WTO and its efforts to intensify multilateral trade as it has repeatedly declared.
Shrimp exports up
According to the Viet Nam Seafood Exporters and Processors, Viet Nam exported shrimp worth US$249.3 million to the US in the first five months of this year, a rise of 17.4 per cent year-on-year.
Holding a market share of more than 12 per cent in the US, Viet Nam became the fourth largest shrimp exporter to the US in the first five months of this year, coming after Indonesia, India and Thailand.
Viet Nam was the only shrimp exporter to the US in the top five that saw increases in both shrimp export volume and value in the period.
The US imported nearly $2 billion worth of shrimp in the first five months of this year, dropping by 10 per cent over the same period last year.
Viet Nam was the world's third largest shrimp producer with an annual output of around 650,000 tonnes, coming after China and Indonesia. Shrimp was the country's major seafood export product which accounted for around half of the total fisheries export value and the US was its largest shrimp importer.
In 2015, Vietnamese shrimp exports reached $2.95 billion, of which, exports to the US reached $657 million. — VNS