Tariff body nixes measure versus cement imports

Local cement manufacturers suffered a setback after the Tariff Commission recommended that no definitive safeguard measures be imposed on the importation of cement.

Local cement manufacturers have petitioned government to impose definitive quantitative restrictions on imported cement which competes with locally-produced cement.

The Department of Trade and Industry (DTI), however, would still have to study the recommendation of the Tariff Commission. The DTI will make the final decision on the imposition of definitive measures against imported cement.

Trade and Industry Secretary Manuel Roxas II said the Tariff Commission is merely recommendatory.

"The DTI would review the basis of its own ruling imposing a P20.60 tariff on imported cement," Roxas said, adding that "the DTI would come out with its decision in 15 days."

The Tariff Commission, noted that the local cement industry "has not suffered and is not suffering a significant impairment in its overall market position."

The commission also noted that "the decline in production and total sales during the period of import surge were not sharp enough nor significant enough relative to prior years to constitute serious impairment in the production and sales of the industry."

The commission had, in fact, observed, that there was even an improvement in the capacity utilization of the domestic industry in 2000 when imports started to surge.