DTI slaps antidumping duty on Thai gypsum boards
The Department of Trade and Industry (DTI) has imposed a provisional anti-dumping duty on gypsum board imports from Thailand, after its initial investigation found that the local industry suffered a drop in market share.
The provisional anti-dumping duty in the form of a cash bond would be in effect for four months, the agency said in its report.
It said the move was “necessary to prevent further material injury to the domestic industry.”
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Started in late 2023, the DTI’s probe on gypsum boards sourced from Thailand was prompted by a complaint filed by Knauf Gypsum Philippines Inc., a company engaged in the manufacturing, production, export, import, and sale of gypsum-based building materials.
Article continues after this advertisementThe company claimed that gypsum board imports from Thailand were being dumped in the Philippines or sold at below-market prices, thus hurting the local sector.
Article continues after this advertisementThe DTI found basis for that claim, saying that based on its initial investigation, there was “reasonable cause to believe that … imported gypsum board from Thailand are being dumped.”
It added that the dumped or artificially cheaper imports “caused material injury” to the domestic industry.
Based on DTI data, the market share of local gypsum boards declined to 58 percent in 2023 from 66 percent the previous year, largely due to the entry of the dumped products.
“The industry has lost a substantial share of its market, with 30 percent captured by dumped imports from Thailand in the first three quarters of 2023. The continued price undercutting of the domestic industry has made domestic prices uncompetitive, severely impacting its overall operations,” the report read.
“Without relief, local manufacturer will become unviable due to the poor margins, lack of return on investment and inability to grow volumes. Without a strong local manufacturer, the Thai manufacturers will have the ability to dictate future prices for the gypsum board in the Philippines,” it added. INQ
