Tariff Commission slates decision on cement safeguard duty by Sept

The Tariff Commission (TC) is on track to issue a decision on the cement case before the 200-day provisional safeguard measure imposed on imports of such ends on Sept.10.

“We have no choice but to come up with a decision sometime before Sept. 10. We are on schedule,” TC commissioner Ernesto Albano told reporters.

The provisional safeguard, duty in the form of a cash bond of P210 per metric ton or P8.40 per 40-kilogram bag on imported cement imposed by the Department of Trade and Industry (DTI) took effect last February.

DTI decided to impose the provisional safeguard duty as a relief to local cement makers hurt by increased imports.

While the provisional safeguard duty is in place, the DTI wants to encourage local manufacturers to expand their capacities to lessen the country’s dependence on imports.

Under Republic Act 8800 or the Safeguard Measures Act, safeguard measures or higher duties on goods may be imposed when increased imports are found to have caused serious harm to the domestic industry.

Should the TC decide not to keep the safeguard measure on cement, Albano said the decision would hold and be final.

“If we overturn, no safeguard, there is nothing he (DTI secretary) can do,” he said.

As the case was initiated by the DTI, he said cement manufactures who may wish to appeal the decision when TC decided not to impose a safeguard measure, would have to go to the Court of Tax Appeals.

In the event the TC decides to have a safeguard measure on cement, he said the decision would still have to go through DTI Secretary Ramon Lopez who would give the final say.

“If we say yes (to safeguard), he can remove, make it higher,” he said.