THE Department of Trade and Industry (DTI) said it will be imposing a temporary safeguard duty of P349 per metric ton on imported cement for three years.
The DTI said it will be adopting the Tariff Commission’s (TC) recommendation to impose a safeguard duty of P14 per 40-kilogram bag of ordinary Portland cement Type 1 and blended cement.
“The imposition of the safeguard duty will be subjected to dynamic monitoring and review to ensure that prices remain stable and supply stays sufficient to cover demand at any given time,” Trade Secretary Ma. Cristina A. Roque said in a statement on Tuesday.
According to the DTI, the TC recommendation is equivalent to only 3-4% of the prevailing retail price and will level the playing field between domestic manufacturers and importers. It does not expect the extra cost to be passed on to consumers.
It said the excess cash bond paid by importers, or the difference between the provisional and final duty assessed, will be refunded once the DTI issues the corresponding order.
Ms. Roque said recent earthquakes underscore the need to ensure an adequate and affordable supply of cement.
“The DTI will regularly review the safeguard duty to adjust its scope and intensity in response to market conditions,” she added.
“The department will actively regulate the effects of safeguard tariffs to maintain a balanced environment where both local manufacturers and cement importers can adapt, compete, and thrive, particularly during periods of calamities or supply disruptions,” she said. — Justine Irish D. Tabile