Home > News > Company News > Flat glass maker seeks import safeguard extension

Flat glass maker seeks import safeguard extension

Post Time:Sep 18,2009Classify:Company NewsView:556

AGC Flat Glass Philippines, the country's lone glass manufacturer, has petitioned for the imposition of a maximum extension of the safeguard measure for a total of 10 years against the imported clear and tinted float glass.

The Tariff Commission will start its formal investigation Friday, Sept. 18, on the AGC petition following the endorsement of the petition by the Secretary of Trade and Industry.

The Safeguard Measures Act allows a maximum of ten years. So far, the local glass producer has already enjoyed 6 years of safeguard measures after the first three years of punitive duty was extended for another three years, which is due to expire this year.

With its expiration this year, AGC has petitioned for the imposition of a maximum extension or for four more years to complete the 10 years maximum.

“This is supposed to be its second and last extension if the Commission will approve of its petition,” a Tariff Commission official said.

AGC would like the safeguard measures to continue being meted out on imported clear and tinted Float Glass (AHTN Sub-Heading Nos. 7005.21.90 and 7005.29.90) and Figured Glass (AHTN Sub-Heading Nos. 7003.12.20, 7003.12.90 and 7003.19.90).

A continued imposition for the safeguard measures against these glass imports is expected to further give AGC enough time to position itself and against imports.

Under the law, a local industry that has been affected by the imported product must be able to build its competitiveness within the duration of the safeguard measure.

In January this year, the DTI has already reduced the definitive general safeguard duty on float glass and tinted float glass from mainland China, Taiwan, Thailand, and Indonesia, among other countries after reviewing import prices and the implementation of adjustment plans of the local glass industry.

The reduction in the punitive duty would translate to a lower definitive general safeguard tariff on float glass to P3,583.83 per metric ton from 3,772.45 per metric ton and tinted float glass to P4,526.94 million from P4,765.20 per metric ton.

This will be the third year of the three-year extension period in the implementation of safeguard measures on imported float glass products.

Float glass has various applications for commercial (glazing, atriums, skylight), residential (furniture and partitions), specialty glass (window display) and automotive.

Favila said that the reduction in the punitive duty was a result of an evaluation the agency conducted on the performance of the local glass industry for the 2007-2008 period and the status of their compliance to their commitments in their adjustment plans.

The DTI has also considered the position papers of different industry stakeholders particularly from AGC Flat Glass Philippines Inc., the country's lone glass manufacturing company, and from other sources of glass imports – Thailand, Malaysia, and Vietnam.

Source: www.mb.com.phAuthor: shangyi

Hot News