Actively use PVTM tools to protect domestic production


According to the Steering Committee 35 Ministry of Industry and Trade, capacity building in the field of trade defense (PVTM) in the context of deep and wide integration is a consistent and throughout policy of the Party and Government. Resolution No. 22-NQ / TW dated April 10, 2013 of the Politburo on international integration stating “Proactively formulating and implementing measures to protect the legitimate interests of the State, enterprises and people. domestic consumption “. Document of the XII National Congress of the Party also stated as follows: “Make the most of favorable conditions of trade agreements and agreements to promote exports; at the same time, take preventive measures. protection to protect production and consumer interests “.

Implementing the above policy, Resolution No. 06-NQ-TW dated November 5, 2016 of the XII Party Central Executive Committee on effective implementation of international economic integration, maintaining political stability. – The society in the context of our country’s participation in new-generation free trade agreements states that “in the next 5-10 years, focus on effectively exploiting international commitments, building mechanisms and policies. trade defense, prevention and international dispute resolution; have appropriate policies to support areas with low competitiveness to rise; strengthening training, improving staff capacity, international law qualifications, building technical barriers, appropriate active defense measures ”.

Along with the participation in Free Trade Agreements (FTAs) including new generation FTAs ​​such as the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), Vietnam Free Trade Agreement- European Union (EVFTA), in the context of countries increasing the use of PVTM measures to protect domestic production; to effectively implement the new generation FTAs, requiring comprehensive and comprehensive PVTM capacity building in order to implement the socio-economic development strategy, improve the efficiency of the process of international economic integration. The legal and reasonable protection of domestic production is an increasingly urgent requirement.

In recent years, the implementation of trade remedies, ensuring the interests of Vietnam in international economic integration has been implemented synchronously and comprehensively by the Ministry of Industry and Trade in all aspects from the completing the legal basis, establishing a specialized agency to perform the task of state management of commercial PV (the Department of Trade Defense under the Ministry of Industry and Trade) to promulgate a series of major programs and projects to improve the enforcement force in the PVTM sector, thereby achieving a number of positive results, specifically:

Regarding the work of lawsuits, over the past time, the number of cases of investigation and application of trade protection measures to our export goods continues to increase. Up to now, Vietnam has been investigated by countries initiating investigation of nearly 200 cases of PVTM for many commodities, including important export items such as seafood (shrimp, pangasius), iron, steel, aluminum, and wood. , etc. In the resolved cases, the Ministry of Industry and Trade actively coordinated with relevant ministries and agencies to support enterprises through many activities such as: (i) early warning of the risk of lawsuits; (ii) provide up-to-date and timely information to help businesses understand the developments of the case; (iii) advise on some legal issues, investigation procedures, investigation regulations / practices of the petitioning country and solutions for the business; (iv) participate in cooperation and answer questionnaires. As a result, Vietnam has obtained some positive results. In which, successfully appealed to about 43% of the cases; to ensure that many products of Vietnam, especially commodities such as basa fish, shrimp, continue to be exported to major markets such as the US, EU … with the tax rate of 0% or very low; petitioned 5 cases to the Dispute Settlement Body of the WTO, of which 3 cases ended with positive results.

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Regarding the lawsuit, in order to support businesses to protect their legitimate interests, Vietnam has been promoting the role of PVTM measures as a tool to ensure a fair trade environment to prevent cooperation. Negative impact of imports to domestic production and labor, employment, ensuring economic security and social security. Up to now, Vietnam has investigated 19 PVTM cases and is processing lawsuits filed by many other industries. The products subject to tax investigation and application are relatively diverse from raw materials such as iron and steel, metals, chemicals, plastics, and fertilizers to consumer goods such as MSG and sugar.

In general, the timely PVTM measures applied by the Ministry of Industry and Trade have contributed to protecting the jobs of more than 150,000 workers in many production fields, contributing to increasing revenue for the state budget at the Revenue is estimated to reach trillions of VND as well as protection for domestic industries’ production in anti-dumping cases with an estimated 5.12% of Vietnam’s GDP in 2019. Thanks to PVTM tools, many businesses in a number of economic sectors have significantly improved their production and business situation, got rid of losses, and gradually stabilized their production.

These measures also contribute to the implementation of solutions related to dealing with 12 loss-making projects of the industry and trade sector, of which, a number of businesses have significantly improved their production and business situation, escaping losses. and gradually stabilize production such as DAP-Vinachem Fertilizer Company (Dinh Vu – Hai Phong), Viet Trung Steel Company, Viet Y Steel Company, Pomina Steel Company …

Awareness of the business community about PVTM measures has been improved. Along with programs and activities to support and disseminate information and knowledge about PVTM organized by the Ministry of Industry and Trade, VCCI, and industry associations, there are many awareness of the business community about commercial PV measures. positive changes compared to before. The fact that businesses increasingly actively coordinate with the Ministry of Industry and Trade in lawsuits and lawsuits shows clearly the level of interest of businesses towards these measures.

Despite achieving remarkable results in the past period, Vietnam’s PVTM work still has some limitations that need to be improved to meet the requirements of the new integration period of Vietnam such as PVTM power of many industries and enterprises has not been improved; the legal system, deployment mechanism, and coordination among agencies in handling foreign trade PV cases are inadequate; human resources performing PVTM work are not commensurate with the increase in the number and complexity of PVTM lawsuits and lawsuits.

In order to effectively exploit the new generation FTAs ​​in the context of increasing protectionist trends and complicated trade conflicts, countries around the world are also increasing the use of PVTM measures to protect In domestic production, the state management agencies and the business community need to raise awareness, PVTM capacity and promote the implementation on the basis of some of the following orientations:

First, reviewing and perfecting Vietnam’s PVTM law to ensure that it meets practical requirements, is synchronous, consistent and consistent with international commitments while simplifying procedures for businesses;

Second, increasing resources for PVTM work, including reviewing, reviewing and proposing directions to consolidate the organizational structure of PVTM to meet the practical requirements of PVTM work.

Third, consolidating the unified coordination mechanism, throughout handling PVTM cases between ministries, central branches and localities; between domestic and foreign agencies; between state management agencies and associations. Complete the connection of the customs database with the PVTM database to serve the investigation, application and response to PVTM cases.

Fourthly, strengthen propaganda, training, and dissemination of legal knowledge and practice of dealing with PVTM in Vietnam and the world for officials of state management agencies, industry associations, especially small and medium business.

Fifth, develop a strategy to proactively use PVTM tools to reasonably and legally protect the domestic manufacturing industry in accordance with international commitments and domestic laws, balancing the interests of manufacturing industries. domestic and consumer benefits, ensuring harmony between socio-economic interests.

With the above specific strategies and measures on PVTM, we have enough grounds to believe that Vietnam’s PVTM work will be increasingly improved in the context of the implementation of Free Trade Agreements. the new generation contributes to well implementing the policy of improving the efficiency of the international economic integration process set by the Party and State.

Bao Lam

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