When the Department of Trade and Industry gives its verdict, likely today, on the recommendation of the Tariff Commission to end the anti-dumping duty on cement, it should consider the lingering condition that prompted last year's swift government action, industry leaders said.

Last 5 October, the TC issued a report recommending not to extend the safeguard measure to protect the domestic industry from cheap cement imports.

The DTI is reviewing the TC proposal and will come up with a decision after a week which falls today.

On 6 December last year, the DTI handed down a decision to impose a punitive tariff after discovering that nine out of 16 Vietnamese exporters of type 1 cement, and four out of 12 traders of type 1P cement were found to have engaged in unfair practices that caused injury to the domestic cement industry.

The Cement Makers Association of the Philippines which is the umbrella group of major domestic manufacturers said that as a strategic industry, cement should be provided government support. It is a critical input to the infrastructure program and the building of decent homes for ordinary Filipinos which are cornerstones of the administration of President Ferdinand "Bongbong" Marcos, CeMAP added.

CeMAP, which advocates fair competition, believes that the progressive rise in the volume of imported cement, particularly from Vietnam, presents a risk to the country's economic recovery as it undermines the domestic industry.

Thus, CeMAP said cheap imports impair the capability of the local industry to contribute to and catalyze inclusive growth through job creation, tax revenue generation, improving the balance of payments, utilization of local natural resources, and overall economic recovery and growth.

Poll ban depressed mart

CeMAP executive director Cirilo Pestano said during a TC public hearing that demand has been flat in 2021 and this year mainly as a result of the election ban aside from the lingering effects of the pandemic.

Another challenge is the effect of the Eastern European conflict that resulted to the higher energy cost.

Approximately 70 percent of the cost of manufacturing cement is accounted for by both fuel and electricity.