Impending lapse of safeguard measure triggers outcry from local cement makers

Local cement makers have until 22 October, when the safeguard duty expires, to seek a reconsideration of the Tariff Commission recommendation to end the protection on local manufacturers as they seek for an extension saying the law provided for local industries to be protected from unfair competition.
A former Department of Trade and Industry official said that unless a motion for reconsideration is filed, the TC recommendation to lift the protective tariff prevails.
"The DTI cannot reverse. It can only determine the amount if TC confirmed imposition. But if not carried, DTI cannot impose," the Daily Tribune source said.
He recounted that during the term of Mar Roxas as DTI chief, the agency tried to contest the TC ruling through the Court of Appeals to no avail.
The TC, in a 5 October decision, had recommended the lifting of the safeguard measure against imports of ordinary Portland cement Type 1 and blended cement Type 1P.
The Cement Manufacturers Association of the Philippines pointed out that the domestic industry needs a longer protection to give it more time to complete its adjustment plan.
"Terminating the Safeguard Measure at this time would jeopardize the efforts that have been exerted by the industry which invested significant capital to improve competitiveness, despite the continued increase in import and soaring prices of fuel and power," CeMAP indicated.
Previously, the TC, in its Final Report on the Monitoring of the Development on the Philippine Cement Industry, stated that the industry has substantially complied with its commitments to make a positive adjustment to import competition and that majority of the measures have been completed and are being implemented to increase productivity and efficiency.
In October 2019, the Department of Trade Industry issued DTI Administrative Order No. 19-13 which imposed a definitive safeguard duty on imported cement from various countries for three years which ends on 22 October.
Citing Bureau of Customs data and the commission's Staff Report, Holcim Philippines Inc. Vice President for Sustainability Zoe Sibala disclosed that the volume of imported cement continues to increase and at lower prices at the retail level notwithstanding increases in the prices of fuel and energy.
