Cement makers laud DTI move to slap tariff on imported cement

Local cement manufacturers welcomed yesterday the historic decision of the Department of Trade and Industry (DTI) decision to impose a tariff of P20.60 per bag on imported cement for 200 days, saying this will help ensure the survival of the industry. The decision was the first to be rendered under Republic Act 8800, otherwise known as the Safeguard Measures Act.

"The DTI's action gives hope to a struggling industry that was on the verge of collapsing due to unfair competition from dumped imports," the Philippine Cement Manufacturers' Corp. (Philcemcor) said in a statement. "And while the approved tariff is admittedly lower than what we had originally asked for, if effectively enforced, it will enable local producers to compete with cement importers on a level playing field. The tariff will certainly not put an end to imports, but at the very least, it will cut into the exorbitant margins of importers who bring in cheap imported cement but sell it at the same price as local cement."

Philcemcor had earlier sought a provisional 50-percent tariff on the landed cost of imported cement, which had caused serious injury to local cement producers.

Philcemcor also pledged that the industry will act responsibly in the light of the DTI's decision to impose the P20.60 tariff on imported cement. Among other assurances, the group vowed that there will be no increase in domestic cement prices despite the massive losses sustained by the industry during the past few years.