FPI backs DTI probe on cement safeguard measure

MANILA, Philippines — The Federation of Philippine Industries (FPI) has expressed support for the move of the Department of Trade and Industry (DTI) to investigate the imposition of safeguard measures on cement imports, with the step seen to promote a level playing field.

In a statement, the FPI said the industry group supports acting Trade Secretary Cristina Roque’s decision to initiate a preliminary investigation on safeguard measures on cement imports.

“FPI sees this action as a necessary response to the pressures and potential harm to the local industry posed by the surge of imported cement,” the group said.

The group also views the move as an essential step toward protecting domestic manufacturers and ensuring a level playing field.

By initiating this safeguard investigation, Secretary Roque demonstrates the government’s commitment to the welfare of local industries, which provide employment and economic benefits to the country, FPI chairman Jesus Arranza said.

Earlier this month, the DTI said it is conducting a preliminary probe to determine if increased cement imports are causing serious harm to the domestic industry and if such warrant the imposition of safeguard measures.

Under Republic Act 8800 or the Safeguard Measures Act, a safeguard measure like increased tariff may be imposed on certain imports to provide relief to the domestic industry when there is serious threat or injury caused by a surge in imports of like products.

The law also allows the trade secretary to start a preliminary safeguard measures probe, if there is evidence that increased imports of the product under consideration are threatening to cause serious injury to the domestic industry.

A preliminary probe on the possible imposition of safeguard measures on cement imports is being conducted by the DTI as imports of the product increased from 2019 to 2023.

Cement imports rose from 5.33 million metric tons in 2019 to 5.88 million MT in 2020 and went up further to 6.89 million MT in 2021.

In 2022, cement imports declined to 6.70 million MT, but increased again to 7.01 million MT in 2023.

Cement imports are projected to rise to 7.36 million MT for this year.