DTI shoots down appeal to lift safeguard duties on glass products

Trade Secretary Cesar Purisima said in an interview with reporters that the DTI junked the motion for reconsideration filed by Asia Glass Palace on June 9 since the DTI is “an improper remedy.” The DTI, he explained, was not allowed to entertain any motion for reconsideration under Republic Act 8800, or the Safeguard Measures Act of 2000.

“There is no basis for granting the motion because the Safeguard Measures Act does not provide for a filing of a motion for reconsideration. Under the law, any appeal must be lodged with the Court of Tax Appeals,” he pointed out.

He said the law provides that any interested party who is adversely affected by the ruling of the Secretary in connection with the imposition of a safeguard measure may file with the Court of Tax Appeals a petition for review within 30 days.

The DTI chief, however, clarified that the petition for review should not in any way stop or suspend the imposition or collection of the appropriate tariff duties or the adoption of other appropriate safeguard measures.

In May the DTI slapped definitive safeguard duties on imported glass products after it found merit on the complaint filed by Japanese-owned Asahi Glass Philippines, Inc., on the unabated influx of cheap glass products into the country.

The safeguard duties on all glass imports would be in force for three years and would be reduced by five percent annually on second and third years of implementation.

This year a definitive safeguard duty of P2,655 per metric ton (MT) would be imposed on figured glass; P5,110 per MT on copper-based glass mirrors; P5,850 per MT on tinted float glass; and P4,630 per MT on clear float glass.

Figured glass are used for windows, partitions, screens, doors and fluorescent fixtures, while glass mirrors are used for wardrobe doors, bathroom, furniture, projection screens, display cases, decorative wall, ceiling and pillar cases.

Clear and tinted float glass are used for exterior and interior window, glass openings, curtain walls, showcase windows, furniture applications, interior room partitions, basic glass for mirrors, safety glass, laminated glass, ballistic glass, tempered glass and other decorative applications.

Asahi Glass, a unit of Tokyo-based Asahi Glass Co., sought the imposition of safeguard duties after increased imports of glass products from 1997 to 2000 adversely affected the domestic industry in terms of declining market share, domestic sales, capacity utilization, production, profitability and increased inventory.