  
  
G/SG/N/8/VNM/3/Suppl.3  
G/SG/N/10/VNM/2/Suppl.2  
G/SG/N/11/VNM/4/Suppl. 3 
1 April  2020 
(20-2631) Page: 1/6 
Committee on Safeguards  Original:  English  
 
  
 
NOTIFICATION UNDER A RTICLE 12.1(C) OF TH E AGREEMENT  
ON SAFEGUARDS  
(DECISION  TO EXTEND A SAFEGUAR D MEASURE)  
 
NOTIFICATION PURSUAN T TO ARTICLE 9, FOOT NOTE 2  
OF THE AGREEMENT ON SAFEGUARDS  
VIET NAM 
Certain semi -finished and finished products of alloy and non -alloy steel  
Supplement  
The following communication, dated 27 March 2020, is being circulated at the request of the 
delegation of Viet Nam.  
_______________  
 
 
The Ministry of Industry and Trade of the Socialist Republic of Viet Nam hereinafter referred as 
"MOIT" encloses a notification pursuant to Article 12.1(c) and Article 9, footnote 2 of the WTO 
Agreement on Safeguards, on taking a decision to extend a safeguard measure that is being applied  
against imports of  "Certain semi -finished and finished products of alloy and non -alloy steel " under 
HS Code  7207.11.00 ; 7207.19.00 ; 7207.20.29 ; 7207.20.99 ; 7224.90.00 ; 7213.10.10 ; 7213.10.90, 
7213.91.20 ; 7214.20.31 ; 7214.20.41 ; 7227.90.00 ; 7228.30.10 ; 9811.00.00.  
Consistent with Article 12.3 of the Agreement on Safeguards, MOIT is ready to hold  
consultations with those Members having a substantial interest as exporters of the product 
concerned.  
A. NOTIFICATION UNDER AR TICLE 12.1(C) OF THE  AGREEMENT ON SAFEGU ARDS UPON 
TAKING A DECISIO N TO EXTEND A SAFEGU ARD MEASURE  
1. Evidence that the safeguard measure continues to be necessary to prevent or remedy 
serious injury or threat thereof caused by increased imports and that the industry 
concerned is adjusting  
- After the application of the init ial safeguard measure, the domestic industry's performance had 
improved noticeably during the period of 2017 – 2018, particularly with regards to production, 
market share, employment and productivity . However, production began to decline in the first six 
months of 2019.  
- Sales : domestic and export sales increased . However, domestic sales of semi -finished products 
tended to decrease since 2018.  
- Profits : After the application of the initial safeguard measure, as for semi -finished products, the 
domestic ind ustry incurred profits but profitability was still low . In the first six months of 2019, there 
were signs of losses . As for finished products, profitability increased during 2015 -2016. However, it 
started to decrease gradually.  G/SG/N/8/VNM/3/Suppl.3 • G/SG/N/10/VNM/2/Suppl.2 • G/SG/N/11/VNM/4/Suppl. 3 
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  - Inventory : the ratio of in ventory to output reduced in 2016 and 2017 but increased in 2018 and 
reached a record high in the first six months of 2019.  
The indicators have demonstrated that the domestic industry has not fully recovered from the injury 
caused by imports . According to the present domestic industry 's performance, if the initial safeguard 
measure is not extended, it will be difficult for the domestic industry to compete with imports.  
The domestic industry has conducted adjustment plans aiming at increasing its productivit y, product 
quality such as adjustment in production, production lines, technology, employment, management 
and marketing etc.  
2. Information on whether there is an absolute increase in imports or an increase in 
imports relative to domestic production  
Year  2015  2016  2017  2018  6M 2018  6M 2019  
Semi -finished products of alloy and non -alloy steel  
Imports (Ton)  1,606,819  672,469  33,915  30,028  25,050  101,486  
Trend (%)   - 58.1 -95 -11.5 - 305.1  
Ratio of imports to 
domestic 
production(%)  28.5 8.6 0.3 0.3 0.5 2.2 
Finished products of alloy and non -alloy steel  
Imports (Ton)  1,153,461  693,820  201,479  162,824  76,041  82,588  
Trend (%)   - 39.8 -71 -19.2 - 8.6 
The ratio of imports to 
domestic 
production(%)   
17.2 8.0 2.2 1.6 1.5 1.8 
The volume of imports under review tended to decrease significantly . However, in the first six months 
of 2019, the amount of imports under review (both semi -finished and finished products) tended to 
increase both in relative and absolute terms . The volume of imports of c ertain semi -finished products 
of alloy and non -alloy steel  increased from 25,050 tons in the first 6 months of 2018 to 101,486 
tons in the first six months of 2019 . The volume of imports of c ertain finished products of alloy and 
non-alloy steel  increased f rom 76,041 tons in the first six months of 2018 to 82,588 tons in the first 
6 months of 2019.  
3. Precise description of the product involved  
Certain semi-finished and finished products of alloy and non -alloy steel  under HS Code:  7207.11.00 ; 
7207.19.00 ; 7207.20.29 ; 7207.20.99 ; 7224.90.00 ; 7213.10.10 ; 7213.10.90,  7213.91.20 ; 
7214.20.31 ; 7214.20.41 ; 7227.90.00 ; 7228.30.10 ; 9811.00.00 imported into Viet Nam.  
4. Description of any part of the imported product that will no longer be subject to the 
measure in the e xtension  
Not applicable  
5. Precise description of proposed measure  
The safeguard measure is proposed to be extended for 3  years from March  22, 2020 until 
March  21, 2023 (March  21, 2023  is included) in the form of ad valorem duties which are shown in 
the relevant column s of the table below.  
Timetable  Semi -finished products of 
alloy and non -alloy steel  Finished products of 
alloy and non -alloy steel  
From March  22, 2020 to March  21, 2021  15.3%  9.4%  
From March  22, 2021 to March  21, 2022  13.3%  7.9%  
From March  22, 2022 to March  21, 2023  11.3%  6.4%  
From March  22, 2023 onwards  0.00 (If not extended)  0.00 (If not extended)  G/SG/N/8/VNM/3/Suppl.3 • G/SG/N/10/VNM/2/Suppl.2 • G/SG/N/11/VNM/4/Suppl. 3 
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  6. Proposed date of introduction of the measure  
See response to item 5 above.  
7. Expected duration of the measure  
See response to item 5 above.  
8. For a measure with a duration of more than three years, provide the proposed date for 
the review (under Article 7.4) to be held not later than the mid -term of the measure, if 
such a date for the review has already been scheduled  
Not applicable . 
9. Expected timetable for progressive liberalization of the measure  
See response to item 5 above.  
10. If the notification relates only to a finding of serious injury or threat thereof, and does 
not relate to a decision t o apply or extend a safeguard measure  
Not applicable.  
11. If the measure is being extended, also provide:  
(i) evidence that the industry concerned is adjusting and that the safeguard measure continues to 
be necessary to prevent or remedy serious injury : provided in item 1.  
(ii) reference to the WTO document that notified the initial application of the measure : 
G/SG/N/8/VNM/3, G/SG/N/10/VNM/2, G/SG/N/11/VNM/4  
(iii) duration of the measure from initial application till the date at which it will be extended : 
The initial  safeguard measure was applied from 22, March  2016 to 21, March  2020. Viet Nam now 
extends the safeguard measure until 21, March  2023 (21, March  2023 is included)  
and, 
(iv) precise description of the measure in place prior to the date of extension (in this cont ext, please 
note that the last sentence of Article 7.4 states that : "A measure extended under paragraph 2 
shall not be more restrictive than it was at the end of the initial period, and should continue to 
be liberalized.")  
Timetable  Semi -finished products of alloy and 
non-alloy steel  
From March  22, 2016 (the date which the provisional safeguard 
measure takes into effect) to  August  01, 2016 (one day before the 
definitive safeguard measure takes into effect)  23.3%  
(provisional safeguard measures)  
From August  02, 2016 (the date which the definitive safeguard 
measure takes into effect) to March  21, 2017  23.3% 
From March  22, 2017 to March  21, 2018  21.3%  
From March  22, 2018 to March  21, 2019  19.3%  
From March  22, 2019 to March  21, 2020  17.3% 
 G/SG/N/8/VNM/3/Suppl.3 • G/SG/N/10/VNM/2/Suppl.2 • G/SG/N/11/VNM/4/Suppl. 3 
- 4 - 
  Timetable  Finished products of alloy and 
non-alloy steel  
From March  22, 2016 (the date which the provisional safeguard 
measure takes into effect) to August  01, 2016 (one day before the 
definitive safeguard measure takes into effect ) 14.2%  
(provisional safeguard measure)  
From August  02, 2016 (the date which the definitive safeguard 
measure takes into effect) to March  21, 2017  15.4%  
From March  22, 2017 to March  21, 2018  13.9%  
From March  22, 2018 to March  21, 2019  12.4%  
From March  22, 2019 to March  21, 2020  10.9%  
 
12. If the notification relates to a decision to apply or extend a safeguard measure, 
Members are encouraged to provide the following information:  
(i) The major exporting Members of imports of the product involved.  
- Semi-finished products of alloy and non -alloy steels : Malaysia is the major exporting 
country (accounting for 99.97 % of total imports of the subject product during the first 6 
months of 2019).  
- Finished products of alloy and non -alloy steels : China is the majo r exporting country 
(accounting for 95.4 % of total imports of the subject product during the first 6 months of 
2019).  
(ii) If there are any exporting Members to which the measure does not apply for any reason other 
than the application of Article 9.1, the names  of such exporting Members and reasons for 
non-application of the measure.  
Not applicable  
13. Members are encouraged to attach, in an electronic form, publicly available 
document(s) containing the relevant decision(s) made by the competent authority . This 
docu ment may be in the original language of the Member, even when the language is not 
one of the official languages of the WTO . The document will neither be translated nor 
circulated to the Committee, but will be made available by the Secretariat to Members 
requesting it.  
The official documents regarding the investigat ion and the final decision can be reached from the 
link below  
http://pvtm.gov.vn/default .aspx?page=news&do=detail&id=5d4875cd -9d21-40ba-99e5-
4bee4fe90898  
B. NOTIFICATION PURSUANT  TO ARTICLE 9, FOOTN OTE 2 OF THE AGREEME NT ON 
SAFEGUARDS  
1. The measure  
It is proposed to impose safeguard measure in the form of ad valorem duties which will be 
progressively liberalized as described in item A.5 above.  
2. The product subject to the measure  
The measure is applied to the products described in item A.3 above.  
3. Developing countries to which the measure is not applied under article 9.1  of the  
Agreement on Safeguards  
The developing countries which are excluded from the measure under Article 9.1 of the Agreement 
on Safeguards  are listed below:  G/SG/N/8/VNM/3/Suppl.3 • G/SG/N/10/VNM/2/Suppl.2 • G/SG/N/11/VNM/4/Suppl. 3 
- 5 - 
  3.1 Sub - Saharan Africa  
Angola  Madagascar  Nigeria  
Benin Malawi  Rwanda  
Botswana  Mali Sao Tome and Principe  
Burkina  Faso Mauritania  Senegal  
Burundi  Mauritius  Sierra Leone  
Cabo Verde  Mozambique  Somalia  
Cameroon  Namibia  South Africa  
Central African Republic  Niger South Sudan  
Chad Gabon  Sudan  
Comoros  Gambia, The  Swaziland  
Congo, Democratic  Republic  Ghana  Tanzania  
Congo, Rep.  Guinea  Togo 
Cote d'Ivoire  Guinea -Bissau  Uganda  
Eritrea  Kenya  Zambia  
Ethiopia  Lesotho  Zimbabwe  
 Liberia   
 
3.2. Asia Pacific  
American Samoa  Myanmar  
Cambodia  Palau  
Fiji Papua New Guinea  
Kiribati  Philippines  
Korea, Democratic  Republic  Samoa  
Lao PDR  Solomon Islands  
Marshall  Islands  Timor -Leste  
Micronesia, Fed. Sts.  Tonga  
Mongolia  Tuvalu  
 Vanuatu  
 
3.3. Europe and Central Asia  
Albania  Macedonia, FYR  
Armenia  Moldova  
Azerbaijan  Montenegro  
Belarus  Romania  
Bosnia and Herzegovina  Serbia  
Bulgaria  Tajikistan  
Georgia  Turkey  
Kazakhstan* Turkmenistan  
Kosovo  Ukraine  
Kyrgyz Republic  Uzbekistan  
 
3.4. Latin America and the Caribbean  
Belize Guyana  
Bolivia  Haiti 
Brazil Honduras  
Colombia  Jamaica  
Costa Rica  Mexico  
Cuba Nicaragua  
Dominica  Panama  
Dominican Republic  Paraguay  
Ecuador  Peru 
El Salvador  St. Lucia  
Grenada  St. Vincent and the Grenadines  
Guatemala  Suriname  
 
 
* Kazakhstan is only excluded from the measure against finished products of alloy and non -alloy steel  G/SG/N/8/VNM/3/Suppl.3 • G/SG/N/10/VNM/2/Suppl.2 • G/SG/N/11/VNM/4/Suppl. 3 
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  3.5. Middle East and North Africa  
Algeria  Libya 
Djibouti  Morocco  
Egypt, Arab Rep.  Syrian Arab Republic  
Iran, Islamic Rep.  Tunisia  
Iraq West Bank and Gaza  
Jordan  Yemen, Rep.  
Lebanon   
3.6. South Asia  
Afghanistan  Maldives  
Bangladesh  Nepal 
Bhutan  Pakistan  
India Sri Lanka  
 
Information regarding the procedures and relevant deadlines with regard s to the investigation is 
contained in the notice of initiation  (G/SG/N/6/VNM/5/Suppl.1) . 
Further information and comments should be sent to:  
TRADE REMEDIES AUTHORITY OF VIET NAM – MINISTRY OF INDUSTRY AND TRADE  
Address : 25 Ngo Quyen Street, Hoan Kiem District, Hanoi, Vietnam  
Phone : (+84 24) 7303.7898 (ext : 126) 
Fax: (+84 24) 7303.7897  
Email : pvtm@moit.gov.vn  
 
__________  