Government told: Hike safeguard duty on cement imports

Manufacturers are asking the government to raise the safeguard duty on imported cement to P600 per metric ton (MT) to make the local industry competitive.

‘We had been hoping for [safeguard duty] of P600 per ton. This is higher than the provisional [duty] of P400,’ Cement Manufacturers Association of the Philippines (CEMAP) Executive Director Renato Baja told reporters in an interview on Thursday.

As to the P349 per MT safeguard duty recommended by the Tariff Commission in its final report, Baja said this is ‘not enough.’

‘First of all, there’s a comparison between the landed cost of imported cement versus the gate price of local cement,’ he added.

In February 2025, the Department of Trade and Industry (DTI) issued Department of Administrative Order (DAO) No. 25-01 (series of 2025) imposing a provisional safeguard measure, in the form of a cash bond, of P400 per MT or equivalent to P16 per 40-kilogram bag, on imported cement.

The provisional measure is effective for 200 days from the date of effectivity.

As the period of the said provisional measure has now lapsed, the Tariff Commission (TC), after its formal investigation, has recommended the application of the ‘appropriate definitive general safeguard measure, in the form of a duty, on importations of cement to redress the serious injury directly attributed to the same by providing temporary relief and giving the local cement industry a reasonable period to adjust to increased import competition.’

‘The Commission recommends a specific duty of P349/MT [or P14/40 kg bag] as the definitive safeguard measure to be imposed on importations of cement [Ordinary Portland Cement Type 1 and Blended Cement],’ TC said in its report.

The Tariff Commission’s safeguard measure recommendation against imported cement intends to be extended for three years.

The final decision, however, should be made by Trade and Industry Secretary Cristina A. Roque.

Rule 13.2 of the Implementing Rules and Regulations (IRR) of Republic Act 8800 or the Safeguard Measures Act states that ‘within 15 calendar days from receipt of the Report of the Commission, the Secretary shall make a decision, taking into consideration the measures recommended by the Commission.’

On the sidelines of the Federation of Philippine Industries Inc.’s (FPI) Business Summit 2025 on Wednesday, Roque told reporters that she will come up with the decision on the appropriate safeguard measure before October 14.

Consumer group United Filipino Consumers and Commuters (UFCC) pointed out that extending the period of imposition of the P16 tariff per 40-kilo bag on imported blended cement will only jack up prices of local cement, which could undermine competition and burden Filipino consumers.

‘The Department Order 25-01 was signed by the Secretary on February 20, 2025. It will take effect for 200 days, so if we count the 200 days, any moment now the 6-7 months or 200 days period will end. So now, we hear that the cartels have an appeal to continue this,’ UFCC President Rodolfo B. Javellana Jr. told reporters in Filipino during the consumer group’s protest in front of the building of the Department of Trade and Industry (DTI) in Makati City last September 29.

‘What will happen to these cartels? Of course, prices will increase. They will dictate the price more. This was the situation in 2016 when cement in the country was really expensive,’ he added.

In response to the consumer group’s protest, Baja assured the public that there will be on price increases once the safeguard measures are extended for three years.

‘Proven and tested for how many months. Hindi kami nagtaas,’ he said.

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