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Morocco is considering anti -dumping measures to protect its local industry

Morocco is considering anti -dumping measures to protect its local industry
Morocco is considering anti -dumping measures to protect its local industry
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Faced with a massive influx of Egyptian PVC resin sold at low prices, decides to react. A by the Ministry of Industry and Commerce highlights a proven dumping, responsible for heavy losses for local producers. To preserve its industrial fabric and restore competition conditions, the Government plans to establish provisional anti -dumping measures in the coming weeks.

The Ministry of Industry and Commerce recently published the preliminary of an anti -dumping survey aimed at imports of PVC resin from Egypt. This procedure, launched on November 27, 2024, responds to a request from the national production branch (BPN), which claims to undergo unfair competition from Egyptian suppliers. The elements collected confirm the existence of a manifest dumping, responsible for important damage to the industry.

The targeted product is a vinyl polychloride resin (PVC) obtained by polymerization in suspension of the vinyl monomer (MVC), listed under the customs tariff position 39.04.10.90.00. It is an essential in many industrial sectors such as construction, public works, packaging and infrastructure.

Two Egyptian companies were targeted as part of the investigation: Egyptian Petrochemicals Company (EPC), which has fully cooperated with the Moroccan authorities, and TCI Sanmar Chemicals Sae, which did not provide the expected data. This difference in behavior directly influenced the calculated dumping margins. EPC was awarded a provisional margin of 18.29 % on the basis of the information transmitted, while TCI Sanmar received a rate of 27.56 %, based on the “available facts”, due to its lack of cooperation.

Read also: Morocco establishs an anti -dumping right on American PVC

However, these margins have been reassembled upwards as part of the provisional measures currently envisaged. The estimates report a 74.87 % dumping margin for EPC and 92.19 % for other Egyptian producers-exporters, reflecting the extent of the imbalance observed on the .

The survey has highlighted a significant increase in Egyptian PVC imports, both in terms of volumes and proportion to national production and consumption. These growing flows were accompanied by a price policy systematically lower than those practiced on the Moroccan market. This constant subconto has prevented local manufacturers from adjusting their own prices, limiting their margins and reducing their ability to invest or modernize.

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The effects were immediate for the BPN. Several indicators have experienced a significant degradation: production has decreased, sales fell, the rate of use of industrial capacities has dropped, and the overall profitability of the sector has grieved. This dynamic exposed Moroccan producers to competition they deem unfair, jeopardizing their economic viability.

After a rigorous analysis of the available data, the ministry has established a direct causal link between the increase in low -cost imports and the damage suffered by the national industry. Other potential causes, such as internal management or a contraction of demand, have been studied, then excluded as determining factors. It is therefore dumping that is identified as the main origin of the difficulties encountered.

Based on these observations, and supported by the favorable opinion of the import supervision commission, the ministry now plans to impose provisional anti -dumping . These measures, which aim to restore fair competition conditions, are aligned with observed dumping margins, namely 74.87 % for EPC and 92.19 % for other exporters.

As part of the current process, interested parties have the opportunity to assert their point of view. They have a current time until May 22, 2025 at 4 p.m. (GMT+1) to transmit their written observations, provide comments or provide additional information. A non -confidential version of the preliminary report can be viewed, and any contribution must be accompanied by the complete contact details of the entities concerned.

This consultation phase constitutes the step in the preliminary procedure. The final conclusions of the survey, expected in the coming months, will determine whether Morocco will decide to make these final measures, by establishing a sustainable system of protection against Egyptian dumping in the PVC sector.

This dossier could make case law in the Moroccan commercial strategy. It illustrates both the capacity of national institutions to react to aggressive commercial practices, and the desire to preserve the industrial fabric while respecting the country’s international commitments. The use of commercial defense instruments here becomes an essential lever to a fair competitive environment and protect jobs and investments at the local level.

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