Moroccan weavers win a first round against the Oriental countries
A commercial defense shield against carpets from “invaders” from the Orient has been established. Imports of this product originating in China, Egypt, and Jordan have been subject since April 1, 2022 to a provisional anti-dumping tax.
The decision was made by the minister of Finance, Nadia Fettah, and her counterpart from the ministry of Industry, Ryad Mezzour. This additional duty will be applied for six months, which is the maximum duration provided for by the law relating to trade defense measures. The additional duty can be extended to three months in certain cases. Importers will have to pay the tax until next September. “The amount of this anti-dumping duty is included in the tax base used to calculate import VAT. This duty has been communicated to the collectors of the Customs Administration”, specifies the General Directorate in its circular N° 6306/211.
This provisional measure comes within the framework of an anti-dumping investigation still in progress and which the ministry of Industry had initiated in December 2020. The companies Aleptex, Med Carpet, and Polyfashions complained of alleged unfair commercial practices of their oriental competitors. The prices of carpets imported from China, Egypt, and Jordan are assumed to be lower than their real value.
In addition, the plaintiffs mentioned “the deterioration of their sales, market shares and financial indicators…”. This was followed by the favorable opinion of the import monitoring commission concerning the launch of an investigation. It was following this opinion that this case was officially opened at the end of 2020. The customs shield temporarily put in place aims “to avoid the aggravation of the situation of the national production branch” of industrial carpets. Moroccan producers are represented by the three plaintiffs who “manufacture 95%” of mechanical Moroccan rugs. “National production oscillated between 3 and 4 million square meters in 2019”, according to data from the Moroccan association of textile and clothing industries (AMITH). The Association filed the complaint on behalf of the industry. In the meantime, operators like Aleptex had continued to be worried about their critical situation, particularly for employment and the disarray it generates.
“We are breathing for now…”, sighed Aleptex CEO Haytham Dahhan when L’Economiste asked him about the effect of the provisional anti-dumping tax introduced a fortnight ago. Local producers thus won a first round. But the investigation is not definitively closed. The ministry of Industry may organize a public hearing for each of the protagonists to defend their interests, with the help of supporting arguments and figures: the protagonists being the plaintiff companies, the Amith, the importers, and the producers – exporters.
Faiçal FAQUIHI
