Proactively preparing for potential anti-dumping investigations

Amidst the recent surge in global trade volatility and unpredictability, Vietnamese enterprises find themselves in an increasingly vulnerable position, as they may be subjected to trade defense measures imposed by other countries at any time. In light of these challenges, on behalf of HM&P, Lawyer Nguyen Nhat Duong has proposed several legal and practical solutions for businesses to proactively prepare for potential anti-dumping investigations initiated by Vietnam’s trading partners.

Most recently, on March 17, 2025, the U.S. Department of Commerce (DOC) received a petition to initiate an anti-dumping investigation against Polypropylene (PP) resin products originating from Vietnam. At the same time, the United States also launched parallel anti-dumping and countervailing duty (CVD) investigations against similar products from China. This development has placed many Vietnamese manufacturers—especially those in the plastics sector—at significant risk of being subject to high tariffs, thereby reducing their competitiveness in one of Vietnam’s largest export markets. According to the U.S. Tariff Act of 1930, the DOC is authorized to initiate an investigation if there is sufficient evidence to believe that imported goods are either being sold below their normal value or are subsidized by the exporting country’s government, thereby causing injury to the U.S. domestic industry.

Intensifying pressure from the investigation process

Drawing from HM&P’s experience, once a petition is accepted, the DOC has 20 days to determine whether to formally initiate an investigation. If launched, the named respondents will be required to submit comprehensive responses to detailed questionnaires within 30 days. These questionnaires typically request in-depth information concerning pricing, production costs, raw material sourcing, profit margins, and market data.

As emphasized by HM&P’s lawyers, this process imposes tremendous pressure, particularly on small and medium-sized enterprises that lack prior experience in dealing with international trade remedy proceedings. In many instances, companies are unprepared due to the absence of a standardized accounting system, poor data retention practices, or a lack of clear internal protocols for determining product pricing structures in accordance with U.S. standards. Such shortcomings increase the likelihood of incurring high dumping margins or being considered uncooperative—resulting in the application of adverse facts available (AFA) by the investigating authorities.

Legal and practical solutions for enterprises

According to HM&P, businesses must adopt a comprehensive and strategic approach to effectively navigate anti-dumping investigations. In particular, enterprises should:

• Standardize pricing methodologies to align with international practices

• Closely monitor and manage the sources of raw materials

• Organize and maintain robust accounting and documentation systems

• Respond to the DOC’s requests in a timely and complete manner

• Coordinate proactively with relevant Vietnamese authorities

Once again, HM&P would like to express our sincere appreciation to The Saigon Times for their continued support and collaboration, which has enabled us to share timely legal updates and propose practical, tailored solutions to help enterprises strengthen their preparedness against potential export-related risks in the near future.