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On September 18, 2024, the Indonesian Trade Remedy Agency initiated a safeguard investigation on certain tarpaulin fabric products.
The investigated products are classified under HS codes ex3921.90.90; ex3926.90.90; ex6306.12.00.
Tarpaulin fabric is a durable, flexible, and waterproof material made from various fibers such as polyester, vinyl, polyethylene, or cotton. These tarps are usually coated to make them water-resistant, UV-resistant, and heat-resistant, enhancing their durability and ability to withstand harsh weather conditions.
This fabric can be used in households as well as in industrial applications, most notably for covering goods, making tents and canopies, shielding construction sites, and protecting agricultural crops. Tarps are typically made from materials like polyethylene (PE), polyvinyl chloride (PVC), or cotton. Among these, PE is the most common due to its lightweight and good water resistance, often used for temporary tasks.
PVC is more durable, heat-resistant, and provides better water resistance, making it suitable for harsh environments. Cotton or canvas, when coated with waterproofing, is often used in applications requiring flexibility and breathability.
Tarpaulin fabric is also known for its UV resistance, high tensile strength, tear resistance, and sometimes even fire resistance, making it an ideal choice for protecting goods, construction sites, agriculture, and outdoor events. Tarps can be customized in size and color to meet the diverse needs of users.
The production of tarpaulin fabric in Vietnam has been increasing due to the strong development of the domestic plastic and textile industries. Vietnam has numerous factories and production facilities that meet domestic demand and export to international markets. Many Vietnamese enterprises have invested in modern production technologies to produce high-quality tarps that meet the strict standards of markets like Japan, South Korea, the United States, and Europe.
Tarpaulin production in Vietnam serves various industries, from construction and agriculture to transportation and logistics. The development of industrial zones and domestic import-export activities also drives the demand for tarpaulin fabric. With competitive production costs, many Vietnamese companies not only supply the domestic market but also export their products to numerous countries worldwide, creating significant economic value.
However, this growth poses a risk of trade remedy investigations for Vietnamese tarpaulin fabric producers from importing countries, such as Indonesia.
To respond to the situation and protect their rights, relevant associations, manufacturers, and exporters should review their export activities to Indonesia from 2020 to the present and promptly engage with Vietnamese law firms specializing in anti-dumping and trade remedy cases for timely assistance.
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