In a recent decision that has sent ripples through the seafood industry, the U.S. Department of Commerce (DOC) released its 19th administrative review of frozen warmwater shrimp imports from Vietnam. This review, covering shipments between February 1, 2023, and January 31, 2024, has raised eyebrows among exporters, revealing surprising outcomes that are reshaping trade dynamics.
The Vietnam Association of Seafood Exporters and Producers (VASEP) announced that the DOC found Thong Thuan Co.—including its Cam Ranh branch—has not sold shrimp below fair value, resulting in a commendable zero dumping margin for the company. However, the situation turned grim for STAPIMEX, which was slapped with a staggering preliminary dumping rate of 35.29%. This hefty rate was also assigned to 22 other companies with separate rate status that were not selected as mandatory respondents, diverging from the customary practice of using a weighted average of the mandatory respondents’ rates.
VASEP and the affected companies expressed astonishment and concern over the unexpectedly high preliminary rate. “In the 19 years that Vietnam has participated in the administrative reviews of the anti-dumping case, no company has ever been subjected to a double-digit preliminary duty,” the association stated in frustration. This sentiment is compounded by memories of the 12th review, when a preliminary rate of 25.76% assigned to FIMEX was later revised to a mere 4.58% due to calculation errors.
The possibility of miscalculations looms large as VASEP and the affected enterprises call for a review of the current findings. Confident in its meticulous accounting records, STAPIMEX plans to submit supplementary evidence in a bid to sway the outcome. Both VASEP and the company remain optimistic that the final ruling, expected in December 2025, will accurately reflect the true state of Vietnamese shrimp exports, reaffirming their position against any claims of dumping.
Though these preliminary results are not final, they have already cast a shadow over U.S. importers, disrupted trade plans, and shaken the confidence of Vietnamese shrimp farmers. This unsettling development emerges amidst the U.S. administration’s broader strategy of imposing high reciprocal tariff policies on Vietnam and other nations, presenting yet another hurdle for the industry.
VASEP has urged the DOC to meticulously review and reconsider its preliminary calculations, highlighting the necessity for fairness, consistency with previous reviews, and protection of Vietnamese seafood exporters’ interests to ensure stable trade relations between the two countries.
Vietnam ranks as the fourth-largest supplier of frozen shrimp to the U.S., trailing only India, Ecuador, and Indonesia, with an impressive $691 million in export value last year. As the shrimp saga unfolds, one can only wonder what other surprises lie ahead for this vibrant industry.
What was the DOC’s preliminary finding regarding Thong Thuan Co.? The DOC determined that Thong Thuan Co. did not sell shrimp below fair value, resulting in a zero dumping margin for the company.
Why are VASEP and companies concerned about the high dumping rate assigned to STAPIMEX? The 35.29% preliminary dumping rate is unprecedented; VASEP noted that no company has ever faced a double-digit rate in the 19 years of reviews, raising concerns about potential miscalculations.
What impact could these preliminary findings have on the shrimp industry? The preliminary findings have already unsettled U.S. importers, disrupted trade plans, and shaken the confidence of Vietnamese shrimp farmers, complicating an already challenging trade environment.
