Socialist Republic of Vietnam

Ha Noi, July 26 (VNA) -- Edmund Sim, partner in the Singapore office of White & Case, has urged the U.S. International Trade Commission (ITC) to stop its investigation into the so-called Viet Nam catfish dumping created by the U.S. Catfish Farmers Association (CFA).

In his testimony statement delivered at a hearing held by the ITC in Washington D.C on July 19, Edmund stressed that the catfish dumping lawsuit filed by the CFA "threatens the newly flourishing relationship between the U.S. and Viet Nam."

The White & Case official said there is no reasonable indication that the American industry filing the petition has been materially injured or threatened with material injury by reason of subject imports from Viet Nam.

He also pointed out the following fundamental flaws in the petitioners' arguments:

First, there is no "basa" or "tra" production in the U.S., and thus no identical product. Accordingly, the Commission must find a product that is most similar in characteristics and uses to "basa" and "tra". That product is frozen catfish fillets whether or not breaded, which corresponds with the scope of merchandise found by the DOC in its initiation notice.

Second, catfish farmers do not qualify as producers under the statutory requirements for "processed agricultural products" and the operations of catfish farmers may not be included in the Commission's examination of the domestic industry.

Third, Petitioners' allegations that there is no market for frozen "basa" and "tra" fillets in the Vietnamese market ignore the very significant market for fresh "basa" and "tra" in Viet Nam. Consumption of fresh "basa" and "tra" serves as a check on exports to any market, including the U.S.

Fourth, Petitioners' arguments that "basa" and "tra" are interchangeable with their products are completely contradicted by statements by them and their allies in lobbying for legislation to prohibit "basa" and "tra" from being labeled as "catfish".

Fifth, there is no material injury by reason of subject imports, as import volumes pale in comparison to domestic shipments; there is no direct price competition between the subject imports and the domestic product, and the condition of the domestic frozen catfish fillets and breaded fillet industry is robust particularly in light of the current economic downturn and overcapacity situation in the market.

Finally, there is no threat of future injury, as Vietnamese producers have a number of alternative markets which have experienced significant growth, and Vietnamese producers produce a wide variety of products other than "basa" and "tra" on which they focus their operations and as such are not dedicated solely to production of "basa" and "tra".--Enditem