The domestic cement industry is once again at loggerheads as the Department of Trade and Industry (DTI) is expected to issue a decision soon regarding the fate of safeguard measures on imported cement. The current provisional duty is set to expire shortly.
Consumer group United Filipino Consumers and Commuters (UFCC) urged DTI Secretary Cristina Roque in a statement released Monday, September 29, to halt the implementation of the safeguard measures on imported cement, warning that doing so could trigger a domino effect on the prices of other construction materials.
It may be recalled that the DTI issued Department Administrative Order (DAO) No. 25-01 on February 20, 2025, imposing a provisional safeguard measure of PHP400 per metric ton—or PHP16 per 40-kilogram bag—on imported ordinary Portland and blended cement from various countries. The measure was set for a 200-day period following the preliminary determination in the safeguard investigation of cement products under tariff classifications AHTN Code 2523.29.90 (Ordinary Portland Cement) and AHTN Code 2523.90.00 (Blended Cement).
The Bureau of Customs began implementing the additional duty on March 21, 2025, in accordance with the DTI order.
After six months of enforcement, the DTI is now expected to issue a final decision. Under the process, the Tariff Commission conducts a formal investigation, but it is the DTI Secretary who makes the final call on whether to impose a definitive safeguard duty. The provisional safeguard duty is designed to give the Commission time to complete its investigation and submit a recommendation. The Secretary’s decision must be based on a positive final determination from the Commission, in accordance with Republic Act No. 8800 (The Safeguard Measures Act).
Should the DTI decide to convert the provisional duty into a definitive one, the UFCC warned that it would only promote “cartel-like” operations among domestic cement manufacturers, who, they claim, continue to suffer from declining production levels.
In a statement signed by UFCC President Rodolfo B. Javellana Jr., the group argued that the additional tariff is essentially a “pass-through” tax imposed by capitalists but ultimately borne by ordinary consumers. The rising price of cement, they added, will likely lead to increased prices of other construction materials such as steel, since cement often serves as a benchmark for pricing in the construction sector.
A major cement trader confirmed that sales of imported cement have already declined since the imposition of the provisional duty. However, he noted that because imported cement is of higher quality, it remains in demand despite the reduced volume.
It should also be noted that on December 16, 2022, the DTI issued a department order imposing anti-dumping duties on imports of Ordinary Portland Cement Type 1 and Blended Cement Type 1P from Vietnam. The Bureau of Customs implemented these duties, which ranged from 2.33 percent to 23.33 percent, depending on the exporting company.
The Cement Manufacturers Association of the Philippines (CeMAP) reported that cement imports reached 7.6 million metric tons in 2024, mostly from Vietnam, despite the local industry having a total capacity of 51 million tons.
CeMAP added that domestic cement demand stood at around 35 million tons, but actual production fell to just 27 million tons—meaning only 53 percent of capacity was utilized. This underutilization resulted in PHP5 billion in industry losses, reduced operations, and job cuts, CeMAP said.
