On May 12, 2025, the Canada Border Services Agency (“CBSA“) officially initiated the SS 2025 IN investigation concerning steel strapping imported from China, South Korea, Turkey, and Vietnam.
This is a type of thin, high-tensile steel strapping used to secure bundles of lumber, steel coils, bricks, and more – a product that may sound “niche” but directly impacts the construction and logistics supply chain. Canada initiated the investigation on goods falling under 14 HS codes, but according to NexusNovum’s research, Vietnam currently exports only 7 out of those 14 codes to the Canadian market.
How does the investigation proceed?
Petitioner: JEM Strapping Systems Inc., the sole producer of this product in Canada.
Investigation process in practice: The CBSA assesses the dumping margin, determining how much cheaper the imports are compared to their “normal value.” In parallel, the Canadian International Trade Tribunal (CITT) will assess whether there is preliminary injury. If both agencies answer “Yes,” the CBSA will issue a preliminary determination (which may include provisional duties) on August 11, 2025.
Why the Vietnamese Business Community Should Pay Attention
Provisional Duties Are Very High: In previous cases, preliminary duties could reach over 200% of the FOB value and take effect immediately once the CBSA issues its determination; goods arriving after this point would be subject to cash deposit requirements.
Broad Scope of Application: The duties apply to “all non-cooperating exporters” as well as to “importers not invited to participate in this investigation.” Even if a company only ships a few containers, failing to respond to the questionnaire (RFI) means being subject to the highest duty rate.
An Increasing Trend: In 2024, Canada conducted five anti-dumping investigations, with Vietnamese companies named in one of them. In the first five months of 2025, this case marks the fourth investigation, and Vietnamese companies have been named in two of them — both involving steel products. This is a clear indication that Canada is increasingly proactive in using trade defense measures to protect its domestic steel industry.
What Should Businesses Do?
- Respond to the RFI on time, even though the response period is just over 30 days from May 12. If there are valid reasons to request an extension, businesses should submit a formal written request to the CBSA as early as possible
- Prepare transparent data: domestic selling prices, production costs, and export documents. The CBSA will cross-check the information, and any discrepancies could result in the submission being rejected.
- Engage professional advisors (lawyers and auditors): to help standardize calculations, develop arguments, and ensure information confidentiality.
- Coordinate with industry associations: to consolidate collective advocacy, share experiences from previous cases, and reduce the legal costs that individual companies might otherwise have to bear.
- Monitor the CITT schedule to participate in the injury hearing. Businesses may submit written statements in support of or against the case, which can influence the final outcome.
Closing Message
Làm “thinh” trong điều tra chống bán phá giá chẳng khác nào vào trận mà không mặc áo giáp. Trong bối cảnh Canada tăng cường các biện pháp phòng vệ, hợp tác là con đường ngắn nhất để:
- Demonstrate that your pricing is reasonable and avoid ‘sky-high’ duties.
- Safeguard access to a 40-million-consumer market that is actively diversifying its supply sources beyond North America.
If the deadline is too tight, submit a request for more time immediately – the CBSA assesses good faith through every email exchange. If your company already has sufficient data, respond early and clearly; a complete submission not only reduces the risks in this case but also serves as a “green card” for future shipments.
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Note:
This article is prepared based on the current legal regulations of Vietnam and practical experience. The information in this article should only be used for reference purposes. We assume no responsibility or legal obligation to any individual or organization using the information in this article for purposes beyond reference. Before making any choices or decisions, we kindly request our valued customers to seek additional official recommendations or contact NexusNovum for in-depth advice from our experts.
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