DOWNSTREAM GLASS INDUSTRY SUPPORTS ASAHI GLASS PHILIPPINES.

MANILA, Aug 1 Asia Pulse - Downstream glass producers and traders have rallied behind the petition of Asahi Glass Philippines Inc. AGP) for the imposition of safeguard measures against imported figured glass and glass mirrors.

In a letter to the Bureau of Import Services (BIS) of the Department of Trade and Industry (DTI), Glass Manufacturers and Producers, Inc. (GMAPI) said that over the years the local glass industry had to contend with the adverse effects of the country's accelerated import liberalization and competition from imported glass products.

"The association takes the position that a local glass industry including the flat glass sector is necessary in order to assure that local demand will not be at the mercy of importers and their foreign suppliers," GMAPI secretary-general Peter M. Javier said.

In the case of flat glass products, which is produced by AGP, local demand can be adequately met by the available capacity of AGP.

GMAPI, which is composed of producers of basic materials like flat glass, container glass and glass insulation, stressed the need for safeguard measures on imported glass to protect AGP because it is the only company that ventured to put up another flat glass manufacturing facility considering the huge capital investment requirement.

With the lowering of tariffs in ASEAN and the World Trade Organization, the viability of the local glass producers in particular the AGP is seriously threatened with the import surge of flat glass from China, which is known to have an over supply due to an over capacity situation.

Meanwhile, the Philippine Chamber of Glass and Aluminum Industries Inc. (PCGAI) said the imposition of safeguard measures can save this "pioneering local industry from eventual demise and more importantly, the continued livelihood of 65,300 workers dependent on the industry."