The Leading Vietnamese Shrimp Exporter Faces Abnormal High US Tariffs of 35.29%

U.S. Imposes Preliminary Antidumping Duties on Vietnamese Shrimp

On June 7, the U.S. Department of Commerce (DOC) announced the preliminary results of the 19th periodic review (POR19) of the antidumping duty order on frozen shrimp from Vietnam for the period February 1, 2023, to January 31, 2024.

According to the announcement, for the two mandatory respondents, DOC determined that Thong Thuan Company (including Thong Thuan Cam Ranh) was not dumping shrimp into the U.S. market. Meanwhile, Soc Trang Seafood Joint Stock Company (Stapimex) was assigned a preliminary dumping margin of 35.29% – unusually high compared to past reviews.

This same rate was also applied to 22 companies that qualified for a separate rate but were not subject to mandatory review, instead of the average rate of the two mandatory respondents as in previous reviews.

The Vietnam Association of Seafood Exporters and Producers (VASEP) expressed surprise and concern about the unusually high preliminary rate. “In the 19 years that Vietnam has participated in the administrative reviews of the antidumping duty investigation on shrimp in the U.S., no company has ever received a double-digit preliminary rate,” said a VASEP representative.

VASEP suspects that there may have been errors in the calculation of the rate for Stapimex, as this company had prepared comprehensive and transparent documentation and expected a lower rate. Stapimex will promptly provide additional information and expects the final results (scheduled for release in December 2025) to reflect the true situation and confirm that Vietnam is not dumping shrimp into the U.S. market.

Against the backdrop of the Trump Administration’s push for high retaliatory tariffs on various countries, including Vietnam, this development adds to the challenges faced by the Vietnamese shrimp industry in accessing the U.S. market.

VASEP has requested that DOC reconsider its calculation method to ensure objectivity, fairness, and consistency with the practices of previous reviews, thereby protecting the legitimate rights and interests of Vietnamese businesses and maintaining stability in bilateral seafood trade.

Soc Trang Seafood Joint Stock Company, established in 1978, is one of the pioneers in Vietnam’s shrimp processing and export industry.

In 2023, with over 10,000 tons of shrimp exported to the U.S., Stapimex was the only Vietnamese company among the top 15 shrimp suppliers to the country.

In 2024, the company achieved impressive financial results with a revenue of 8,331 billion VND, a 17.3% increase compared to 7,100 billion VND in 2023.

However, the profit before tax only saw a slight increase from 503 billion VND to 506 billion VND. The profit after tax reached 492 billion VND, a mere 0.4% increase compared to 490 billion VND in 2023.

The basic earnings per share (EPS) stood at 70,237 VND, which is considered outstanding within the group of businesses in the shrimp processing industry.

In addition to its strong financial performance, Stapimex also stands out for its attractive dividend policy, maintaining a dividend rate of over 50% from 2016 to 2022, and at 100% for the last three years.

For 2025, the company aims to reach a production volume of 25,000 tons, an export turnover of 340 million USD, a profit after tax of 500 billion VND, and to maintain a minimum dividend rate of 50% of face value.

However, despite being a public company for 19 years, Stapimex has not yet listed its shares on the stock exchange. A potential IPO could provide capital for the company’s plans to invest in the value chain, including expanding farming areas and building feed mills, which could account for over 50% of the cost of commercial shrimp.