According to Viet Duc Company, when the Ministry of Industry and Trade promulgated the policy of protection of the steel industry, it did not fully consider the impact on other domestic production sectors, leading to the steel used to produce solder rods in domestic. Although the product has not yet produced, but it still be subject to the self-defense tax. After the recommendations of enterprises and associations, the Ministry of Industry and Trade issued a Decision No. 3914 / QD-BCT dated September 26, 2016 that exemptions for the application of safeguard measures for imported steel code HS7227. 90.00 for the enterprises that produce welding materials in the country.

The Viet Duc Company is a manufacturer, not directly import raw materials that signed contracts to buy steel wire as welding materials through domestic trading companies. Shipments of steel imported as raw materials for welding rods were delivered to the Viet Duc Company and there was no quantity of excess steel that be sold to the market. The price in the commercial contract includes the self-defense tax and the prescribed taxes.

The company presented to the Ministry of Industry and Trade before the Decision 3914 / QD-BCT. The Ministry also had a direct inspection team at the enterprise to determine the production capacity of the company and the company reported to the inspection team and sent comments to the Ministry in writing. The problem was that with the imported goods, the company signed a contract before the decision 3914 / QD / BCT that was issued which has not been amended to meet the requirements of the Decision 3914 / QD-BCT.

In addition, according to the Viet Duc Company, imported steel for the production of welding materials is not subject to self-defense tax . The company had to advance capital for commercial companies to pay tax, but when refunding tax , the Ministry of Industry and Commerce and the General Department of Customs disagreed and was not interested in business practice, only based on the Law on export tax, import tax to complete the explaination.

The Viet Duc Company said that the Ministry of Industry and Commerce did not take into account the characteristics of enterprises as the Viet Duc Company and the objective reality. As a consequence, the Viet Duc Company has not been refunded import tax of imported steel products in 2016, leading to a shortage of production capital in 2017, causing many difficulties and damages to the Company.