Source: KNN
The move aims to protect the domestic industry from cheap inbound shipments of the chemical from these two countries.
The DGTR’s notification stated, “The authority recommends imposition of provisional anti-dumping duty on the imports.” The recommended duty ranges from USD 170 per tonne to USD 870 per tonne.
The recommendation follows an investigation initiated by the DGTR after Bodal Chemicals Ltd, an Indian company, filed an application alleging dumping of the chemical from China and Japan.
While the DGTR, under the commerce ministry, has recommended the duty, the final decision to impose the same will be taken by the finance ministry within three months of the recommendation.
Anti-dumping probes are initiated to determine if domestic industries have been hurt due to a surge in below-cost imports. If proven, duties are imposed within the multilateral regime of the World Trade Organisation (WTO) as a countermeasure.
Anti-dumping measures are taken to ensure fair trade and provide a level playing field to the domestic industry. They are not intended to restrict imports or cause an unjustified increase in the cost of products.