Ministry of Finance has imposed a five-year anti-dumping duty on Epichlorohydrin imports from China, Korea, and Thailand to protect the domestic industry from underpriced imports

The Ministry of Finance, through Notification No. 24/2024-Customs (ADD) dated November 11, 2024, has announced the imposition of an anti-dumping duty on imports of Epichlorohydrin originating from China, Korea, and Thailand, effective from the date of publication. 

The decision was formalized after a detailed investigation by the Directorate General of Trade Remedies (DGTR) into the impact of these imports on Indian industry. The DGTR’s investigation documented in notification F. No. 6/15/2023-DGTR dated August 14, 2024, and published in the Gazette of India, reported that Epichlorohydrin which is classified under tariff item 2910 30 00 of the Customs Tariff Act, 1975, was being imported from the named countries at prices below normal value. 

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The DGTR concluded that 

(i)    the subject goods have been exported to India at a price below normal value, thus resulting in dumping; 

(ii)   the dumping of the subject goods has materially retarded the establishment of domestic industry in India;

(iii)  the landed price of imports is below the level of selling price of the domestic industry and is undercutting the prices of the domestic industry, and has recommended imposition of anti-dumping duty on imports of the subject goods, originating in, or exported from the subject countries and imported into India, in order to remove injury to the domestic industry. 

Following these findings, the DGTR recommended the imposition of an anti-dumping duty on Epichlorohydrin imports to safeguard the interests of Indian producers. Exercising its powers under sections 9A(1) and 9A(5) of the Customs Tariff Act, along with rules 18 and 20 of the Customs Tariff (Identification, Assessment, and Collection of Anti-Dumping Duty on Dumped Articles and for Determination of Injury) Rules, 1995, the Central Government has decided to levy this duty.

The duty rates vary depending on the origin, export source, and specific producer, and are intended to level the playing field for domestic manufacturers by counterbalancing the below-market pricing of these imports. The anti-dumping duty, payable in Indian currency as per applicable exchange rates, is effective from the date of this notification and will be in place for five years, with provisions for review or amendment as necessary.

Source: Taxscan