India: Sunset review - Dumping duty on rubber chemicals from China to continue

01/08/2011 12:00 - 362 Views

The Designated Authority in the Commerce Ministry has recommended imposition of definitive dumping duty on certain imported rubber chemicals namely “MBTS” Dibenzothiazole disulphide from China after a sunset review, following a petition from the original complaint lodged by the National Organic Chemical Industries Ltd.

The sunset review is normally is aimed at revoking or continuing with or enhancing the existing definitive anti-dumping duty that is about to run out its five-year span.
MBTS is extensively used in the manufacture of various rubber products and is also an accelerator that finds wider application in the manufacturing of automotive tyres, conveyor belts and footwear industry. In its statement before the Authority, the domestic industry argued that exports from China continued to be made at dumped prices, bearing out that the exporters from the subject nation would continue to export the products under probe at dumped prices in case of cessation or revocation of anti-dumping duty.

It further noted that the prices prevailing in the Indian market remain attractive for the foreign producers and the Chinese manufacturers have also built surplus capacity.
In the event of revocation of anti-dumping duty currently in vogue in India, these exporters would mostly likely to divert huge volume of exports to large and growing market in India.

After assessing the viewpoint of the stakeholders including importers and the All India Tyre Manufacturers Association (ATMA), the Authority said the dumped imports and the consequential injury are likely to persist in case of withdrawal of anti-dumping duty, given the significant dumping margin during the period of investigation and the large volume of surplus capacities available with the subject country.

Accordingly, the Authority has recommended imposition of anti-dumping duty on certain rubber chemicals (MBTS) Dibenzothisazole disulphide from manufacturer-exporter of China or manufactured in China but exported from any country or manufactured from any other country but exported through China to pay an anti-dumping duty of $ 0.23/kg.

Gypsum Boards

In a fresh investigation, the Authority has also started a probe into the import of Plain Gypsum Plaster Boards from China, Indonesia, Thailand and the United Arab Emirates (UAE), following a complaint lodged by Saint-Gobain Gyproc India Ltd.

As there is sufficient evidence of injury being suffered by the domestic industry due to dumped imports from subject countries to justify initiation of an anti-dumping probe, the Authority has entertained the complaint, stating that the period of probe would be from January to December 2010 (12 months). But the injury investigation would cover the fiscal years of 2007-08, 2008-09, 2009-10 and the period of probe.

New Delhi, July 29, 2011
By G.Srinivasan
Source: thehindubusinessline.com
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