India has initiated a review of the anti-dumping duty on flat base steel wheels from China to take a call on “the need for continued imposition of the duties in force.”
The Directorate General of Anti-dumping and allied Duties (DGAD) has initiated the review investigation “to examine whether the expiry of such duty (on imports of flat base steel wheels from China) is likely to lead to continuation or recurrence of dumping and injury to the domestic (Indian) industry.”
The move comes in the backdrop of India’s huge trade deficit with China ($51.1 billion in FY’17).
Kalyani Maxion Wheels Pvt. Ltd. and Wheels India Ltd. have filed an application “alleging likelihood of continuation or recurrence of dumping of the subject goods, originating in or exported from China and consequent injury to the domestic industry.”
They have sought a review and continuation of the anti-dumping duties, imposed on such imports. “The Authority (DGAD) has considered the period of October, 2016 to September, 2017 as the period of investigation. The injury investigation period has however, been considered as the period 2014-15, 2015-16, 2016-17 and the period of investigation,” the DGAD said.
India had in 2013 imposed duty up to $613 per tonne on import of the product from China for five years. As per the World Trade Organisation, if a company exports a product at a price lower than the price it normally charges on its own home market, it is said to be “dumping” the product.
The global body has also said that the WTO agreement allows governments to act against dumping where there is genuine (“material”) injury to the competing domestic industry.
Source;- Thehindu.com
