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India starts review of anti-dumping duty on flat base steel wheels from China

15 Feb 2018 Evaluate

Keeping in mind interest of local manufacturers, India has started investigation to review the need for continued imposition of existing anti-dumping duty on import of flat base steel wheels from China. The commerce ministry’s investigating arm – Directorate General of Anti-dumping and Allied Duties (DGAD) would also examine whether the expiry of existing duty is likely to lead to continuation or recurrence of dumping and injure the domestic industry. 

DGAD has considered the period of October 2016 to September 2017 as the period of investigation and would also consider the data of 2014-17 for the investigation. The finance minister had in 2013 imposed duty up to $613 per tonne on import of the product from China for five years. Kalyani Maxion Wheels and Wheels India have filed an application seeking review and continuation of the existing anti-dumping duty on import of the wheels. Besides, India has imposed anti-dumping duty on as many as 98 products imported from China, as on December 27 last year. Some of the products in the list include flax fabrics, vitamin C, certain fibres and chemicals. Trade deficit with China is always a concern for India and it stood at $36.73 billion during April-October this fiscal.

Countries carry out anti-dumping investigation to determine whether their domestic industries have been hurt because of a surge in below-cost imports. As a counter measure, they impose duties under the multilateral WTO regime. The duty aims to ensure fair trading practices and creating a level-playing field for domestic producers with regard to foreign producers and exporters. They are not a measure to restrict imports or cause an unjustified increase in cost of products.

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