India Levies Anti-Dumping Duty on 5 Chinese Products to Safeguard Local Markets

To protect domestic industries from the influx of cheap imports, India has imposed anti-dumping duties on 5Chinese products, including vacuum flasks and aluminium foil. These levies, based on the Directorate General of Trade Remedies’ (DGTR) recommendations, aim to ensure fair competition and safeguard local manufacturers.

Anti-Dumping Measures and Their Scope

The Central Board of Indirect Taxes and Customs (CBIC) has issued multiple notifications enforcing anti-dumping duties on Soft Ferrite Cores, vacuum insulated flasks, aluminium foil, Trichloro Isocyanuric Acid, and Poly Vinyl Chloride (PVC) Paste Resin. These products were being imported at prices below normal value, harming domestic producers.

The duties, valid for five years in most cases, range from USD 276 to USD 986 per tonne for Trichloro Isocyanuric Acid(Used for Water Treatment), while aluminium foil imports face a provisional duty of up to USD 873 per tonne for six months. Soft Ferrite Cores, used in EVs and telecom devices, now attract up to 35% duty on the CIF value. A USD 1,732 per tonne duty has been imposed on vacuum insulated flasks, and PVC Paste Resin imports from China, Korea RP, Malaysia, Norway, Taiwan, and Thailand now face levies between USD 89 and USD 707 per tonne.

India’s Strategy to Counter Unfair Trade Practices

Anti-dumping probes assess whether domestic industries suffer due to low-cost imports. If proven, corrective duties are imposed under World Trade Organization (WTO) guidelines to establish a level playing field. India has previously applied such duties on various goods from multiple countries, particularly China.

Despite being WTO members and major trading partners, India and China face ongoing trade tensions, with India frequently raising concerns over the widening trade deficit, which stood at USD 85 billion in 2023-24. These anti-dumping measures serve as a crucial tool to counteract market distortions and protect Indian manufacturers.

Conclusion

By imposing these duties, India aims to curb unfair pricing tactics and support local businesses. The move aligns with global trade regulations, ensuring a competitive domestic market while addressing trade imbalances with China.

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