Govt may extend anti-dumping duty on Russian chemical

Government may further extend the anti-dumping duty on imports of a Russian chemical, used by electrical and electronic industry, to protect the domestic players from cheap in-bound shipments.
In the final findings of the sunset review, Directorate General of Anti-dumping and Allied Duties (DGAD), has suggested the duty of USD 739.77 per tonne on the imports.
The application was filed by Gujarat Fluorochemicals Ltd for initiation of the third sunset review and extension of period of existing anti-dumping duties on the imports of 'polytetrafluoroethylene' from Russia.
The DGAD in its findings has concluded that there is continued dumping of the product from Russia, both in absolute terms and in relation to production/consumption in India causing injury to the domestic industry.

"...The authority is of the view that the anti-dumping measures are required to be extended in respect of Russia," the DGAD said in a notification.
While DGAD, which is under the commerce ministry, recommends the duty, the finance ministry imposes it within three months of the recommendation.

For the first time in December 1999, the government had imposed anti-dumping duty on the imports of this chemical. The duty was again extended in November 2004 and then in May 2010.
In addition to the anti-dumping duty on Russia, the chemical imported from China is also attracting anti-dumping duty since 2005, it said.

Countries initiate anti-dumping probes to check if their domestic industries have been hurt because of a surge in below-cost imports. As a counter measure, they impose duties within the multilateral regime of WTO.
Anti-dumping measures are taken to ensure fair trade and provide a level-playing field to the domestic industry. It is not a measure to restrict imports or cause an unjustified increase in the cost of products.