Source: HT
Context: India has imposed anti-dumping duties on five Chinese products to safeguard domestic industries from low-priced imports.
- These duties will be applicable for up to five years based on recommendations from the Directorate General of Trade Remedies (DGTR).
About Anti-Dumping Duties:
- What it is
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- Anti-dumping duty is a protectionist tariff imposed on imports priced below their normal value in the exporting country.
- It aims to protect domestic industries from injury caused by unfairly priced imports.
- Authority to impose in India
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- The Directorate General of Trade Remedies (DGTR) under the Ministry of Commerce and Industry recommends anti-dumping duties.
- The Ministry of Finance notifies and levies these duties based on DGTR’s investigation and recommendation.
- When it is imposed:
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- Imposed after evidence of material injury to domestic industry from cheap imports sold at below market price.
- Duties are typically levied for a period of up to five years and periodically reviewed.
- Does it violate WTO rules?
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- No, it is permitted under Article 6 of the General Agreement on Tariffs and Trade (GATT), 1994.
- The WTO Anti-Dumping Agreement allows members to impose duties to ensure fair trade practices.
- Recent Chinese goods with anti-dumping duty imposed:
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- Soft Ferrite Cores (used in EVs, chargers, telecom equipment)
- Vacuum Insulated Flasks
- Aluminium Foil
- Trichloro Isocyanuric Acid (used in water treatment)
- Poly Vinyl Chloride (PVC) Paste Resin.
