India has imposed anti-dumping duties of up to USD 185.51 per tonne for five years on certain varieties of Chinese steel to guard domestic players from cheap imports from the neighbouring country.
The revenue department imposed the duty based on recommendations of the Directorate General of Trade Remedies (DGTR), according to a government notification.
JSW Steel Ltd, Sunflag Iron & Steel Co, Usha Martin, Gerdau Steel India, Vardhman Special Steels and Jayaswal Neco Industries Ltd had jointly filed an application before DGTR for initiation of investigations and levying of anti-dumping duties on some steel products.
In its anti-dumping investigation, the DGTR stated that dumped imports of 'straight length bars and rods of alloy steel' from China have increased in absolute terms during the period of probe (2016-17).
While recommending the anti-dumping duty, DGTR said the goods have been exported to India from the China below normal value and the domestic industry has suffered material injury on account of the imports.
The duty has been imposed in the range of USD 44.89 to 185.51 per tonne on import of 'Alloy bars and rods in straight length, whether or not hot rolled, hot drawn, cold drawn, cold extruded, peeled bar, surface machined, polished, bright bar, forged'.
"The anti-dumping duty shall be effective for a period of five years (unless revoked, superseded or amended earlier) from the date of publication of this notification in the Official Gazette and shall be paid in Indian currency," the notification said.
The product finds end use application across various segments and sectors including forging, automobiles, auto components, crank shaft, springs, gears, fasteners, cement plants, power plants, turbines, ship-building, and railways, among others.
Imports of straight length bars and rods of alloy steel from China have increased to 1,80,959 tonnes in 2016-17 from 56,690 tonnes in 2013-14. India's total imports rose to 2,56,004 tonnes in 2016-17 from 1,32,933 tonnes in 2013-14.
The demand of this steel in India too increased to 16,69,653 tonnes in 2016-17 from 15,14,795 tonnes in 2013-14.
Domestic steel manufacturers always flag concerns over the imports from the neighbouring country, with which India has a huge trade deficit.
The trade gap with China has increased to USD 63.12 billion in 2017-18 from USD 51.11 billion in the previous financial year.
In general, the purpose of anti-dumpinmg duty is to eliminate injury caused to the domestic industry by the unfair trade practices of dumping so as to re-establish a situation of open and fair competition in the Indian market, which is in interest of the country.
Source: The Economic Times
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