India probes alleged dumping of seven products from China

The DGTR has initiated probes into alleged dumping of seven products from China following complaints from domestic manufacturers, while also investigating imports from other countries. | Photo Credit: iStockphoto

India has started a probe into an alleged dumping of as many as seven products, including engineering and pharma sector goods, from China following complaints filed by domestic manufacturers.

The investigations are carried out by the commerce ministry’s arm, the Directorate General for Trade Remedies (DGTR).

According to seven separate notifications of the directorate, the seven products are – Para-tert-Octyl Phenol Formaldehyde Tackifier Resin (used in the tyre and rubber industry), Penicillin G and its salts (an active pharmaceutical ingredient), 6-Amino Penicillanic Acid (a vital drug intermediate), T-Shaped Elevator/Lift Solid Guide Rails, Amoxycillin Trihydrate (used in the pharma industry), Montelukast Sodium (a pharma sector raw material), and Copolymer Polyol (used in the manufacturing of mattresses).

In their applications, the domestic players have alleged that the dumped imports of these products from China are impacting their businesses and they have requested the imposition of anti-dumping duties on these imports.

The DGTR is also probing dumping of ‘AD - Isopropyl Alcohol’ (used in hand sanitisers) from the European Union, South Korea, Taiwan and the US.

Another investigation is underway on alleged dumped imports of Pentaerythritol, a chemical which has applications in the paint and varnish industry, from Russia.

“On the basis of the duly substantiated written application submitted by the applicant and having reached satisfaction based on the prima facie evidence submitted by the applicant concerning the dumping of the product...the authority, hereby, initiates an antidumping investigation,” one of the notifications said.

If it is established that these dumpings have caused material injury to the domestic players, the DGTR would recommend the imposition of duties on these imports.

US-China trade tensions and China’s significant industrial overcapacity pose a major risk of cheap Chinese goods being dumped in India.

In the recent period, India has initiated multiple such probes against dumped imports of certain goods from China.

Anti-dumping probes are conducted by countries to determine if domestic industries have been hurt because of a surge in cheap imports.