Article

Finance Ministry’s decision not to impose anti-dumping duty – Blurred lines

By Aayush Rastogi

The article analyses the recent decision of the CESTAT which has allowed an appeal against the Finance Ministry’s decision rejecting the Designated Authority’s recommendation to impose anti-dumping duty. The Tribunal determined that the Office Memorandum (‘OM’) of the Ministry of Finance was an ‘order of determination regarding the existence, degree and effect of dumping’ and that the function performed by the Central Government under Section 9A of the Customs Tariff Act, 1975 is quasi-judicial in nature. It thus held that such OM should spell out reasons for not imposing anti-dumping duty. Observing that it would be in the interests of transparency if the Finance Ministry records the reasons in the OMs, the author asks as to whether mention of mere ‘public interest’ is a sufficient reason to stand the scrutiny of the Courts. The author also explores the answer to the question whether since the DGTR has already made its determination regarding the existence, degree and effect of dumping vide the final findings, can the Finance Ministry make any such determination. Further, can the issuance of a customs notification by the Central Government imposing ADD be called a quasi-judicial act?...

Trade Remedy News

• Axle for trailers from China PR – India extends anti-dumping duty to axle for trailers in CKD or SKD form, after anti-circumvention investigation
• Calcined Gypsum Powder from Iran, Oman, Saudi Arabia and UAE – India imposes anti-dumping duty
• Caprolactam from EU, Korea RP, Russia and Thailand – India’s Central Government decides not to accept DGTR’s recommendations of imposing anti-dumping duty
• Caustic Soda from Japan, Iran, Qatar and Oman – India’s DGTR recommends imposition of definitive anti-dumping duty
• Ceramic tiles from India – EU initiates anti-dumping investigation
• Cold-drawn mechanical tubing of carbon and alloy steel from India – USA issues affirmative finding of provision of countervailing subsidy to M/s. Goodluck India Limited and Tube Investments of India Ltd.
• Cold-rolled steel flat products from India – USA schedules five-year reviews o determine whether revocation of AD and CVD would lead to continuation/recurrence of material injury
• Corrosion-resistant (CORE) steel products from India – USA schedules five-year reviews to determine whether revocation of AD and CVD would lead to continuation /recurrence of material injury
• Décor paper from China PR – India imposes definitive anti-dumping duty
• Finished carbon steel flanges from India – USA issues affirmative finding of provision of countervailing subsidy during 1 January 2019 to 30 December 2019
• Flat hot rolled carbon and alloy steel sheet and strip from India – Canada issues affirmative expiry review – Likelihood of continuation of subsidy
• Flat rolled products of Aluminium from China PR – India imposes definitive anti-dumping duty
• Frozen warmwater shrimp from India – USA issues corrections issued in cash deposit instructions
• Glass fibre and article thereof from Bahrain and Egypt – India’s DGTR recommends imposition of definitive anti-dumping duty
• Glazed/Unglazed Porcelain/Vitrified Tiles in polished or unpolished finish with less than 3% water absorption from China PR – India’s DGTR recommends continuation of anti-dumping duty after sunset review
• Hydrofluorocarbon (HFC) Blends (excluding all blends other than 407 and 410) from China PR – India imposes definitive anti-dumping duty
• Hydrofluorocarbon (HFC) Component R-32 from China PR – India imposes definitive anti-dumping duty
• Hydrogen Peroxide from Bangladesh, Taiwan, Korea RP, Indonesia, Pakistan and Thailand – India imposes provisional anti-dumping on imports from Al-Razi Chemical Complex Limited (Exporter/ Trader), Bangladesh
• Organic Soybean from India – USA schedules final phase of countervailing duty and anti-dumping duty investigation
• Raw honey from India – USA schedules final phase of anti-dumping investigation and issues preliminary affirmative determination of sales at less than fair value
• Silicone Sealants excluding silicon sealants used in manufacturing of solar photovoltaic modules, and thermal power applications from China PR – India imposes definitive anti-dumping duty
• Sodium Hydrosulphite from China PR and Korea RP – India imposes definitive anti-dumping duty
• Stainless steel cold-rolled flat products from India – EU imposes definitive anti-dumping duty
• Steel products from India – EU initiates review of safeguard investigations
• Uncoated copier paper from Indonesia and Singapore – India’s DGTR recommends Continuation of anti-dumping duty for 2 years after sunset review
• Utility scale wind towers from India – USA issues countervailing and anti-dumping duty orders
• Zinc coated (galvanized) steel from India – Australia initiates exemption inquiry

WTO News

• Russian import substitution measures to be examined at WTO

India Customs & Trade Policy Update

• SCOMET items – Supply to SEZ/EOU and outside India
• SCOMET items – Annual update released
• ASEAN-India FTA – Effective rate of duty further reduced on certain products
• Palm oil (other than crude) and fractions – Basic Customs duty reduced, and ‘free’ import policy extended
• Rough diamond exports and imports – Registration with G&JEPC mandatory
• Agarwood chips and powder and Agar oil – Exports restricted
• Watermelon seeds – Import procedure notified
• Cinnamon imports – Coumarin content to be not more that 0.3% by weight

Ratio decidendi

• Refund of anti-dumping duty – Challenge to assessment of Bill of Entry not required – CESTAT Ahmedabad
• Anti-dumping duty – Distortion carried over from the former non-market economy system – Court of Justice of the European Union
• Certificate of Country of Origin cannot be unilaterally rejected – CESTAT Kolkata
• Sweet corn is not ‘cereal’ for exclusion from Chapter 12 of Customs Tariff – CESTAT Mumbai
• LCD with inseparable PCB classifiable under Heading 9013 – CESTAT Mumbai