Article

Anti-absorption measures: India’s foray into strengthening its anti-dumping enforcement

By Pareesha Gupta

The article in this issue of International Trade Amicus briefly discusses the first anti-absorption investigation conducted by India on Polyethylene Terephthalate (‘PET’) imported from China PR. It briefly touches upon the concept of anti-absorption with a lucid example for understanding of the reader. Next, the article discusses few issues which arose in this anti-absorption investigation by India. The article closes by summarizing the implications of enforcing anti-absorption measures by India generally and, in particular, on PET. According to the author, this decision is expected to restore the protective benefits of the original anti-dumping duties imposed on PET imports, ensuring a level playing field for Indian producers.

Trade Remedy News

• 2,4-Dichlorophenoxyacetic Acid from India – USA issues preliminary affirmative countervailing duty determination
• Aniline from China PR – India initiates sunset review of anti-dumping duty
• Anodized Aluminium Frames for Solar Panels/Modules from China PR – India imposes anti-dumping duty
• Atrazine Technical from China PR – India imposes countervailing duty
• Barium Chloride from India – USA issues intent to revoke countervailing duty in a preliminary review
• Carbazole Violet Pigment 23 from India – USA’s DOC finds no sale below normal value during 1 December 2022 till 30 November 2023
• Cellophane Transparent Film from China PR – India’s DGTR recommends imposition of anti-dumping duty
• Ceramic tiles from India – USA postpones preliminary determination in the less-than-fair-value investigation and issues preliminary affirmative countervailing duty determination
• Epichlorohydrin from Thailand – India terminates countervailing duty investigation
• Epoxy Resins from India – USA issues preliminary determination that countervailing subsidies were provided between 1 January 2023 till 31 December 2023
• Finished Carbon Steel Flanges from India – USA issues preliminary determination that countervailing subsidies were provided between 1 January 2022 till 31 December 2022 and preliminary affirmative determination of sale at less than normal value during 1 August 2022 till 31 July 2023
• Glycine from India – USA issues affirmative sunset review of anti-dumping duty
• Granular Polytetrafluoroethylene Resin from India – USA issues affirmative finding that countervailing subsidies were provided to Gujarat Fluorochemicals Limited during 6 July 2021 to 31 December 2022
• Halogenated butyl rubber from India – China PR initiates anti-dumping investigation
• High Chrome Cast Iron Grinding Media from India – USA postpones preliminary determination in the less-than-fair-value investigation
• Isobutylene-Isoprene Rubber (‘IIR’) from China PR, Russia, Saudi Arabia, Singapore and USA – India imposes anti-dumping duty
• Mattresses from India – USA issues anti-dumping duty order
• Melamine from India – USA issues preliminary affirmative determination of sales at less than fair value
• Polyethylene Terephthalate Resin from China PR – India’s DGTR recommends modification of quantum of anti-dumping duty after anti-absorption investigation
• Silicomanganese from India – USA schedules expedited sunset review
• Stainless steel bar from India – USA’s DOC finds no sales below normal value during 1 February 2022 till 31 January 2023
• Welded Stainless-Steel Pipes and Tubes from China PR and Vietnam – India imposes countervailing duty

WTO News

• European Union initiates WTO dispute against Chinese countervailing duty investigation on dairy from EU
• China initiates dispute against Canadian surtax measures
• Tarpaulins made from plastics and synthetic fibers – Indonesia launches safeguard investigation
• Polyethylene – Indonesia launches safeguard investigation

FTA Update

• Korea RP – India and Korea discuss upgrading of trade pact, promoting investments
• ASEAN – India calls for review of ASEAN FTA to address local industry concerns
• Uzbekistan – India signs Bilateral Investment Treaty with Uzbekistan
• No duty concessions for Dairy sector under FTA

India Customs and Trade Policy Update

• Rice – Prohibition for export of non-basmati white rice removed
• Yellow peas – BCD and AIDC exemption extended till 31 December 2024
• Palm oil, soyabean oil and sunflower oil – BCD rates increased, AIDC rates on crudes remain same
• Onions – Export policy relaxed, and export duty reduced
• ‘Laboratory chemicals’ redefined for Tariff Heading 9802
• Works of art and antiquities imported for public exhibition in museum or art gallery – Exemption from BCD and IGST rescinded
• Pet Coke (raw and calcined) – Import permitted to cater to domestic needs of not only aluminium but other industries

Ratio decidendi

• Compressors used in car air-conditioners are classifiable under TI 8414 80 11 and not under TI 8415 90 00 – SC decision in Westinghouse Saxby distinguished – CESTAT Chennai
• Fork/Yoke 5th and reverse gear shift are classifiable under Heading 8708 and not under Heading 8483 of the Customs Tariff – CESTAT New Delhi
• Vitamin AD3 is classifiable under Heading 2936 and not under Heading 2309 of the Customs Tariff – CESTAT New Delhi