New Delhi: India has extended anti-dumping duty on imports of Fluoroelastomers from China by a month till November 27, the Central Board of Indirect Taxes and Customs (CBIC) said in a notification issued Tuesday.
“In exercise of the powers conferred by sub-sections (1) and (5) of section 9A of the Customs Tariff Act, read with rules 18 and 23 of the said rules, the Central Government hereby makes the following further amendment in the notification of No. 6/2019- Customs (ADD), dated the 28th January, 2019… in paragraph 3, for the figures and word “27th October, 2020”, the figures and word “27th November, 2020” shall be substituted,” the notification said.
The Board said that the decision has been taken after the Directorate General of Trade Remedies (DGTR) requested for further extension of the anti-dumping duty on the goods originating in or exported from China. The DGTR initiated a review in February, 2020 on whether the goods being imported were hurting domestic industry.
India had first imposed the duty in January 2019, which was extended in July this year till October 27.
In international trade parlance, dumping happens when a country or a firm exports an item at a price lower than the price of that product in its domestic market.
Dumping impacts price of products in the importing country and adversely affects margins and profits of manufacturing firms.
According to global trade norms, a country is allowed to impose tariffs on such dumped products to provide a level-playing field to domestic manufacturers.
The duty is imposed only after a thorough investigation by a quasi-judicial body, such as DGTR, in India.
Imposition of anti-dumping duty is permissible under the World Trade Organization (WTO) regime. India and Vietnam are members of the Geneva-based organisation, which deals with global trade norms.
The duty is aimed at ensuring fair trading practices and creating a level-playing field for domestic producers vis-a-vis foreign producers and exporters.
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