India Slaps Anti-Dumping Duties on Vacuum Flasks, Aluminium Foil & More
India Slaps Anti-Dumping Duties on Vacuum Flasks, Aluminium Foil & More
India has taken steps to protect its domestic industries from unfair competition by imposing anti-dumping duties on several Chinese goods. These duties are designed to counter the practice of “dumping,” where products are sold in a foreign market at prices lower than their production cost, often to drive out local competitors.
The Indian government has imposed anti-dumping duties on five Chinese goods, including vacuum flasks and aluminium foil, to safeguard domestic manufacturers from cheap imports. These duties were imposed because these products were being exported to India from China at prices below their normal value. The products affected are: Soft Ferrite Cores, vacuum insulated flasks (certain thicknesses), aluminium foil, Trichloro Isocyanuric Acid, and Poly Vinyl Chloride Paste Resin.
The Central Board of Indirect Taxes and Customs, Department of Revenue, has announced that the duty imposed will be levied for five years on imports of Soft Ferrite Cores, vacuum insulated flasks, and Trichloro Isocyanuric Acid. A provisional anti-dumping duty of up to USD 873 per tonne has been imposed on aluminium foil for six months. The government has also imposed a duty ranging from USD 276 per tonne to USD 986 per tonne on imports of Trichloro Isocyanuric Acid (a water treatment chemical) from China and Japan.
For example, a 35% duty was placed on the CIF (cost, insurance freight) value of Soft Ferrite Cores, which are used in electric vehicles, chargers, and telecom devices. Similarly, a USD 1,732 per tonne anti-dumping duty was levied on vacuum-insulated flasks. The duty on Poly Vinyl Chloride Paste Resin, which ranges from USD 89 per tonne to USD 707 per tonne, was imposed on imports from China, Korea, Malaysia, Norway, Taiwan, and Thailand for a period of five years.
These duties are imposed after recommendations from the Directorate General of Trade Remedies (DGTR), which is part of India’s commerce ministry. These investigations aim to determine if domestic industries are being harmed by a surge in cheap imports. The duties are consistent with international trade rules, specifically those of the World Trade Organization (WTO).
India has previously imposed anti-dumping duties on various products to address unfair trade practices and safeguard its domestic industries. The latest round of duties highlights India’s commitment to fair trade and ensuring that domestic manufacturers can compete effectively.
India and China, both members of the World Trade Organization (WTO), share a complex economic relationship. While China is India’s second-largest trading partner, a significant trade deficit has emerged in recent years, reaching USD 85 billion in 2023-24.
