Government will not impose anti-dumping duties on certain steel products

The government has decided not to impose anti-dumping duties on certain steel products imported from countries such as China, Japan and Korea, as the Ministry of Finance did not accept the recommendations of the General Directorate of Trade Remedies (DGTR). The Ministry of Commerce’s investigative arm, DGTR, had investigated imports of “cold-rolled / cold-reduced flat steel products of iron or non-alloy steel, or other alloy steels of all widths. and thicknesses – unclad, plated or coated ”and“ Hot-rolled flat-rolled products of alloyed and non-alloy steel ”, following complaints filed by domestic manufacturers of the respective products.

On these two categories of steel, management recommended on September 14, 2021 the imposition of definitive anti-dumping duties.

While the DGTR recommends the fee, the Department of Revenue makes the final decision to impose the fee.

In separate memos, the department said that “the central government, after reviewing the final findings of the Designated Authority (DGTR), has decided not to accept the recommendations.”

Management concluded in its findings that cold-rolled products were dumped by companies in China, Japan, Korea and Ukraine; and hot-rolled products are dumped from China, Japan, Korea, Russia, Brazil and Indonesia.

India has a free trade agreement with Japan and Korea.

In international trade parlance, dumping occurs when a country or a company exports an item for less than the price of that product in its domestic market.

Dumping has an impact on the price of this product in the importing country, affecting the margins and profits of manufacturing companies.

Under global trade standards, a country is allowed to impose tariffs on these dumped products in order to provide a level playing field for domestic manufacturers.

The duty is only imposed after a thorough investigation by a quasi-judicial body, such as the DGTR, in India.

The imposition of anti-dumping duties is permitted under the World Trade Organization (WTO) regime.

The law aims to ensure fair trade practices and to create a level playing field for domestic producers vis-à-vis foreign producers and exporters.

Previous Why this Tesla analyst thinks Model Y production at Giga Austin will start in a week - Tesla Motors (TSLA)
Next Capital market targets ‘1M2024’ | Daily FT