Government Extends Anti-Dumping Duty on Carbon Black Imports from Russia and China
- 11-Nov-2020 11:00 AM
- Journalist: Francis Stokes
After a full-fledged investigation by the country’s quasi-judicial body, government of India released a notification on Monday, addressing the extension of anti-dumping duty on Carbon Black from China and Russia till December 31, 2020.
The anti-dumping probe on Carbon Black was first imposed on 18 November 2015, after the DGTR confirmed that heavy imports from following countries are causing material injury to the domestic market.
After several years’ in May 2020, massive claims from Carbon Manufacturers Association of substantial price parity in domestic carbon black market, petitioned the Directorate General of Trade and Commerce (DGTR) for another inquiry against the dumping of Carbon black from these two countries.
As the validity of the existing duty on Carbon Black is only till November 17, 2020, DGTR has called for its continuation based upon all the prime facie evidence submitted by the concerned companies. In global trade parlance, a nation can pin for anti-dumping probe when the material cargoes from exporting countries are offered at prices lower that the prices of the commodity in the domestic market.
This thus leads to price parity of the product in the country, that further causes material injury and narrows down the profit margins of manufacturers. As per
ChemAnalyst “Anti-Dumping duty on Carbon Black from China and Russia can strive buyers to reduce their import dependency and turn towards domestic material due to the reduction in price parity. The move is also likely to benefit domestic manufacturers eyeing to extend their profit margins in the near term amidst revival in demand for Carbon Black from automotive industry on the arrival of festive season.”