India Extended Antidumping Duty on Styrene Butadiene Rubber till August 2022
- 11-Feb-2022 3:27 PM
- Journalist: S. Jayavikraman
Reliance Industries Limited has requested that the Anti-Dumping Duty (ADD) on Styrene Butadiene Rubber imports from the European Union, Republic of Korea, and Thailand to be extended. Indian manufacturers are anticipated to benefit from the recently announced ADD extension. Profit margins for Styrene Butadiene Rubber (SBR) producers, such as Reliance Industries Ltd (RIL) and Indian Oil Corp. Ltd (IOC), may strengthen. Imposition of antidumping duty has been extended until August 29, 2022, according to sources.
The investigation was carried out by the commerce ministry's investigative section, the Directorate General of Trade Remedies (DGTR), to determine whether South Korea's subsidy programmes for Styrene Butadiene Rubber shipments to India are having an impact on the domestic industry. SBR 1500 and 1700 series tyres are popular in the domestic tyre industry. SBR is widely produced and used synthetic rubber worldwide.
Anti-dumping duties are applied to defend domestic enterprises and markets from unfair foreign competition. Anti-dumping duties are imposed when the government believes that foreign imports are being "dumped" in the domestic market due to cheap prices. As a result of the dumping of cheaper rubber products, domestic industries have had to aggressively decrease prices in order to survive in the market.
As per ChemAnalyst, “domestic offers for SBR in the industry are likely to rise in the coming months because of the imposition of anti-dumping duties on exports from key global producers. Furthermore, domestic players may adjust their prices in response to increasing production costs. As a result, this extension will have a positive influence on the domestic rubber industry.”