MoCI ends anti-dumping inquiry on Chinese chemical imports

The imposition of anti-dumping duty is to ensure fair trade practices and to create a level playing field for domestic producers.

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The commerce ministry has ended its anti-dumping investigation into Chinese imports of a chemical used in the dyeing industry, known as “sulphur black,” after a request from the domestic industry that had initiated the probe. The investigation was launched on September 30, 2022, after a complaint by Atul Ltd., a domestic company.

However on April 15 this year, the applicant has withdrawn its petition and requested for termination of the investigation citing certain reasons. “The authority hereby terminates the investigation…against the imports of Sulphur Black originating in or exported from China,” the DGTR has said in a notification.

Anti-dumping rules allow for investigations to be initiated in case of suspected dumping. They also have provisions for termination of the investigation in certain situations, including if the affected domestic industry that had requested the investigation withdraws its application.

When a country or a firm exports a product to another country at a price lower than the price of the same product in the target market, it is referred to as dumping in international trade.

The imposition of anti-dumping duty is done after a thorough investigation by a quasi-judicial body like DGTR in India. This is done to ensure fair trade practices and to create a level playing field for domestic producers.

The duty is meant to counteract the unfair advantage gained by foreign companies through the dumping of their products. It helps protect the interests of the domestic industry and prevent damage caused to it due to unfair trade practices.