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India recommends ADD on isopropyl alcohol to restrict Chinese supply

23 Aug '24
2 min read
India recommends ADD on isopropyl alcohol to restrict Chinese supply
Pic: Adobe Stock

Insights

  • India's Directorate General of Trade Remedies has recommended imposing ADD on isopropyl alcohol imported from certain Chinese producers, following an investigation prompted by domestic producer Deepak Fertilizers and Petrochemicals.
  • The investigation revealed that Chinese imports were significantly undercutting prices, harming the domestic industry.
India has recommended the imposition of anti-dumping duties (ADD) on isopropyl alcohol, a chemical used in the textile sector for processing and printing. The Directorate General of Trade Remedies (DGTR) has advised imposing these duties on the chemical imported from certain Chinese producers. Following an investigation triggered by an application from the domestic producer Deepak Fertilizers and Petrochemicals, the DGTR concluded that Chinese supplies of the chemical have become price setters in the Indian market due to the dumping of the product at significantly lower prices.

The DGTR, under the Ministry of Commerce and Industry, has recently published its final findings, recommending duties to mitigate the harm to the domestic industry. After a detailed investigation, the authority has proposed the imposition of a definitive anti-dumping duty of $82 per ton on isopropyl alcohol (HS code 29051220) produced by the Chinese company Zhuhai Long Success Chemical Industry Co Ltd and exported from China. Additionally, a duty of $217 per ton has been recommended if the chemical originates from China, regardless of the producer, and is exported from China. The same rate of duty will apply if the product is produced by any manufacturer in any country but exported from China.

The DGTR stated that the investigation was initiated and notified to all interested parties, including the Chinese government, and that adequate opportunities were provided for them to submit information on aspects such as dumping, injury, causal links, and impact of measure if recommended.

The authority recommended a duty equal to the lesser of the dumping margin or the injury margin to alleviate the damage to the domestic industry.

Fibre2Fashion News Desk (KUL)

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