Commerce min issues anti-dumping duty on imports of low ash coke from Aus and China

The Dollar Business Bureau

The Ministry of Commerce has issued its final findings with regard to the anti-dumping investigation concerning imports of low ash metallurgical coke from Australia and China into India.

The notification dated 20th Oct 2016 states that the authority recognizes that the imposition of anti-dumping duties might affect the price levels of the product in India. However, fair competition in the Indian market will not be reduced by the imposition of anti-dumping measures. On the contrary, imposition of anti-dumping measures would remove the unfair advantages gained by dumping practices, prevent the decline of the domestic industry and help maintain availability of wider choice to the consumers of the subject goods. The purpose of anti-dumping duties, in general, is to eliminate injury caused to the Domestic Industry by the unfair trade practices of dumping so as to re-establish a situation of open and fair competition in the Indian market, which is in the general interest of the country. Imposition of anti-dumping duties, therefore, would not affect the availability of the product to the consumers. The Authority notes that the imposition of the anti-dumping measures would not restrict imports from tAustralia and China in any way, and therefore, would not affect the availability of the product to the consumers. The consumers could still maintain two or even more sources of supply.

The notification details the conclusion and justification of the anti-dumping duty imposed after examining the submissions made by the interested parties and issues raised as given below:

(i) It is noted that the dumped imports from Australia and China PR increased significantly in the period of investigation (POI) as compared to the base year 2011-12 justifying recommendation of the duty.

(ii) The product under consideration has been exported to India from the subject countries below normal values. The dumping margins are positive and so significant that it justifies recommendation of duty.

(iii) The domestic industry has suffered material injury on account of subject imports from the subject countries.

(iv) The material injury has been caused by the dumped imports of subject goods from the subject countries.

1. The Authority notes that the investigation was initiated and it was notified to all the interested parties. Adequate opportunity was given to the exporters, importers and other interested parties to provide information on the aspects of dumping, injury and causal link. Having initiated and conducted an investigation into dumping, injury and the causal link thereof and having established positive dumping margins as well as material injury to the domestic industry caused by such dumped imports, the Authority is of the view that imposition of anti-dumping duty is required to offset dumping causing injury.
2. Having regard to the lesser duty rule followed by the authority, the Authority recommends imposition of anti-dumping duty equal to the lesser of margin of dumping and margin of injury, so as to remove the injury to the domestic industry.

Accordingly,anti-dumping duty equal to the amount was indicated by the Ministry which was to be imposed from the date of notification by the Central Government.

With regard to low ash metallurgical coke excluding metallurgical coke with ash content in excess of 18% China had to pay $25.20/MT and Australia $16.29/MT.