Government to investigate dumping of Chinese tyres

The Dollar Business Bureau

The government of India has initiated an investigation into the dumping of radial tyres into the country from China. The investigation may result in imposing anti-dumping duties on these tyres to help protect the domestic market. These tyres are used in buses, lorries and trucks.

The Automotive Tyre Manufacturing association has filed an application on behalf of Apollo Tyres Ltd, Ceat Ltd and JK Tyres limited for initiating an investigation against anti-dumping and also impose duties on these imports.

“Sufficient prima facie evidence” of dumping these tyres from China has been found by the Directorate General of Anti-Dumping and Allied Duties (DGAD). The DGAD has started their investigation on new or unused pneumatic radial tyres with or without tubes, which are largely used in buses that are originated or are exported from China.

DGAD in a statement said that the authorities are initiating an investigation against anti-dumping and determining the losses caused to the domestic industry. The statement also added that they would determine the degree of these alleged dumping and impose adequate duties on the same.

The period of investigation is from July 2014 to June 2015. However, it would also cover the period between 2012-13 and 2013-14.

The investigation against anti-dumping is done by the countries to determine whether their domestic market is being affected by these low cost imported goods. As a measure against these, they impose anti-dumping duties under the WTO jurisdiction. The duty imposed is aimed at fair trade practice and create a space for the domestic players with regard to foreign producers and exporters.

In India there are many products that have been imported and have anti-dumping duties imposed with a view to tackling cheap imports from other countries including China.