Commerce Ministry for anti-dumping duty extension on aluminum alloy wheels from 3 nations

By: |
Updated: April 2, 2019 3:14:23 PM

The authority is of the view that continuation of the duty is required against all these countries on the tyres, used in motor vehicles, the Directorate General of Trade Remedies (DGTR) has said in a notification.

The commerce ministry has recommended extension of anti-dumping duty on aluminum alloy wheels from China, Korea and Thailand for another five years to guard domestic manufacturers from cheap imports.

Concluding its second sunset review of anti-dumping probe on imports of these wheels being exported by these nations, the ministry’s investigation arm DGTR stated that there is a likelihood of dumping if the existing anti-dumping duties are allowed to cease.

The authority is of the view that continuation of the duty is required against all these countries on the tyres, used in motor vehicles, the Directorate General of Trade Remedies (DGTR) has said in a notification.

It has recommended “imposition of definitive anti-dumping duties on the imports of the subject goods (wheels), originating in or exported from China, Korea and Thailand for a period of five years”.

“The continued injury to the domestic industry on account of dumped imports is likely to continue if the anti-dumping duties from subject countries cease to exist,” it added. Imports of these tyres have increased from 15,878 tonnes in 2014-15 to 21,042 tonnes in 2017-18.

ALSO READ: Investors convinced of ‘certainty of investment returns’ in Indian real estate, say experts

India is a huge market for passenger as well as commercial vehicles, which makes it attractive destination for global players to export automobile components, including tyres.

Countries carry out anti-dumping probe to determine whether their domestic industries have been hurt because of a surge in cheap imports.

As a counter measure, they impose duties under the multilateral regime of WTO. The duty is aimed at ensuring fair trading practises and creating a level-playing field for domestic producers vis-a-vis foreign producers and exporters.

Do you know What is Non Debt Capital Receipts, Consolidated Fund of India, Disinvestment, Long Term Capital Gains Tax, Repo Rate? FE Knowledge Desk explains each of these and more in detail at Financial Express Explained. Also get Live BSE/NSE Stock Prices, latest NAV of Mutual Funds, Best equity funds, Top Gainers, Top Losers on Financial Express. Don’t forget to try our free Income Tax Calculator tool.

Next Stories
1Poll: RBI to cut rates again before vote; BJP victory best for economy
2GST collection hits Rs 1.06L crore in March, 2018-19 mopup falls short by Rs 60,000 crore
3With tax receipts falling short of target, Govt’s FY19 spending seen at 97.5% of RE