India has initiated an anti-dumping probe into import of industrial laser machines used for cutting, marking and wielding, from China following a complaint by a domestic player. The duty is aimed at protecting the domestic industry from cheap imports. The commerce ministry‘s investigation arm Directorate General of Trade Remedies (DGTR) is probing the alleged dumping of the machine originating in or exported from China. Sahajanand Laser Technology has filed an application to initiate the anti-dumping investigation.
The applicant has alleged that dumping of the machines is impacting domestic industries. “On the basis of the duly substantiated application by and on behalf of the domestic industry, and having satisfied itself, on the basis of the prima facie evidence submitted by the domestic industry, substantiating dumping of the product…the authority hereby initiates an investigation,” the DGTR has said in a notification.
If it is established that the dumping has caused material injury to domestic players, the DGTR would recommend the imposition of anti-dumping duty on these imports. The finance ministry takes the final decision to impose duties. Anti-dumping probes are conducted by countries to determine whether domestic industries have been hurt because of a surge in cheap imports.
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As a counter measure, they impose these duties under the multilateral regime of the Geneva-based World Trade Organization (WTO). The duty is aimed at ensuring fair trading practices and creating a level-playing field for domestic producers vis-a-vis foreign producers and exporters. India has already imposed anti-dumping duty on several products to tackle cheap imports from various countries, including China.