India’s trade defense body, the directorate general of trade remedies (DGTR), has recommended an anti-dumping duty on imports of textured tempered glass from China and Vietnam, a key component of solar panels.
The DGTR has proposed that the duty be imposed for five years. However, instead of the conventional anti-dumping duty—typically calculated as a percentage of the import value or on a per-unit basis—the DGTR has taken a different approach in the case of solar glass.
The agency has provided a reference rate for the landed value of solar glass from both countries. If imports are priced below this reference rate, the duty will be equivalent to the difference between the landed value and the reference amount. However, if the landed value exceeds the reference rate, no anti-dumping duty will be applied.
The investigation into below-cost imports from China and Vietnam began in February last year, following a complaint by Indian manufacturers led by Borosil Renewables, the country’s largest producer of solar glass. There are four other domestic manufacturers of this key input for the renewable energy sector.
The DGTR’s investigation revealed a significant rise in solar glass imports from China, Vietnam, and other countries over the years. Imports surged from 29,980 metric tonnes (MT) in 2020-21 to 779,017 MT during the period of investigation (POI). Imports from China grew from 29,324 MT in 2020-21 to 659,732 MT during the POI, while imports from Vietnam increased from 656 MT to 119,285 MT in the same period, with the sharpest spike occurring between 2020-21 and 2021-22. Meanwhile, imports from other countries outside the two subject nations declined significantly, falling from 128,819 MT in 2020-21 to 16,537 MT.
The DGTR also found that while imports surged, domestic sales volumes remained relatively stable over the first three years.
Although the DGTR is responsible for conducting investigations and recommending anti-dumping duties or other safeguard measures, the final decision on imposing such duties rests with the Central Board of Indirect Taxes and Customs under the ministry of finance.