The government’s trade defence arm, Directorate General of Trade Remedies (DGTR), has begun an investigation into the dumping of four commonly used domestic hardware items from China.
A suo moto investigation has been launched against dumping of telescopic channel drawers, unframed glass mirrors and fasteners, three separate notifications of the DGTR said.
A probe also has been initiated on a complaint by a local manufacturer against dumping of vacuum insulated flasks and other utensils of stainless steel. In July, the department for promotion of industry and internal trade had issues QCOs on potable water bottles.
Usually, anti-dumping investigations are initiated based on an application filed by domestic industry. However, since fragmented industries do not have the know-how of the procedures involved in a trade remedy probe, the DGTR has undertaken the investigation on its own initiative.
It is after a long gap that DGTR has launched a suo moto probe into dumping. In 2000, such a probe was launched in the case of dry batteries, resulting in the imposition of anti-dumping duty on the product for five years.
In the current case, the directorate had received information that Indian producers of these three products were facing stiff competition from unfairly priced Chinese imports.
According to one of the notifications, a representation was received from Highhope Furniture Fittings Manufacturers Associates, consisting of 25 manufacturers of telescopic channel drawers, that there has been a steep decline in Indian production due to significant increase of dumped imports from China.
On unframed glass mirrors, a representation was received from the All India Mirror Manufacturers Association. Most producers of unframed glass mirrors are medium small or micro enterprises, and some have already shut down production as they were unable to survive the competition from Chinese imports.
In 2022-23, the demand for the product was estimated to be 1,10,904 metric tonne, in which imports from China were 80,178 metric tonne, catering to almost 72% of Indian demand with the import value of `183 crore.
Similarly, Apt Tools and Machinery and Northern Screw Association filed a representation before the DGTR requesting anti-dumping duty on the import of nuts, bolts and screws from China.
If it is established the dumping of these products has caused material injury to domestic players, DGTR would recommend an anti-dumping duty on these imports. The finance ministry takes the final decision to impose duties.