Delhi HC issues Notice to Govt. on a plea challenging initiation of Anti-Dumping probe on Imports of Solar Cells from China, Thailand, Vietnam [Read Order]

Delhi HC - Delhi High Court - plea challenging - anti-dumping probe - solar cells - Taxscan

The Delhi High Court issued the notice to the Government in a Plea file by Solar Power Developers Association assailing the initiation of an anti-dumping probe on imports of solar cells exported from China, Thailand, and Vietnam.

The Directorate  General of Trade Remedies ( DGTR ) had launched its investigation on May 5, 2021, based on the petition filed by the Indian Solar Manufacturers Association (ISMA). ISMA had filed the petition on behalf of Mundra Solar PV (Adani), a unit in a Special Economic Zone; Jupiter Solar Power, a unit in the Domestic Tariff Area (DTA); and Jupiter International Limited (DTA).

The appellant, Solar Power Developers Association challenged the notification dated 15.05.2021, issued by respondent authority for initiating anti-dumping investigation in respect of imports of solar cells, whether or not assembled into modules/panels, originating in or exported from China PR, Thailand and Vietnam.

Mr. Sujit Ghosh, who appears on behalf of the petitioner submitted that the data, which has been taken into account by respondent, concerns only solar cells and not solar modules/panels. the investigation is premised on an error of fact, which is, that, because of the alleged dumping activity being carried out, the domestic industry is unable to utilize its capacity. The contention is that, during the period covered by the investigation, the domestic industry has in fact over-utilized its capacity. It is, stated that in this period, the domestic industry worked at 170% of its rated capacity.

Mr. Ghosh added that for the applicants to have qualified as “major producers” in the domestic industry, the data concerning the modules/solar panels manufacturers should have also been furnished. It is contended that respondent no.2 has wrongly concluded that the installed capacity (in megawatts) of the domestic industry is 1055MW.

Although the period of investigation spans between July 2019 and December 2020, the period of injury spans between 2016-17 and 2019-20. Therefore, as to whether or not, the applicants have imported the dumped article within the purported period of injury, also becomes relevant, Mr. Ghosh added.

The division bench of Justice Talwant Singh and Justice Rajeev Shakdher while listing the matter on July 19, 2021 issued the notice to the government.

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