DGTR Recommends 5-Year Anti-Dumping Duty on Chinese Isopropyl Alcohol

The Directorate General of Trade Remedies ( DGTR ) has recommended the imposition of a five-year definitive anti-dumping duty on Isopropyl Alcohol imported from China. This decision follows an investigation that revealed injury to the domestic industry due to unfair dumping practices.

The anti-dumping duty aims to counteract the unfair advantage gained through dumping, prevent further decline of the domestic industry, and ensure a diverse range of choices for consumers. By imposing this duty, the DGTR intends to restore fair competition in the Indian market without impacting product availability. Imports from China will still be possible, but at fair prices, and any supply gap can be filled by sourcing from other countries if necessary.

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The DGTR’s analysis included feedback from interested parties and verified claims regarding import data and market impact. Key findings include:

Volume of Imports: Significant increases in imports from China, approximately 37,000 MT, were noted, which contributed to a decline in imports from other major suppliers by 31,000 MT. This substantial influx affected market prices and domestic industry performance.

Price Analysis: The DGTR found that Chinese imports were priced significantly lower than those from Taiwan, Korea, the USA, and the Netherlands, putting downward pressure on market prices and harming domestic producers.

Domestic Industry Impact: The domestic industry faced reduced production capacity and profitability, with increased costs and decreased sales attributed to the influx of dumped imports. Employment and productivity also suffered.

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The Authority reviewed post-disclosure submissions, addressing new concerns and verifying that data exclusion or inconsistencies did not impact the investigation’s integrity. It was concluded that the focus on Chinese imports was sufficient given their substantial market influence.

The recommendation includes applying the lesser duty rule to ensure that the anti-dumping duty is aligned with the margin of injury to the domestic industry. The final duty rates, detailed in the accompanying duty table, will be enforced for five years following the Central Government‘s notification. The duty table released by the DGTR is as follows :

Duty Table

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