Reasons should be recorded by Central Government on non-imposing anti-dumping duty despite recommendation by Designated Authority: CESTAT [Read Order]

Central Government - anti-dumping duty - Designated Authority - CESTAT - Customs - Excise - Service Tax - taxscan

The New Delhi Bench of the Customs, Excise and Service Tax Appellate Tribunal (CESTAT), ruled that Reasons should be recorded by Central Government on non-imposing anti-dumping duty despite recommendation by Designated Authority.

The main grievance of the appellant, M/s Indian Steel Association which is an Association of Indian Steel producer in India, is that despite the recommendation made by the designated authority in the final finding pursuant to the sunset review investigation that was initiated for imposition of anti-dumping duty on imports of colour coated/pre-painted flat products of alloy or non-alloy steel originated in or exported from China PR and European Union , the Central Government did not issue a notification for imposition of anti-dumping duty though three months expired from the date of publication of final finding.

The final findings were issued by the Designated Authority and a recommendation was made to the Central Government for imposition of anti-dumping duty on the imports of the subject goods from the subject countries. On the basis of the said final findings of the Central Government issued a notification imposing anti-dumping duty for a period of 5 years w.e.f. 11.01.2017.

The Central Government did not issue any notification within a period of three months from the date of recommendation made by the designated authority for imposition of anti-dumping duty on the imports of the subject goods from the subject countries.

On the other hand, the Central Government issued a notification rescinding the notification earlier issued by the Central Government for imposition of anti-dumping duty.

In Apcotex Industries and Chemical and Petrochemicals it was held that reasons have to be recorded by the Central Government when it proceeds to form an opinion not to impose any anti-dumping duty despite a positive recommendation made by the designated authority in the final findings for imposition of anti-dumping duty.

A Three Member Bench of the Tribunal comprising Justice Dilip Gupta, President, P V Subba Rao, Technical Member and Dr Rachna Gupta, Judicial Member observed that “The matter is remitted to the Central Government for taking a decision on the recommendation made by the designated authority in the light of the decisions of the Tribunal in Apcotex Industries and Chemical and Petrochemicals.”

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