Anti-dumping duty on the imports of Carbon Black used in rubber applications, originating in or exported from Australia, China PR, Russia and Thailand

The government has imposed anti-dumping duty of up to Rs 20 ($0.423) per kg on imports of carbon black used by the rubber industry to guard domestic players from cheap shipments from China, Australia, Thailand and Russia. The duty ranges from $0.084 (about Rs 4) per kg to $0.423 (about Rs 20) per kg, Central Board of Customs and Excise (CBEC) said in a notification.

After reaching the conclusion, “the domestic industry has suffered material injury,” Directorate General of Anti-dumping and Allied Duties (DGAD), the nodal agency under the Commerce Ministry, recommended this duty.

CBEC said China, Australia, Thailand and Russia have been exporting carbon black to India below their normal value. The anti-dumping duty would be effective for a period of five years, it said.

The government in the past has imposed anti-dumping duties on several products, including yarns, fabrics, colour picture tubes, some aluminium products and chemicals from various other markets.

Unlike safeguard duties, levied in a uniform way, anti-dumping duty varies from product to product and country to country.

The purpose of anti-dumping duties is to counteract trade distortions due to cheap imports and the consequential injury to the domestic industry.

It is not a measure to restrict imports or cause unjustified increase in cost of the products.

Notification No. 06/2010-Customs –  New Delhi, the 28th January, 2010

G.S.R. (E). – Whereas, in the matter of import of Carbon Black used in rubber applications (hereinafter referred to as the subject goods), falling under sub heading 2803 00 10 of the First Schedule to the Customs Tariff Act, 1975 (51 of 1975) (hereinafter referred to as the said Customs Tariff Act), originating in, or exported from, Australia, China PR, Russia and Thailand (hereinafter referred to as the subject countries) and imported into India, the designated authority in its preliminary findings vide notification No. 14/21/2008-DGAD, dated the 25th May, 2009, published in the Gazette of India, Extraordinary, Part I, Section 1, dated the 25th May, 2009, had come to the conclusion that-

(a) the subject goods had been exported to India from the subject countries below their normal value;

(b) the domestic industry had suffered material injury; and

(c) the injury had been caused by the dumped imports from subject countries;

and had recommended imposition of provisional anti-dumping duty on the imports of subject goods, originating in or exported from, the subject countries;

And whereas, on the basis of the aforesaid findings of the designated authority, the Central Government had imposed provisional anti-dumping duty on the subject goods vide notification of the Government of India in the Ministry of Finance (Department of Revenue), No. 83/2009-Customs, dated 30th July, 2009, published in the Gazette of India Extraordinary, Part II, Section 3, Sub-section (i) vide number G.S.R.558 (E), dated the 30th July, 2009;

And whereas, the designated authority in its final findings vide notification No. 14/21/2008-DGAD dated 24th December 2009, published in the Gazette of India, Extraordinary, Part I, Section 1, dated the 24th December 2009, had come to the conclusion that-

(a) the subject goods had been exported to India from the subject countries below associated Normal values, thus resulting in dumping of the subject goods;

(b) the domestic industry had suffered material injury in respect of the subject goods. Besides, there was a case of threat of material injury to the domestic industry as well; and

(c) the material injury and threat thereof had been caused by the dumped imports from subject countries;

and had recommended the imposition of definitive anti-dumping duty on imports of the subject goods originating in, or exported, from the subject countries;

Now, therefore, in exercise of the powers conferred by sub-section (1), read with sub-section (5) of section 9A of the said Customs Tariff Act and rules 18 and 20 of the Customs Tariff (Identification, Assessment and Collection of Anti-dumping Duty on Dumped Articles and for Determination of Injury) Rules, 1995, and in supersession of the notification of the Government of India in the Ministry of Finance (Department of Revenue), No.83/2009-Customs, dated the 30th July, 2009, vide number G.S.R 558(E), dated the 30th July, 2009,except as respects things done or omitted to be done before such supersession, the Central Government, on the basis of the aforesaid final findings of the designated authority, hereby imposes on the subject goods, the description of which is specified in column (3) of the Table below, falling under sub heading of the First Schedule to the said Customs Tariff Act as specified in the corresponding entry in column (2), originating in the country as specified in the corresponding entry in column (4), and produced by the producers as specified in the corresponding entry in column (6), when exported from the country as specified in the corresponding entry in column (5), by the exporters as specified in the corresponding entry in column (7), and imported into India, an anti-dumping duty at the rate equal to the amount indicated in the corresponding entry in column (8), in the currency as specified in the corresponding entry in column (10) and per unit of measurement as specified in the corresponding entry in column (9), of the said Table.

Table

*Note: – Thermal Black and Carbon black grades meant for semi conductive compound applications are excluded from the scope of the product under consideration.

2. The anti-dumping duty imposed shall be levied for a period of five years (unless revoked, superseded or amended earlier) from the date of imposition of the provisional anti-dumping duty, that is, 30th July,2009 and shall be payable in Indian currency.

Explanation: For the purposes of this notification, rate of exchange applicable for the purposes of calculation of such anti-dumping duty shall be the rate which is specified in the notification of the Government of India, in the Ministry of Finance (Department of Revenue), issued from time to time, in exercise of the powers conferred by Section 14 of the Customs Act 1962, (52 of 1962), and the relevant date for the determination of the rate of exchange shall be the date of presentation of the bill of entry under section 46 of the said Customs Act.

[F.No.354/130/2009 –TRU]

(Prashant Kumar)

Under Secretary to the Government of India.