India launches anti-dumping probe on polyethylene imports from six nations
India’s Directorate General of Trade Remedies has initiated an anti-dumping probe into polyethylene imports from six countries after a domestic industry complaint. The investigation could lead to duties if material injury from cheap imports is established, per WTO rules
New Delhi:The commerce ministry’s arm, the Directorate General of Trade Remedies (DGTR), has initiated an anti-dumping investigation into the import of polyethylene from Kuwait, Malaysia, Oman, Qatar, Saudi Arabia, and the UAE, following a complaint by the Chemicals and Petrochemicals Association of India.
The applicant has alleged that the domestic industry is being impacted due to the dumped imports of Linear Low-Density Polyethylene (LLDPE), which is primarily used as a raw material in the plastic processing industry to manufacture a variety of products such as packaging films, profiles, and wires and cables.
According to the DGTR’s notification, the applicant has submitted sufficient evidence regarding the injury suffered by the domestic industry due to dumped imports. “The authority hereby initiates an anti-dumping investigation to determine the existence, degree, and effect of the dumping,” the notification said.
If the probe establishes that the dumping has caused material injury to domestic players, the DGTR may recommend the imposition of anti-dumping duties on the imports.
The final decision to impose the duty lies with the finance ministry. Anti-dumping investigations are conducted by countries to determine whether domestic industries have been harmed due to a surge in cheap imports.
As a countermeasure, such duties are imposed under the multilateral trade rules of the Geneva-based World Trade Organization (WTO). The purpose of the duty is to ensure fair trading practices and create a level playing field for domestic producers vis-à-vis foreign producers and exporters.
India and the six countries under investigation are all members of the WTO. India has already imposed anti-dumping duties on several products in the past to curb cheap imports, including those from China.
