Anti-dumping duty likely on import of a chemical from China

NEW DELHI: The government may impose anti-dumping duty of USD 72.95 per tonne on imports of a chemical, used in pharmaceutical and other industries, from China.

In its sunset review of anti-dumping duty imposed on the imports of 'sodium nitrite', the Directorate General of Antidumping and Allied Duties ( DGAD) has concluded that there is "continued dumping" of the chemical from China and it is causing injury to the domestic industry.

Deepak Nitrite Ltd had filed an application with the DGAD for initiating the sunset review.

The DGAD in a notification has stated that "the authority recommends that revised anti-dumping duties be continued to be imposed ... on all imports of sodium nitrite" from China.

While the DGAD, under the commerce ministry, recommends the duty, the finance ministry imposes the same.

The chemical is mostly used in industries including pharmaceutical, dye, lubricants, construction chemicals, meat processing and textiles.

Countries impose anti-dumping duties to guard domestic industry from surge in below-cost imports.

India has also imposed similar duties on import of several other products including steel, fabrics and chemicals from different countries including China.

Anti-dumping steps are taken to ensure fair trade and provide a level-playing field to the domestic industry.

They are not a measure to restrict import or cause an unjustified increase in cost of products.