Anti-Dumping & Safeguard Duty Advisory

Anti-dumping duties are levied under Section 9A of the Customs Tariff Act, 1975 read with the Customs Tariff (Identification, Assessment and Collection of Anti-Dumping Duty on Dumped Articles and for Determination of Injury) Rules, 1995 (the AD Rules). The Directorate General of Trade Remedies (DGTR) conducts the investigation and issues its findings; the Ministry of Finance issues the final duty notification under Section 9A(1).

A petition under Rule 5 of the AD Rules can be filed by a domestic industry — defined as producers accounting for at least 25% of total domestic production of the like article. The petition must include evidence of a positive dumping margin (Normal Value minus Export Price), material injury or threat thereof to the domestic industry, and a causal link between the two, supported by cost data, production volumes, and injury indicators prescribed in Annexure II of the AD Rules.

The dumping margin is the amount by which the Normal Value (the price at which the article is sold in the ordinary course of trade in the exporting country, or the constructed value under Rule 2(g)) exceeds the Export Price (CIF price less post-importation costs and adjustments under Rule 2(b)). A dumping margin below 2% of the export price is treated as de minimis under Rule 14 and no duty is recommended.

Yes. Under Rule 6 of the AD Rules, all interested parties — including importers, exporters, and foreign producers — may file written submissions, respond to DGTR questionnaires, and appear at public hearings. Product exclusion requests (for specific grades, end-uses, or applications not competing with the domestically produced like article) are assessed by the DGTR under its published Product Exclusion guidelines and must be submitted before the investigation is closed.

An anti-dumping duty under Section 9A is valid for five years from the date of the Ministry of Finance notification. A Sunset Review under Rule 23 of the AD Rules must be initiated before expiry to determine whether cessation of the duty would likely lead to recurrence of dumping and injury. An Interim (Mid-term) Review under Rule 22 can be initiated at any time if there has been a material change in circumstances, such as a significant change in the export price, normal value, or injury indicators.