Government may impose antidumping duty on plastic processing machine
NEW DELHI: The government is expected to impose anti-dumping duty of up to 44.7 per cent on imports of certain kinds of plastic processing machines from four countries, including Vietnam, Malaysia and the Philippines.
The move is aimed at protecting the domestic industry from cheap in-bound shipments from these countries.
The Directorate General of Anti-dumping and Allied Duties (DGAD) during its investigation has concluded that the ‘Plastic Processing Machines or Injection Moulding Machines‘ are entering the Indian market from these countries at ” dumped prices” and performance of the domestic industry has deteriorated due to that.
The injury suffered by the domestic industry is significant and material, DGAD said in a notification.
“Accordingly, anti-dumping duty as a percentage of the landed value of the goods…is recommended to be imposed on all imports of the products originating in or exported from these four nations for a period of five years,” it added.
The restrictive duty recommended was in the range of 6.06 per cent to 44.74 per cent. While DGAD recommends the duty, the Finance Ministry imposes it.
Countries start anti-dumping probes to determine whether their domestic industries have been hurt because of a surge in cheap imports. As a counter-measure, they impose duties under the multilateral regime of WTO.
The duty is aimed at ensuring fair trading practices and creating a level-playing field for domestic producers vis-a-vis foreign producers and exporters.
India has already imposed an anti-dumping duty on several products to tackle cheap imports from countries, including China.