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India To Impose Anti-dumping Duties On Chinese Ceramic Tiles

by Mary Swire, Tax-News.com, Hong Kong

07 May 2009

In yet another protectionist move and in total disregard of world-wide calls for trade restraint, India may impose provisional anti-dumping duty of INR137 per square meter on ceramic glazed tiles imported from China to protect the domestic industry.

The Directorate General of Anti-Dumping and Allied Duties (DGAD) has recommended to the Commerce Ministry that the duty be imposed on imports of glazed ceramic tiles (other than vitrified). H&R Johnson and Kajaria Ceramics Ltd, who together were deemed to constitute 100% of domestic production, filed the petition for imposing anti-dumping duty, despite an increase in their sales of 17% during the period under investigation and submissions that they had been unable to keep up with demand.

Astonishingly, the applicants were able to persuade the DGAD that they had suffered material injury because of a reduction of their market share from 66% to 44% and a squeeze on their profit margins after a reduction in the market price.

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