New Delhi, Commerce Ministry's investigation arm DGTR has recommended continuation of countervailing or anti-subsidy duty on welded stainless steel pipes and tubes from China and Vietnam to protect domestic players.
The Directorate General of Trade Remedies (DGTR) has said in a notification that the domestic industry is likely to suffer injury in the event of abolition of the current countervailing duty on imports from these two countries.
"The Authority has come to the conclusion that there is a need for further extension of duty imposed on the subject matter...the Authority recommends extension of countervailing duty on imports of the product under consideration," the DGTR said.
The directorate has recommended imposing duty on the product up to 29.88 percent.
The final decision to impose this fee is taken by the Finance Ministry.
In its investigation, the DGTR has concluded that in the event of cessation of anti-subsidy duty, the domestic industry is likely to suffer financial loss.
Chinese producers have excess product capacity and demand for stainless steel in China has declined.
"After phasing out the duties, the excess capacities of Chinese producers are likely to be utilized for exporting the subject goods to India," it said.
Domestic players had filed the application in July 2023 seeking initiation of review of anti-subsidy duties imposed earlier and continuation of duties against imports of welded stainless steel tubes and pipes from China and Vietnam.
The Revenue Department had imposed the fee in September 2019.
Subsidized exports affect the price of that product in the importing country, which affects the margins and profits of manufacturing companies.
As per global trade norms, a country is allowed to impose countervailing or anti-subsidy duties on such imports to provide a level playing field to the domestic industry.
The Directorate General of Trade Remedies (DGTR) has said in a notification that the domestic industry is likely to suffer injury in the event of abolition of the current countervailing duty on imports from these two countries.
"The Authority has come to the conclusion that there is a need for further extension of duty imposed on the subject matter...the Authority recommends extension of countervailing duty on imports of the product under consideration," the DGTR said.
The directorate has recommended imposing duty on the product up to 29.88 percent.
The final decision to impose this fee is taken by the Finance Ministry.
In its investigation, the DGTR has concluded that in the event of cessation of anti-subsidy duty, the domestic industry is likely to suffer financial loss.
Chinese producers have excess product capacity and demand for stainless steel in China has declined.
"After phasing out the duties, the excess capacities of Chinese producers are likely to be utilized for exporting the subject goods to India," it said.
Domestic players had filed the application in July 2023 seeking initiation of review of anti-subsidy duties imposed earlier and continuation of duties against imports of welded stainless steel tubes and pipes from China and Vietnam.
The Revenue Department had imposed the fee in September 2019.
Subsidized exports affect the price of that product in the importing country, which affects the margins and profits of manufacturing companies.
As per global trade norms, a country is allowed to impose countervailing or anti-subsidy duties on such imports to provide a level playing field to the domestic industry.
