The commerce ministry has initiated a review to see whether there is a need for continuation of existing anti-dumping duty imposed on the import of certain auto components from China. Local company Bharat Forge Ltd has lodged a complaint with the ministry's investigation arm the Directorate General of Trade Remedies (DGTR) for the review of the duties on imports of front axle beam and steering knuckles, used in heavy and medium commercial vehicles, from China.
Bharat Forge Ltd has requested for continuation of the anti-dumping duty imposed on the product coming from China. According to a notification of the directorate, the applicant has alleged likelihood of continuation or recurrence of dumping of the goods from China and consequent injury to the domestic industry.
India on April 12, 2010 imposed the duty for five years.The duty was again extended for another five years in October 2015 after the first sunset review. The current anti-dumping duties are valid up to October 20, 2020.
It has said that there is "sufficient prima facie evidence" that the normal value of the goods in China is higher than the ex-factory export price, "indicating, prima facie, that the subject goods are being dumped into the Indian market by the exporters" from China. "For the purpose of this investigation, China is the subject country...the period of investigation will be from April 1, 2019 to March 31, 2020. The injury investigation period will cover the periods April 1, 2016 to March 31 2019," it added.
Countries initiate anti-dumping probes to check if domestic industry has been hurt because of a surge in below-cost imports. As a counter-measure, they impose duties under the multilateral WTO regime.