India launches anti-dumping investigation into LNG fuel tank imports from China

Last updated:Dec 26, 2024 3:51 PM IST

Inox India Ltd has filed an application for imposition of anti-dumping duty, saying the cheap imports were causing significant harm to the domestic industry.

If the dumping is found to have caused significant harm to domestic market participants, the DGTR would recommend the imposition of an anti-dumping duty on these imports.

India has launched an investigation into alleged unloading of LNG fuel tanks from China following a complaint from a domestic actor, according to a Commerce Ministry notification. The Commerce Ministry’s investigation arm, Directorate General of Trade Remedies (DGTR), is probing the dumping of liquefied natural gas (LNG) fuel tanks as imports are said to be hurting the domestic industry’s margins.

Inox India Ltd has filed an application for imposition of anti-dumping duty, saying the cheap imports were causing significant harm to the domestic industry.

The tanks are used to contain and transport methane gas in large vehicles such as trucks.

“Based on the duly substantiated written request of the domestic industry and having been satisfied on the basis of the prima facie evidence of dumping of the subject products submitted by the domestic industry, the Authority hereby initiates an anti-dumping investigation,” the DGTR said in a statement message said.

If the dumping is found to have caused significant harm to domestic market participants, the DGTR would recommend the imposition of an anti-dumping duty on these imports. The final decision on the introduction of tariffs is made by the Ministry of Finance.

Countries conduct anti-dumping investigations to determine whether domestic industries have been harmed by the surge in cheap imports.

In response, they impose these tariffs under the multilateral regime of the Geneva-based World Trade Organization (WTO). The aim of the duty is to ensure fair trade practices and create a level playing field for domestic producers compared to foreign producers and exporters.

India has already imposed anti-dumping duties on several products to combat cheap imports from various countries, including China.

Imports of these tanks amounted to $93.6 million in 2023-24. It was $42.7 million in April-October this fiscal and $84.7 million in 2022-23.

(This story has not been edited by News18 staff and is published from a syndicated news agency feed – PTI.)