India has begun an anti-dumping investigation into the imports of Chinese elevator guide rails after receiving a complaint from a local manufacturer.
The duty is designed to shield the domestic industry from inexpensive imports.
The Directorate General of Trade Remedies, an investigative branch of the commerce ministry, is conducting an inquiry into the supposed dumping of 'T-Shaped Elevator/Lift Guide Rails and Counterweight Guide Rails' originating from China.
The move came after Savera India Riding Systems Co. filed an application for the initiation of an investigation.
The applicant has alleged that material injury is being caused to the domestic industry due to the alleged dumped imports and has requested for the imposition of anti-dumping duties.
"On the basis of the duly substantiated written application submitted by the domestic industry and having reached satisfaction based on the prima facie evidence submitted by the industry concerning the dumping of the product... the Authority, hereby, initiates an anti-dumping investigation," the DGTR has said in a notification.
If it's established that the dumping has caused material injury to domestic players, the DGTR would recommend the imposition of anti-dumping duty on these imports. The finance ministry takes the final decision to impose duties.
Anti-dumping probes are conducted by countries to determine whether domestic industries have been hurt because of a surge in cheap imports.
As a countermeasure, they impose these duties under the multilateral regime of the Geneva-based World Trade Organisation. 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 anti-dumping duty on several products to tackle cheap imports from various countries, including China.
(With Inputs From PTI.)
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