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DGTR to Impose Anti-Dumping Duty on Chinese Drawer Sliders to Protect MSMEs

Updated: Oct 23, 2024 03:34:37pm
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DGTR to Impose Anti-Dumping Duty on Chinese Drawer Sliders to Protect MSMEs

New Delhi, Oct 23 (KNN) In a significant move to protect domestic micro, small, and medium enterprises (MSMEs) from unfair competition, the Directorate General of Trade Remedies (DGTR), under the commerce ministry, has recommended the imposition of an anti-dumping duty of USD 422 per tonne on imports of ‘Telescopic Channel Drawer Sliders’ from China.

The DGTR’s investigation concluded that these drawer sliders are being exported to India at prices below the normal market value, which constitutes dumping. The imported products are also undercutting the prices offered by domestic manufacturers, the DGTR said in a notification.

“The authority recommends the imposition of anti-dumping duty on the imports,” the DGTR stated, highlighting that these actions are essential to ensure fair trading practices and provide a level playing field for domestic producers.

Interestingly, this investigation was initiated suo-motu by the DGTR, as many MSME units affected by the cheap imports lacked the knowledge or resources to request the probe formally.

Usually, anti-dumping investigations begin following an application from domestic producers. However, the DGTR proactively intervened to protect fragmented industries that were struggling to compete with the influx of cheap products from China.

Imports of these drawer sliders surged from 17,436 tonnes in 2019-20 to 46,276 tonnes in 2022-23, raising alarms about their impact on domestic production.

While the DGTR has recommended the duty, the finance ministry will make the final decision on its imposition. If approved, the duty will align with the broader strategy of using anti-dumping measures as a tool to counter the impact of unfair trade practices and cheap imports.

Anti-dumping measures are governed by the World Trade Organization (WTO), of which India is a member. These duties aim to protect domestic industries from material injury caused by foreign exporters offering products at unreasonably low prices.

India has imposed similar duties on several Chinese products in the past to safeguard various sectors from predatory pricing strategies. The latest recommendation continues India’s broader effort to tackle challenges posed by inexpensive imports and promote sustainable domestic growth.

This move highlights the government's commitment to shielding MSMEs, which form the backbone of India’s economy, from external shocks and fostering a fair trade environment.

(KNN Bureau)

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