Product Description- The product under considerationis2-Ethyl Hexanol (2-EH).

HS Codes – The product is classified under Chapter 29 of the Customs Tariff Act, 1975 and is imported under 29051620.

Countries involved- European Union, Indonesia, Korea RP, Malaysia, Taiwan and United States of America

Applicant – The Andhra Petrochemicals Limited

Period of investigation – 1^st April 2024 to 31^st March 2025.

Injury period –2021-22, 2022-23, 2023-24 and the period of investigation

Margins and recommended Duties:

Key findings:

1. The product under consideration is “2-Ethyl Hexanol.” It is a basic organic chemical. The scope of the product remains the same as defined in the original investigation.
2. The application was filed by Andhra Petrochemicals Limited. Other producers have neither supported nor opposed the investigation. The domestic industry accounts for a major proportion of total Indian production.
3. The dumping margin for Nan-Ya Plastics Corporation is in the range of 0-10%, while for BASF Petronas Chemicals Sdn. Bhd., Malaysia, it is in the range of 10-20%.
4. Imports from the subject countries continued to be dumped in the Indian market. PT Petro Oxo Nusantara, Indonesia, exported in the past but did not export during the period of investigation.
5. Subject imports increased by three times in the period of investigation as compared to the base year.
6. Over the injury period, raw material costs increased, while import prices declined.
7. Despite having sufficient raw material stocks, the domestic industry did not undertake production. The absence of production was the presence of low-priced imports from the subject countries. As the domestic industry was unable to realize reasonable prices, it decided not to produce the product.
8. Despite an increase in demand, the capacity utilization of the domestic industry declined. The operating rate in the past was significantly higher than during the period of investigation.
9. The domestic industry suffered financial losses, cash losses, and a negative return on capital employed during the period of investigation.
10. A significant share of capacity in the subject countries is being utilized for export purposes.
11. Due to significant capacity additions in China, the participating producers lost a substantial export market to China.
12. Significant exports to third countries by producers from the subject countries are made at dumped and injurious prices.
13. The anti-dumping duty constitutes only 1-4% of the landed price. Thus, the impact of continuing the anti-dumping duty on downstream industries is less than 1%.
14. The existence of a demand-supply gap does not justify the dumping of the product in the Indian market.