Anti-dumping Duty on imports of Peroxosulphates (Persulphates) originating in or exported from China PR and USA (24.09.21)

Product description – The product under consideration (PUC) is Peroxosulphates commonly known as Persulphates. Persulphates are a group of closely related compounds. These are produced as Alkali Metal Salts which include Ammonium Persulphates (APS), Potassium Persulphates (PPS), and Sodium Persulphates  (SPS).

HS Codes – The product is classified under chapter 28 of the Customs Tariff Act, 1975 under the subheadings 2833 40 and 283340 00. The customs classification is indicative only and in no way binding on the scope of the present investigation.

Uses – The three types of persulphates have the same end-uses as an initiator and oxidizing agent in the textile and chemical industries and one can be substituted for another.

Countries involved – China PR & USA

Applicants – M/s. UI VR Pvt. Ltd. and M/s. Calibre Chemicals Pvt. Ltd.

Date of Initiation – 28th September, 2020

Period of Investigation – April 2019 to March 2020 (12 months)

Injury Period – 2016-17, 2017-18, 2018 –19 and the period of investigation

Dumping margin, Injury Margin & Proposed Duty – The following exporter specific dumping margin, injury margin and proposed duty has been determined by the Designated Authority. 

Country Dumping Margin Range Injury Margin Range Proposed Duty  
China PR 60-70% 0-10% APS – 19 USD/MT SPS – 201 USD/MT PPS – 32 USD/MT
USA 80-90% 0-10% APS – Nil SPS – 344 USD/MT PPS – 100 USD/MT

Key findings –

  1. The volume of the dumped imports from the subject countries has increased in both absolute and relative terms. The volume of the subject goods has increased by more than 100% in the POI on absolute terms.
  2. The imports from the subject countries are undercutting the prices of the domestic industry, and the margin of price undercutting is around 15-25 percent for USA and around 40-50 percent for China PR. The imports of subject goods from the subject countries are suppressing the prices of the domestic industry.
  3. The market share of domestic industry has been in the similar range, despite the capacity increase and increase in the demand.
  4. The performance of the domestic industry  has deteriorated in respect of the profits and the return on the capital employed. The profitability has declined steeply in the POI. The cash profit, PBIT and ROI have increased till 2017-18 and declined in 2018-19 with a marginal increase in the POI.
  5. None of the users have provided relevant quantified information and have not established the impact of the ADD on the user industry with verifiable information.
  6. Non-imposition of the anti-dumping duty will adversely impact the indigenous production of the product concerned and the fact that the impact of the antidumping duty is miniscule to the consumers of the product under consideration.
  7. The imposition of anti-dumping duty will be in public interest.