Updates

Final finding issued in Anti-dumping investigation concerning imports of “Vitamin C” originating in or exported from China PR (03.09.2021)

Product description – Vitamin C also known as ascorbic acid, L-Xyloascorbic Acid, 3-oxo L-Gulofuranolactone (enol form), L-3 Ketothreohexuronic Acid Lactone etc., as described under entry number ‘867 of Merck Index’. It is primarily used by the pharmaceutical’s companies for production of various medicines. The scope is only Vitamin-C in bulk drug form, and not the formulation.

HS Code- 2936270

Uses- Vitamin-C is primarily used by the pharmaceutical’s companies for production of various medicines. The product has uses also in non- pharmaceutical industry. It is an essential nutrient involved in the repair of tissue and the en4tmatic production of certain neurotransmitters found in various foods. It is required for the functioning of several enzymes and is important for immune system function. lt also functions as an antioxidant’

Country Involved – China PR

Applicant – M/s. Bajaj Healthcare Limited

Period of Investigation- 1st April 2019 – 31st March 2020 (12 months)

Injury period – 1st April 2016 – 31st March 2017, 1st April 2017 – 31st March 2018, 1st April 2018 – 31st March 2019

Margins and proposed duty –

Country Producers Dumping Margin (Range) Injury Margin (Range) Proposed Duty (USD/Kg)
China PR M/s CSPC Weisheng Pharmaceutical (Shijiazhuang) Co., Ltd. 110-120 90-100 3.20
  Others 120-130 120-130 3.55

Past investigations involving the product- The product was earlier subjected to anti-dumping duty. The duty was first imposed in 1998 and it lapsed on 5th August 2020. Anti-dumping Case initiated on imports of Vitamin C from China and Japan and the Duty of Rs.27.59 Rs/Kg and Rs.61.96 Rs/Kg on imports from Japan and China respectively imposed vide custom notification no.53/98-Cns dt 24.07.1998. Based on final findings dt 31.7.2023 of SSR-1 investigation, ADD continued on imports from China only @ 10.11 USD/kg for 5 years and further extended for 1 year (till 23.10.2009). Based on final findings dt 21.5.2009 of SSR-2 investigation, ADD continued on imports from China only @ 3.99 USD/kg for 5 years and further extended for 1 year (till 15.06.2015). Based on final findings dt 10.6.2015 of SSR-3 investigation, ADD continued on imports from China only @ 3.74 USD/kg for additional 5 years.

Facts of present case-

  1. Considering the normal value and export price for subject goods, the dumping margins determined, are significant.
  2. The volume of dumped imports from subject country remains significant in absolute and in relative terms to production and consumption. Imports are entering the market at price below the level of selling price, non-injurious price and even cost of sales.
  3. The domestic industry has suffered material injury. The production and capacity utilization increased; however, the domestic sales have declined. Inventory level has increased. The performance of the Domestic Industry has significantly deteriorated in respect of profits, cash profits and return on capital employed in the period of investigation.
  4. The material injury suffered by the domestic industry has been caused by the dumped imports.
  5. Non-imposition of anti-dumping duty will adversely impact the indigenous production of the product concerned.
  6. The impact of antidumping duty is miniscule to the consumers of the product under consideration, the imposition of anti-dumping duty will be in public interest.
  7. The imports from China have continued in significant volumes over the entire duration of duty, which establishes that the existence of ADD has not resulted in absence of imports from China in the market, or absence of competition to the domestic industry from Chinese imports.
  8. The past successive investigations found that that domestic industry has suffered continued injury. The landed price of imports has been consistently and materially below cost of sales, selling price and non-injurious price of the domestic industry.