Final Finding issued recommending continuation of Countervailing Duty imposed on imports of Atrazine Technical originating in or exported from China PR. (14.06.2024)

Product description – Atrazine Technical is a commonly used herbicide and restricted by Central Insecticides Board. It is used mostly at farms on crops and to control the pre and post emergence of broadleaf weeds and grassy weeds on highway and railroad rights-of-way.

HS Codes – 3808 91 99, 3808 93 90 and 3808 99 90

Country Involved – China PR

Applicant – Meghmani Industries Limited

Date of Initiation – 29th December 2023

Period of Investigation – 1st July 2022 to 30th June 2023

Injury Period – 2019-20, 2020-21, 1st April 21 to 30th June 2022 (15 months)

Past investigations involving the product

Countervailing Duty concerning imports of Atrazine Technical from China PR were recommended vide Notification No. 6/19/2018-DGAD, dated 22nd August 2019. These were levied by the Ministry of Finance vide Customs Notification No. 3/2019-Customs (CVD), dated 17th September 2019.

Key Findings

  1. There is a continued and significant subsidisation of subject goods from subject countries and subsidy margin is significant.
  2. The landed price is below the selling price and cost of sales of the domestic industry.
  3. There is no demand-supply gap in the country anymore due to capacity addition and entry of new players in the market.
  4. The subject imports hold for more than one-third of the market despite the existing countervailing duties and significant capacity addition by the domestic industry.
  5. The profitability parameters of the domestic industry have declined during the period of investigation.
  6. The global demand is likely decrease which would lead to an increase in imports from China into India.
  7. The Chinese producers have a capacity higher than the domestic demand in China and are highly export oriented.
  8. In the absence of countervailing duties, the domestic industry is likely to suffer financial losses, cash losses and negative returns on capital employed.
  9. There is no evidence to suggest that the present duties have adversely impacted the downstream users, or that the continuation of duties will have an adverse impact.