Product description – The product under consideration is Epichlorohydrin, abbreviated as ECH.

HS Codes – 2910 30 00.

Uses – ECH is majorly used to make epoxy resins. It is also used in pharmaceutical API, water treatment, paper chemicals, synthetic rubbers, and surfactants and as a strength additive in papers.

Countries Involved – China, Korea RP, and Thailand.

Applicant – Epigral Limited (formerly known as Meghmani Finechem Limited).

Period of investigation – 1^st April 2022 to 31^st March 2023.

Injury period – 2019-20, 2020-21, 2021-22 and the period of investigation.

Margins and recommended duties –

Country	PRODUCERS	Dumping margin	Injury margin	Duty
Thailand	AGC Vinythai Public Company Limited (Formerly known as Advanced Biochemical (Thailand) Co., Ltd.)	10-20%	20-30%	$298/MT
Thailand	Any Other	15-25%	20-30%	$327/MT
Korea RP	Hanwha Solutions Corporation	30-40%	10-20%	$274/MT
Korea RP	Lotte Fine Chemical Co. Ltd	40-50%	20-30%	$506/MT
Korea RP	Any Other	45-55%	25-35%	$557/MT
China	Jiangsu Ruixiang Chemical Co., Ltd.	25-35%	0-10%	$108/MT
China	Ningbo Huanyang New Material Co., Ltd	Negative	Negative	Nil
China	Any other	30-40%	5-15%	$216/MT

Key Findings:

1. The application was filed by the sole producer of ECH in country, that commenced commercial production during the period of investigation.
2. Significant dumping of the subject goods from the subject countries caused material retardation to the establishment of a new industry in the country.
3. Despite the domestic industry commencing production, the volume of imports was the highest during the period of investigation and was higher than the demand-supply gap in the country.
4. India being a key market for the exporters in the subject countries, the imports from these countries were undercutting the domestic prices. Further, the imports prices were lower than the projected prices of the domestic industry. In fact, the imports were priced were lower than raw material costs of the domestic industry.
5. The domestic industry was unable to fully utilize its production capacities and was unable to dispose its production, forcing to shutdown its plant for a long period. as a result, the domestic industry faced significant accumulation of inventories.
6. The domestic industry suffered huge losses and cash losses, as against projected profitability.
7. Other than the application, two other Indian producers are also in the process of setting up production facilities and there is a need to protect current and future investments in the country.
8. There would be not demand-supply gap in the country and presence of three producers in the market would ensure healthy competition.
9. Imposition of duty would not have any adverse impact on the downstream users and public at large.