Product description – The product under consideration is Flax Fabric having Flax content more than 50% originating in or exported from China PR and Hong Kong.
HS Codes – This product is classified under Customs Tariff Chapter 53 at subheading 53.09.
Uses – Product under consideration is made from cellulosic plant called flax, grown in Northern European countries mainly in France and Belgium. These fibers are then converted to linen yarn through wet spinning process, which is unique to any other spinning process. This linen yam is used as grey or dyed as required for weaving. After weaving it is processed and finished and sold in the market.
Country involved – China PR and Hong Kong
Applicants – M/s Grasim Industries Limited-Jaya Shree Textiles. The production of the applicant petitioner along with the supporters is well above 50% of the total Indian production.
Date of imposition of duty – The duties against the subject imports were levied vide Notification No. 142/2O09-Customs (ADD) 21st December 2009. Further, following the first sunset review, duties were recommended and imposed vide Notification 39/2015 – Customs/dated 12th August, 2015 and the same was extended till 11/11/2020 pursuant to the second sunset review vide Customs Notification No. 23/2020-Customs (ADD) dated 11/8/2020.
Date of initiation – 23rd December, 2019
Period of investigation – April 2018 to June 2019
Injury period – 2015-16, 2016-17, 2017-18 and the period of investigation.
Margins and proposed duty –
|Producer||Dumping margin Range||Injury Margin Range||Proposed Duty (US$/MT)|
Key findings –
- The prices of the subject goods exported from the subject countries are at prices below their normal value, thus resulting in Dumping
- Principal factor affecting domestic prices is the dumped imports of subject goods from the subject countries.
- Dumping margin and injury margin are positive in respect of imports of the product under consideration from the subject countries, thus resulting in continued dumping of subject goods.
- The domestic industry has suffered continued material injury.
- The domestic industry prices are at a price below the Non-Injurious Price of the domestic industry as a result of price undercutting due to the dumped imports.
- In event of cessation of anti-dumping duty undercutting may continue as the producers/exporters in the subject countries are holding significant capacities, thereby leading to intensified imports at a dumped and injurious price, which in tune will lead to the recurrence of injury to the domestic industry.
- The Authority considered it necessary to recommend continuation of definitive ADD on imports of the Subject Goods from the Subject Countries.