Initiation of sunset review investigation concerning imports of Chlorinated Polyvinyl Chloride (CPVC)- Whether or not further processed into compound from China PR and Korea RP. (29.12.2023)

Product description – The product under consideration is “Chlorinated Polyvinyl Chloride – whether or not further processed into compound (CPVC)”.

HS Codes – The product is classified under 39049010 and 39049090. However, the product is also imported under 39041010, 39041020, 39041090, 39042100, 39042200, 39045090, 39044000, 39043090, 39046990 and 39049000.

Uses – Mainly used as a material for water piping systems in residential and commercial construction, hot and cold-water plumbing distribution both at residential and commercial areas, fire protection, reclaimed water piping, hydronic piping and distribution and is used in many industrial piping applications.

Countries involved – China PR and Korea RP

Applicant – DCW Limited

Period of investigation – 1st July 2022 to 30th July 2023 (12 months)

Injury period –2019-20, 2020-21, April 2021 – June 2022 and the period of investigation.

Past investigations involving the product – The original anti-dumping duties on imports of the product from the subject countries was levied in 2020. Duties are set to expire on 25th August 2024.

Facts of the present case –  The applicant contends that, due to the benchmark form of measures in force and the significant difference in import prices between duty-free and duty-paid categories, analysing the likelihood of dumping and injury based on the weighted average is not appropriate. After a thorough examination, the Authority has found prima facie evidence substantiating the likelihood of dumping and injury to the domestic industry. This is attributed to surplus capacities in the subject countries, further capacity expansion, freely disposable capacities, export orientation of producers from the subject countries, dumping in third countries, price attractiveness, and significant differences in the prices of duty-free and duty-paid imports. The duty-free imports have established that in the event of cessation of duties, there is a likelihood of significant cost and price undercutting, and significant dumping and injury margin. The information provided by the applicant, prima facie, indicates a likelihood of dumping and injury in the case of the cessation of the anti-dumping duty.