Product description – The product under consideration is Normal Butanol. It is a primary alcohol with a 4-carbon structure and molecular formula C4H9OH. NBA is an excellent solvent for acid-curable lacquers and baking finishes derived from urea, melamine or phenolic resins.
HS Codes – The product is classified under Chapter 29 of the Customs Tariff Act, 1975, under sub-heading 2905 13 00.
Uses – A large portion of Normal Butanol is converted into derivatives used as solvents in the coating industry. It also serves as an excellent solvent for acid-curable lacquers and baking finishes derived from urea, melamine, or phenolic resins.
It has various other applications, including use as a solvent for printing inks, an extractant in the production of pharmaceuticals and natural substances, an additive in polishes and cleaners, feedstock for the production of flotation aids such as Butyl Xanthate etc.
Countries involved – Malaysia, South Africa and United States of America
Applicant(s) – The Andhra Petrochemicals Limited
Period of investigation – 1st April 2024 – 31st March 2025
Injury period – 2021-22, 2022-23, 2023-24 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 2016. The duties on the product extended in 2021. Duties are set to expire on 12th April 2026.
Facts of the present case – The Authority has found prima facie evidence of dumping and consequential injury to the domestic industry on account of increase in dumped imports. These imports are undercutting and depressing the prices of the domestic industry leading to financial losses, negative cash profit, negative profit before interest and negative return on capital employed. Further, imports from the subject countries continue to be dumped in the Indian market and in third countries. The injurious exports to other countries, export orientation of producers in the subject countries, offering price below the cost and significant capacity in the subject countries which indicate a likelihood of dumping and consequential injury on cessation of the anti-dumping duty.