Product Description – The product under consideration is “Acetone”. It is also known as dimethyl ketone.

HS Codes – 29141100

Uses – The product under consideration is used in numerous organic syntheses either as solvent or as an intermediate.

Countries Involved – Republic of Singapore, the Republic of Korea, Taiwan and the Kingdom of Thailand

Applicants – Deepak Phenolics Limited (DPL) and Hindustan Organic Chemicals Limited (HOCL).

Period of Investigation – 01^st January 2025 to 31^st December 2025 (12 months).

Injury Period – 2022-23, 2023-24, 2024-25 and the period of investigation.

Normal Value – The Authority has determined the normal value based on the ICIS price bulletin. The ICIS prices being CFR prices, relevant adjustments have been made to the CFR prices to determine ex-factory prices.

Export Price – The Authority has determined the export price considering the CIF price of the product under consideration as reported in DG System data. Adjustments have been made for ocean freight, marine insurance, handling charges, port handling charges, commission and credit cost.

Dumping Margin – The normal value and the export price have been compared at ex-factory level, which prima facie shows that the dumping margin is above the de-minimis level and is significant.

Facts of the Present Case – The present application was filed by Deepak Phenolics Limited (DPL) and Hindustan Organic Chemicals Limited (HOCL). The applicants have submitted that they were suffering material injury due to significant increase in the volume of subject imports. The import volume in absolute and relative terms declines in the period of investigation because of the applicants sacrificing on profitability. The weighted average price undercutting is positive in the period of investigation. The landed price remained below the cost of sales and selling price in the period of investigation. Production, capacity utilization and domestic sales of the applicant have improved over the injury period because of the continuous nature of the applicants’ production process. Since the applicants were able to earn positive contribution, they have continued to produce and sell in the domestic market. The market share of the applicants marginally declined till 2024-25 but has marginally increased in the period of investigation. The inventory with the applicants has declined over the injury period. There is a demand and supply gap in the country with a scope for investment. However, the losses do not justify any investment in the business. The dumping margin is above de minimis and significant.