JAKARTA (TheInsiderStories) – India has imposed countervailing duty for a period of five years on copper wire rods from Indonesia, Malaysia, Thailand, and Vietnam after concluding a probe that these imports have impacted domestic players, its finance ministry announced on Monday (01/13). The duty imposed was in the range between 2.47 percent and 10.27 percent on the landed value of the product in India.
In a notification, the finance ministry said that it has imposed the anti-subsidy or countervailing duty after considering the final findings of the commerce ministry’s investigating arm Directorate General of Trade Remedies (DGTR).
DGTR has recommended the imposition of the duty on the imports of ‘continuous cast copper wire rods’ from these four countries. In its probe, the DGTR had concluded that the products have been exported to India from these countries at subsidized prices.
“The countervailing duty imposed under this notification shall be levied for a period of five years (unless revoked, superseded or amended earlier),” the notification said.
DGTR started a probe into alleged subsidization of exports of ‘continuous cast copper wire rods’ by these four countries in September last year. Hindalco IndustriesNSE -0.14 percent and Vedanta Industries (Sterlite Copper) had filed an application on behalf of the domestic industry before the DGTR alleging subsidization of the products from these four nations and requested the initiation of an anti-subsidy investigation.
It had stated that the domestic industry has suffered material injury due to subsidization of the product and the injury has been caused by the subsidized imports of the goods originating in or exported from these countries.
The petitioners had alleged that the producers or exporters of the goods in these countries have benefitted from the “actionable subsidies” provided at various levels by the governments of these countries.
Countervailing or anti-subsidy duty is a country-specific duty that is imposed to safeguard the domestic industry against unfair trade subsidies provided by the local governments of the exporting nations.
Written by Lexy Nantu, Email: email@example.com