India Investigates Anti-Dumping on Steel Imports from Vietnam

New Delhi, Aug 16 (PTI) India has initiated an anti-dumping probe into the import of hot rolled steel products from Vietnam following a complaint by a domestic manufacturer.

The commerce ministry's investigation arm Directorate General of Trade Remedies (DGTR) is probing the alleged dumping of 'hot rolled flat products of alloy or non-alloy steel'.

According to the DGTR notification, Indian Steel Association has filed an application on behalf of domestic producers - JSW Steel Ltd and ArcelorMittal Nippon Steel India Ltd - seeking initiation of an anti-dumping investigation on imports from Vietnam.

The applicants have alleged that the product is being imported at dumped prices which is causing material injury to the domestic industry.

They have also alleged that there is a further threat of injury to the domestic industry due to dumped imports and have requested for imposition of anti-dumping duty.

It said that on the basis of the duly substantiated written application submitted by the domestic industry, the authority notes that there is prima facie evidence concerning the dumping of the product under consideration originating in or exported from the subject country and the consequential injury and threat of injury to the domestic industry.

"The authority hereby initiates an anti-dumping investigation," the notification said, adding that applicants have requested for retrospective imposition of the duty as there is a clear history of dumping of the item in the country.

For the investigation period, the directorate will consider the import data from April 2020 to March 2023.

If it is established that the dumping has caused material injury to domestic players, the DGTR would recommend the imposition of anti-dumping duty on imports.

The finance ministry takes the final decision to impose duties.

Anti-dumping probes are conducted by countries to determine whether domestic industries have been hurt because of a surge in cheap imports.

As a countermeasure, they impose these duties under the multilateral regime of Geneva-based World Trade Organization (WTO). The duty is aimed at ensuring fair trading practices and creating a level-playing field for domestic producers vis-a-vis foreign producers and exporters.

India and Vietnam are members of the WTO, which is a 166-member multilateral trade body. India also has a free trade agreement with the 10-nation block ASEAN (Association of SouthEast Asian Nations) since January 2010. Vietnam is a member of the block.

The bilateral trade between two countries was USD 14.81 billion in 2023-24 as against USD 14.7 billion in 2022-23. While India's exports stood at USD 5.47 billion, imports were USD 9.34 billion in the last fiscal, leaving a trade deficit of USD 3.87 billion in favour of Vietnam.