- Commerce Ministry recommends anti-dumping duty on optical fibre imports from China, Korea, and Indonesia.
- DGTR investigation confirms material injury to domestic industry due to dumped imports.
- Imposition of anti-dumping duties aims to protect domestic industry and maintain fair trade practices.
In a move to safeguard the domestic industry from inexpensive imports, the Directorate General of Trade Remedies (DGTR), an arm of the Indian Commerce Ministry, has recommended the imposition of anti-dumping duties on a specific type of optical fibre imported from China, Korea, and Indonesia. The investigation conducted by DGTR focused on ‘Dispersion Unshifted Single-mode Optical Fiber,' a product widely used in high-data rate, long-distance, and access network transportation.
Domestic Industry's Concerns:
Birla Furukawa Fibre Optics Pvt. Ltd, representing the domestic industry, initiated the anti-dumping investigation. The applicant alleged that the influx of dumped imports was causing significant harm to the domestic industry, compelling them to sell the product below cost, resulting in losses and negatively impacting profitability.
Findings of the Investigation:
Following a comprehensive examination, the DGTR concluded that the domestic industry had indeed suffered material injury due to the dumped imports. The presence of these imports forced the applicant to sell the product below its cost of sales, leading to financial losses and adversely affecting profitability.
Imposing Anti-Dumping Duties:
To alleviate the adverse impact on the domestic industry, the DGTR recommended the imposition of definitive anti-dumping duties. The recommended duty ranges from USD 122 per KFKM (kilometer of fibre) to USD 857.23 per KFKM. The duty will be calculated based on the trading quantity, with 1 KFKM equal to 1,000 FKM.
Protecting the Domestic Industry:
By imposing these duties, the Indian government aims to eliminate the injury caused to the domestic industry. This measure seeks to create a level playing field and prevent the undercutting of prices by the dumped imports, thereby supporting the profitability parameters of the domestic industry.
The Commerce Ministry's recommendation for the imposition of anti-dumping duties on optical fibre imports from China, Korea, and Indonesia underscores the government's commitment to safeguarding domestic industries. By taking this step, the authorities aim to protect the interests of the domestic optical fibre sector and maintain fair trade practices in the market.