Indian Stainless Steel Development Association (ISSDA) has said the recent imposition of Anti Dumping Duty (ADD) on cold rolled flat products will have a negligible impact as the import trend has now shifted to higher widths.
The leading stainless steel industry body was reacting to government decision to impose ADD on cold rolled flat products of widths between 600 – 1,250 mm for a period of five years after the sunset review from China, Japan, South Korea, Malaysia, South Africa, Malaysia, South Africa, Taiwan, EU and USA.
“ISSDA would like to state that impact of this ADD will be negligible as the import trend has now shifted to higher widths and the same has been highlighted in the customs notification as well as the final findings of the Directorate General of Anti Dumping and Allied Duties (DGAD),” the association said issuing a statement.
The industry body has noted that the existing duty on cold rolled stainless steel flat products is being circumvented as the imports now have shifted to higher widths i.e. above 1,250 mm and also width below 600 mm. “The real benefit of this duty will only be evident only when the government initiates anti – circumvention petition by the industry on widths above 1,250 mm,’’ said NC Mathur, President ISSDA.
“The final finding of DGAD had brought out few relevant points. Final finding states that dumping of cold rolled flat products of stainless steel continues in spite of imposition of ADD,” the statement adds.
According to anti-dumping notifications issued by finance ministry, the ADD ranges between 4.58 per cent and 57.39 per cent. ADD will be imposed on countries including China, the US, European Union, Korea, South Africa, Thailand and Taiwan. While a 9.47 per cent duty has been levied on cold rolled flat products of stainless steel from the US, products from the EU will attract a duty of 29.41-52.56 per cent while those from Thailand will be charged at 5.39 per cent. The highest duty of 57.39 per cent has been levied on cold-rolled stainless steel from China.
It also adds that the ADD on import of cold rolled flat products of stainless steel was effective till 21 April, 2015. “Review of this ADD could be done the same product only hence the industry was unable to include higher widths of imports under this duty protection,” ISSDA observed.
“ISSDA urged the government to initiate the anti-circumvention petition by the industry urgently. This will bring a slight reprieve to the domestic stainless steel industry which is under severe financial stress and is operating at nearly 60 % of its stalled capacity,” said Mathur.