After careful evaluation of the domestic tyre market, India might impose anti-dumping duty of $337.80- 527.08 per MT on new pneumatic radial tyre imports from Thailand which mainly consists of rubber for buses and lorries.
The Directorate General of Trade Remedies has carefully studied the market with the help of a software filed by the Automotive Tyre Manufacturers Association on behalf of domestic manufacturers like Apollo Tyres Ltd, Ceat Ltd, Jk Tyre Industries Ltd, MRF Ltd.
"There is substantial increase in imports of subject goods from subject country in absolute terms as well as in relation to production and consumption in India as compared to the previous years…The Domestic Industry has suffered material injury… caused by the dumped imports," DGTR said in a notification.
The DGTR has suggested that Anti-Dumping Duty of tyre imports mainly from Thailand and China could be levied for a period of five years. However, the decision of imposing the duty lies with the Finance Ministry of the country.
The Government of India had restricted the imports of tyres to prevent dumping of cheap imports into the country in the month of June. A bulk of of products came from China and Thailand. These included tyres for cars, motorcycles, bicycles, buses and lorries.
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"The shifting of tyre into restricted category only adds licensing requirement and it is no ban on tyres. This will not impact the volume and price of imports," domestic industry said, according to the notification.
However, Thailand has already raised the issue at the World Trade Organization alleging that its tyre exports to India fell 31% in July and 43% in August due to the restrictions.
"The exports of product under consideration in the month of July, August and September 2020 have been reduced to zero," other interested parties were quoted in the notification.
The domestic industry said that their market share have not increased even after the antidumping duties and counter-vailing duty were imposed on imports from China. The domestic market has seen a decline and highlighted that China has made a huge investment for truck and bus radial tyres in Thailand.
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