India has extended the anti-subsidy duty on imports of a Chinese chemical, Atrazine Technical, used in pesticides for another five years. This move is aimed at protecting domestic producers from unfair competition posed by subsidized exports from China. The decision came after a recommendation by the Directorate General of Trade Remedies (DGTR), which concluded that the continuation of the duty would support the domestic industry by enabling more Indian producers to enter the market and expand their production capacity.
The finance ministry, in its notification, has imposed a countervailing duty of up to 11.94% on imports of Atrazine Technical from China. The duty will be in effect for five years, unless revoked or modified earlier. This measure is intended to ensure that Indian manufacturers are not negatively affected by the subsidized imports, which can drive down prices and erode profit margins for domestic companies.
Atrazine Technical is widely used in agriculture as a herbicide to control weeds, and the domestic production of this chemical has been growing since the original imposition of the duty in 2019. The DGTR’s investigation found that the duties had a positive impact on the Indian market, allowing local producers to strengthen their presence.
India’s decision aligns with global trade rules that permit countries to impose countervailing or anti-subsidy duties to protect domestic industries from unfair foreign competition. In addition to this, the government has also extended similar anti-subsidy duties on imports of welded stainless steel pipes and tubes from China and Vietnam for the same period, further safeguarding local industries.
This extension reflects the Indian government’s ongoing efforts to maintain a level playing field for its industries, ensuring that domestic businesses can thrive despite global competition.
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