India Imposes Anti-dumping Duty on Morpholine Chemical Import from China, U.S. and EU

India has imposed anti-dumping duty of up to USD 0.81 per kg on imports of a chemical, used in several industries including rubber and drugs, to protect domestic players from cheap shipments from China, the US and European Union.

The restrictive duty on the import of 'morpholine' would be imposed for a period of six months, the Department of Revenue said.

The duty would range from between USD 0.81 per kg and USD 0.29 per kg on imports of the chemical from China, the US and European Union.

"The anti-dumping duty imposed...shall be effective for a period not exceeding six months," the department said.

Morpholine is an extremely versatile chemical and is also used for crop protection agents, dyes, in toiletry and cosmetic products.

The Directorate General of Anti-Dumping and Allied Duties (DGAD), a nodal agency under the Commerce Ministry, had recommended the imposition of duty after an investigation.

The DGAD had concluded in its probe that the domestic industry had suffered a material injury on account of dumping of the product.

The country has already imposed anti-dumping duty on imports of fabric, yarn, nylon tyre cord and several chemicals.

Unlike safeguard duties, which are levied in a uniform way, anti-dumping duties vary from product to product and from country to country.

Countries initiate anti-dumping probes to check if domestic industry has been hurt because of a surge in cheap imports.

As a counter-measure, they impose duties under the multilateral WTO regime.