DGTR Terminates Anti-dumping Investigation on Mono Ethylene Glycol from Saudi Arabia on Reliance Request within four months of Initiation

· Investigation on Kuwait, Oman, UAE and Singapore to Continue

[DGTR Notification Case No. (O.I.) 21/2019 dated 6 April 2020]

Subject: Anti-Dumping Investigation concerning imports of “Mono Ethylene Glycol” originating in or exported from Kuwait, Oman, Saudi Arabia, UAE and Singapore.

F. No. 6/29/2019- DGTR - Having regard to the Customs Tariff Act, 1975 as amended from time to time (hereinafter also referred as the “Act”) and the Customs Tariff (Identification, Assessment and Collection of Anti-dumping Duty on Dumped Articles and for Determination of Injury) Rules, 1995, as amended from time to time (hereinafter also referred as the “Rules”), thereof;

A. BACK GROUND

2. The background of the case is as follows:

i. The Designated Authority (hereinafter also referred to as the “Authority”), under the above Rules, received an application from M/s Reliance Industries Limited (RIL) on behalf of the domestic industry in accordance with the Act and the Rules, alleging dumping of “Mono Ethylene Glycol (MEG or Ethylene Glycol)” (hereinafter referred as “product under consideration” or “subject goods”) originating in or exported from Kuwait, Oman, Saudi Arabia, United Arab Emirates (UAE), and Singapore (also referred to as “subject countries”) and consequent injury to the domestic industry.

ii. The Authority, based on prima facie evidence of dumping of subject goods by the subject countries, injury to the domestic industry and causal link between the dumping and injury, initiated an anti-dumping investigation into the alleged dumping, and consequential injury to the domestic industry in terms of Rule 5 of the Rules.

iii. The Authority accordingly issued a Public Notice dated 9^th December 2019 published in the Gazette of India – Extraordinary, initiating the anti-dumping investigation concerning imports of ‘Mono Ethylene Glycol (MEG or Ethylene Glycol)’, classified under the tariff item 2905 31 00, originating in or exported from Kuwait, Oman, Saudi Arabia, UAE and Singapore.

B. REQUEST RECEIVED FROM THE DOMESTIC INDUSTRY

3. M/s Reliance Industries Limited, the domestic industry in the subject investigation, vide its letter dated 21^st February, 2020 has requested the Designated Authority to terminate the investigation in respect of imports of subject goods from Saudi Arabia. Further, it has been requested by the company to continue the investigation and recommend for imposition of provisional anti-dumping duty in respect of imports of subject goods from Kuwait, Oman, UAE and Singapore.

C. EXAMINATION BY THE AUTHORITY

4. The request made by the domestic industry, M/s Reliance Industries Limited, vide its letter dated 21^st February, 2020, has been examined.

5. The Authority notes that Rule 14(a) of the Rules reads as under:

14. Termination of investigation. - The designated authority shall, by issue of a public notice, terminate an investigation immediately if –

(a) it receives a request in writing for doing so from or on behalf of the domestic industry affected, at whose instance the investigation was initiated;

6. It is noted that Rule 14 provides for termination of investigations in certain situations which includes a situation where the application is withdrawn by the company. Rule 14(a) of Rules provides that the Designated Authority shall, by issue of a public notice, terminate an investigation immediately if it receives a request in writing for doing so from or on behalf of the domestic industry affected, at whose instance the investigation was initiated.

7. The present investigation was initiated based on an application filed by M/s Reliance Industries Limited constituting the domestic industry. M/s India Glycols Limited supported the application filed by M/s Reliance Industries Limited. Thus, the domestic industry in the present case comprises of a single producer i.e. M/s Reliance Industries Ltd. The Authority notes that Rule 14(a) of the Rules requires the Authority to terminate the investigation, once the domestic industry, at whose instance the investigation was initiated files a written request for termination of the investigation.

D. CONCLUSION

8. In view of the aforesaid request made by the domestic industry, M/s Reliance Industries Limited and under the provisions of Rule 14(a) of the Rules the Designated Authority hereby terminates the investigation initiated on 9^th December 2019 against the imports of ‘Mono Ethylene Glycol (MEG or Ethylene Glycol)’ originating in or exported from Saudi Arabia.

9. It is clarified that as the domestic industry has requested for termination of the investigation only in respect of imports of subject goods from Saudi Arabia, the investigation shall continue against the imports of subject goods originating in or exported from Kuwait, Oman, UAE and Singapore in accordance with the public notice issued on 9^th December 2019.

E. APPEAL

10. An appeal against this order will lie before the Customs, Excise and Service Tax Appellate Tribunal in accordance with the relevant provisions of the Act.