Sunset Review on Soda Ash from Kenya, US Plus
Five on Complaint of Nirma and DCW
· 2012 Notification to
Expire on 2 July 2017
· Tata Chemicals, Major
Producer and Importer from Kenya, Excluded from “Domestic Industry”
[Ref: Initiation Notification F.No.7/S/2017-DGAD
dated 16th June 2017]
Subject: Initiation of Sunset review investigation
concerning imports of Soda Ash from China PR, European Union, Kenya, Pakistan, Iran,
Ukraine and USA
Having regard to the Customs Tariff Act,
1975 as amended in 1995 and the Customs Tariff (Identification, Assessment and Collection
of Anti-dumping Duty on Dumped Articles and for Determination of Injury) Rules,
1995, the Designated Authority (herein after referred to as Authority) recommended
imposition of Anti-Dumping Duty on imports of "Soda Ash",
(hereinafter referred to as subject goods) originating in or exported from China
PR, European Union, Kenya, Pakistan, Iran, Ukraine and USA (hereinafter referred
to as subject Countries). The authority vides its final findings No. 14/17/2010-DGAD
dated, 17th February 2012 recommended imposition of anti-dumping duties against
dumped imports of the subject goods from the Subject countries. Duties were
imposed by the Central Government vide custom notification No. 34/2012-Customs (ADD)
dated the 3rd July 2012.
2. Whereas
in terms of Section 9A(5) the Customs Tariff(Amendment)
Act 1995 the antidumping duty imposed shall unless revoked earlier, cease to have
effect on expiry of five years from the date of such imposition and the Authority
is required to review, whether the expiry of duty is likely to lead to continuation
or recurrence of dumping and injury. In accordance with the above, the Authority
is required to review, on the basis of a duly substantial request made by or on
behalf of the domestic industry, as to whether the expiry of duty is likely to lead
to continuation or recurrence of dumping and injury
3. And
whereas, a petition has been jointly filed by M/s Nirma
Ltd and M/s DCW Ltd (hereinafter referred to as ‘Petitioners') in accordance with
the Act and the Rules, seeking initiation of a sunset review of the Anti-dumping
duty in force on import of "Soda Ash" for extending the duties for a further
period of five years, alleging likelihood of continuation or recurrence of dumping
and injury of the subject goods originating in or exported from China PR, European
Union, Kenya, Pakistan, Iran, Ukraine and USA.
4. And
whereas, the Authority is at present conducting a midterm review under Rule 23 and
the Authority has not come to a conclusion whether or not the injury to the domestic
industry is likely to continue or recur, if the said anti-dumping duty is revoked.
5. And
whereas the Authority is required to consider the need for sunset review and, if
satisfied about the same, initiate sunset review before expiry of the existing antidumping
duty.
6. And
whereas a duly documented application has been filed, requesting sunset review and
extension of existing antidumping duty; and examination of the application shows
sufficient justification for undertaking sunset review investigations.
A. Product under consideration and like
article
7. The
product under consideration in the present petition is Disodium Carbonate,
popularly known as Soda Ash with chemical formula Na2C03. The petitioner has stated
that the Soda Ash is produced in two f01ms by the Indian Producers - Light Soda
Ash and Dense Soda Ash. The difference in the two types is bulk density. Further,
Soda Ash can be produced through synthetic route and natural route, known as dissolution process. The present investigation
all types of Soda Ash.
8. Soda
Ash is an essential ingredient in the manufacture of detergents, soaps, cleaning
compounds, sodium based chemicals, float glass, container and specialty glasses,
silicates and other industrial chemicals. It is also widely used in textiles, paper,
metallurgical industries and desalination plants.
9. Soda
Ash is an inorganic chemical. It is classified under Chapter
28 of the Customs Tariff Act,
1975, falling under the customs
sub-heading No. 2836.20. The customs classification is, however, indicative and
not binding on the scope of the present investigation.
10. Present
investigation, being a sunset review of the duty in force, the product under
consideration remains the same as has been defined in the original investigation.
11. Petitioners
have submitted that the subject goods produced by them are like article to the goods
imported from the subject countries in terms of physical and technical characteristics,
manufacturing process and technology, functions and uses, product specifications,
pricing, distribution and marketing, and tariff classification of the goods. The
imported products and the domestically produced goods are technically and
commercially substitutable, and consumers use them interchangeably
B. Domestic Industry & Standing
12. The
request for the sunset review has been filed by M/s Nirma
Ltd and M/s DCW Ltd. The applicants have claimed that Tata Chemicals is one of the
producers of the product and is related to the sole exporter of the product
from Kenya. Imports from Kenya are quite significant in volume
and Tata Chemicals was not treated as a domestic industry in the original investigations.
The applicants have claimed that Tata Chemicals should not be treated as eligible
domestic industry under Rule 2(b) for the present investigation also.
13. Having
regard to the volume of imports from Kenya, relationship of Tata Chemicals with
the sole known producer of the product in Kenya, the Authority has considered it
appropriate not to treat Tata Chemicals as eligible domestic industry within the
meaning of Rule 2(b).
14. The
Authority has determined that the production by the applicants account for a major
proportion in the production of the subject goods by the domestic industry in India.
The application is deemed to have been made by or on behalf of the domestic
industry and the applicant participating companies have been treated as the domestic industry under Rule 2(b)
of the Rules for the purpose of injury investigation.
C. Countries
Involved
15. Antidumping
duties are in force on imports of the product under consideration originating in
or exported from China PR, European Union, Kenya, Pakistan, Iran, Ukraine and USA.
The request for sunset review is in respect of imports from these countries. The
present sunset review covers the duty in force on the subject goods originating
in or exported from China PR. European Union. Kenya, Pakistan, Iran, Ukraine and
USA only (collectively referred to as subject countries).
D. Initiation
of Sunset Review
16. Having
satisfied, on the basis of the positive evidence submitted by the domestic industry,
substantiating the likelihood of continuation of dumping and recurrence of injury,
the Authority hereby initiates an investigation in accordance with Section 9A(5)
of the Act read with Rule
23 of Anti-dumping Rules, to review whether
cessation of the duty on imports of the subject goods originating in or
exported from the subject countries, shall lead to continuation or recurrence of
dumping of the subject goods from the subject countries and continuation or recurrence
of injury to the domestic industry, and need for continued imposition of the definitive
duty in force against the subject goods originating in or exported from the subject
countries.
17. The
Authority is at present conducting a midterm review, initiated vide notification
File No. 15/28/2014-DGAD dated 21st July, 2015 where the Authority has not made
final determination so far. The present sunset review is subject to the outcome
of this midterm review investigations.
E. Procedure
18. The review will cover all aspects
of Final Finding Notification No.. 14/17/2010-DGAD dated,
h
17 February 2012 recommending
imposition of anti-dumping duty on import of Soda Ash
originating in or exported
from China PR, European Union, Kenya, Pakistan, Iran, Ukraine and USA.
19. The
provisions of Rules 6,7,8,9,10,11,16,17,18,19 and 20 of the Rule supra shall be
mutatis mutandis applicable in this review.
F. Period of investigation (POI)
20. The
period of investigation is April 2016- March 2017. The injury investigation period
shall cover the periods 2013-14, 2014-15, 2015-16 and the
period of investigation. The period after the investigation period may also be considered
for the purpose of likelihood analysis.
G. Submission of Information
21. The
known exporters in the subject countries, the Governments of the subject countries
through their embassy in India, the importers and users in India known to be concerned
with the product are being addressed separately to submit relevant information
in the form and manner prescribed and to make their views known to the Authority
at the following address:
