Resin raises US hackles
The US Department of Commerce has begun an investigation into whether the imports of polytetrafluoro-ethylene (PTFE) resin from India and China were being dumped on the US market.
- Published 21.10.17
New Delhi: The US Department of Commerce has begun an investigation into whether the imports of polytetrafluoro-ethylene (PTFE) resin from India and China were being dumped on the US market.
The department said on Thursday it was also initiating a countervailing duty (CVD) investigation to determine whether the producers of the resin in India were receiving alleged unfair subsidies from the Indian government.
These investigations were initiated based on petitions filed by the Chemours Company on September 28.
PTFEs are mostly used as a non-stick coating on utensils.
The department has stated that the estimated dumping margins alleged by the petitioner range from 23.4 per cent to 408.9 per cent for China and 15.8 per cent to 128.1 per cent for India.
In the anti-dumping investigations, it said the department would determine whether the imports from China and India were being dumped in the American market at less than fair value.
On the other hand, it said, in the countervailing investigation, it would determine whether the Indian producers of the resin are receiving unfair government subsidies.
If the department establishes that the products are being dumped, they can impose duties on those imports.
"In 2016, imports of PTFE resin from China and India were valued at an estimated $24.6 million and $14.3 million, respectively," it added.
The department "will act swiftly, while assuring a full and fair assessment of the facts, to ensure that everyone trades on a level playing field," commerce secretary Wilbur Ross said.
On Tuesday, the US commerce department said it had launched an investigation into whether imports of another resin, polyethylene terephthalate (PET), from Brazil, Indonesia, South Korea, Pakistan and Taiwan were being dumped in the US.
Countries initiate anti-dumping probes to determine if the domestic industry has been hurt by a surge in cheap imports. As a counter-measure, the governments impose duties under the multilateral WTO regime.
Anti-dumping measures are taken to ensure fair trade and provide a level-playing field to the domestic industry. They are not a measure to restrict imports or cause an unjustified increase in the cost of products.