Concerned over the increasing trade deficit of India with China, Ministry of Commerce and Industry is contemplating on imposing anti-dumping duty on imports of truck and bus radial tyres imported in bulk from the latter nation.
This information was provided by Union Minister of State (MoS) for MSMEs, Haribhai Partibhai Choudhary, in a written reply to a question in Lok Sabha, as part of the ongoing Monsoon Session of Parliament.
“As per information received from Rubber Board, Ministry of Commerce & Industry, imposition of anti-dumping duty on import of truck and bus radial tyres is under process with Directorate General of Anti-Dumping and Allied Duties(DGAD,” said Parthibhai.
The imposition comes with an aim to boost domestic rubber producers. Under the Asia Pacific Trade Agreement, rubber products imported from China enter the Indian market at a reduced duty of 8.6 per cent, while basic duty is 10 per cent. That is why imports from neighboring countries of India have accelerated.
Significantly, a huge number of micro, small and medium enterprises (MSME) are rubber producers. Major rubber products imported from China are under HS Code 4011 (new pneumatic tyres) and HS Code 4016 (other articles of vulcanised rubber), and most of the products under HS 4016 are manufactured by MSME units.
The MoS also informed that according to the Rubber Board, the procedure for imposing anti-dumping duty on the import of radial tyres is in progress with the Directorate General of Anti-Dumping and Allied Duties (DGAD).
