Last week on 1 Aug’16, the DGAD (Director General of Anti-Dumping & Allied Duties) has issued a notification recommending provisional anti-dumping duty on HRC and plates of alloy and non alloy steel under HS code 7208, 7211, 7225, and 7226 originating in or exported from China PR, Japan, Russia, Korea RP, Brazil and Indonesia.
Now after a week, the Finance ministry has given its final approval on the same thus, making anti-dumping duty effective for a period of six months starting from 8 Aug’16.
This means that any HR and plates imports from the above mentioned country coming on and after 8 Aug’16 will be subject to anti-dumping duty.
The anti-dumping duty is calculated as the difference between NIP (Non-Injurious Price) and imported price (CIF+ Customs duty). The NIP decided for HRC is USD 474/MT and that for plates it is fixed at USD 557/MT.
Lets understand this with an example:
If HRC export offers from China is USD 400/MT, CIF India. The customs duty applicable on the same is 12.5% of CIF price thus making its imported price to USD 450/MT (CIF + Customs duty).
Thus, anti-dumping duty on the same is calculated as difference between NIP on HRC of USD 474/MT and its imported price of USD 450/MT, which comes at around USD 24/MT.
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