Optimize IAS
  • Home
  • About Us
  • Courses
    • Prelims Test Series
      • LAQSHYA 2026 Prelims Mentorship
    • Mains Mentorship
      • Arjuna 2026 Mains Mentorship
  • Portal Login
  • Home
  • About Us
  • Courses
    • Prelims Test Series
      • LAQSHYA 2026 Prelims Mentorship
    • Mains Mentorship
      • Arjuna 2026 Mains Mentorship
  • Portal Login

Anti-Dumping Duty

  • August 15, 2021
  • Posted by: OptimizeIAS Team
  • Category: DPN Topics
No Comments

 

 

Anti-Dumping Duty

Subject – Economy

Context – The Finance Ministry has revoked the definitive antidumping duty that was originally imposed in August 2016 on certain Viscose Staple Fibre (VSF) from China and Indonesia.

Concept –

  • Anti-dumping duties are imposed when it is conclusively proved that a particular item is being exported at a price lower than what is prevailing in the domestic market of the exporter and is leading to disruption in the domestic market, injuring the local producers
  • An anti-dumping duty is a protectionist tariff that a domestic government imposes on foreign imports that it believes are priced below fair market value.
  • Dumping is a process where a company exports a product at a price lower than the price it normally charges in its own home market.
  • The duty is aimed at ensuring fair trading practices and creating a level-playing field for domestic producers vis-a-vis foreign producers and exporters.
  • The duty is imposed only after a thorough investigation by a quasi-judicial body, such as Directorate General of Trade Remedies, in India.
  • The imposition of anti-dumping duty is permissible under the World Trade Organization (WTO) regime

Sunset review investigation

  • Under the Customs Tariff Act, 1975, as amended from time to time 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 is the Directorate General of Trade Remedies.
  • Anti-Dumping Duty is applicable only for a selective period. If dumping still continues, the industry can apply for a sunset review at the end of 5 years.
  • Globally, once a sunset review is applied for, the duty is extended for 1 year pending investigation.
  • In India, industries have been asked to apply for sunset review 9 months before the expiry of the duty.
  • This made the Indian players getting deprived of protection for a year compared to their peers across the world.

Different from Countervailing Duties – ADD is a customs duty on imports providing a protection against the dumping of goods at prices substantially lower than the normal value whereas countervailing duty is a customs duty on goods that have received government subsidies in the originating or exporting country.

Anti-Dumping duty economy

Recent Posts

  • Daily Prelims Notes 23 March 2025 March 23, 2025
  • Challenges in Uploading Voting Data March 23, 2025
  • Fertilizers Committee Warns Against Under-Funding of Nutrient Subsidy Schemes March 23, 2025
  • Tavasya: The Fourth Krivak-Class Stealth Frigate Launched March 23, 2025
  • Indo-French Naval Exercise Varuna 2024 March 23, 2025
  • No Mismatch Between Circulating Influenza Strains and Vaccine Strains March 23, 2025
  • South Cascade Glacier March 22, 2025
  • Made-in-India Web Browser March 22, 2025
  • Charting a route for IORA under India’s chairship March 22, 2025
  • Mar-a-Lago Accord and dollar devaluation March 22, 2025

About

If IAS is your destination, begin your journey with Optimize IAS.

Hi There, I am Santosh I have the unique distinction of clearing all 6 UPSC CSE Prelims with huge margins.

I mastered the art of clearing UPSC CSE Prelims and in the process devised an unbeatable strategy to ace Prelims which many students struggle to do.

Contact us

moc.saiezimitpo@tcatnoc

For More Details

Work with Us

Connect With Me

Course Portal
Search