Ministry Imposes Countervailing Duty on Imports of Textured Tempered Glass from Malaysia

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Ministry Notifies Countervailing Duty Imposition on Solar Glass Imported from Malaysia. The Directorate General of Trade Remedies (DGTR) announced that the levy will be imposed for five years on textured toughened/tempered glass with a minimum of 90.5% transmission, having a thickness of up to 4.2 mm and at least one dimension exceeding 1,500 mm, whether coated or not. The product is used in solar photovoltaic (PV) and solar thermal applications and is also known as solar glass.

In December 2020, the Directorate General of Trade Remedies (DGTR) had announced that it would levy countervailing duty on tempered glass from Malaysia to mitigate the benefits enjoyed by producers of the glass in Malaysia.

The latest notification states that the duty is applicable if:

  • The tempered glass has been exported to India from Malaysia at subsidized prices
  • The domestic industry has suffered material injury due to the subsidization of tempered glass
  • The material injury has been caused by the subsidized imports of the tempered glass originating in or exported from Malaysia.

The countervailing tariff will be equal to the difference between the quantum of proposed duties in the table below and the anti-dumping duty, if any. explained the government agency.

Country of originCountry of exportProducerDuty amount as of CIF value (%)
MalaysiaMalaysiaXinyi Solar Malaysia Sdn Bhd9.71
MalaysiaMalaysiaOther than Xinyi Solar Malaysia Sdn Bhd10.14
MalaysiaOther than MalaysiaAny other10.14
Other than MalaysiaMalaysiaAny other10.14

If the amount of the countervailing duty is less than the anti-dumping tariff, no levy will be collected.

Earlier, the Directorate General of Trade Remedies (DGTR) had issued its final findings for the anti-dumping duty investigation concerning the import of textured tempered coated and uncoated glass from Malaysia. The DGTR had recommended levy of anti-dumping duty of $114.58 (Rs 8,161) /metric ton for a period of five years.

After reviewing the submissions made by the parties and stakeholders, the DGTR noted that tempered solar glass has been exported to India largely by one producer, namely Xinyi Solar, whose exports are evaluated as non-dumped, and the Directorate found their exports to India to not be liable for an anti-dumping measure.

According to the directorate, the domestic industry had suffered a material injury during the injury period and period of investigation. The injury had been due to various factors including imports of tempered solar glass from Malaysia.

“The domestic industry has suffered a material injury on account of price suppression and undercutting by imports from Malaysia. The financial parameters on profitability and return on investment (RoI) are also noted to be adverse,” read the DGTR statement.

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