## Policy Analysis Report: Imposition of Anti-Dumping Duty on Polyurethane Leather
**1. Executive Summary:**
This report analyzes a notification issued by the Ministry of Finance, Department of Revenue, imposing an anti-dumping duty on imports of Polyurethane Leather originating in or exported from the People's Republic of China (China PR). This policy is designed to address material injury allegedly suffered by the domestic industry due to dumped imports of the subject goods. The key finding is that an anti-dumping duty, either a fixed amount ($0.46 USD per meter) or nil depending on the producer, is imposed on specific types of Polyurethane Leather from China PR. The duty is set to be in effect for five years unless revoked, superseded or amended earlier.
**2. Introduction:**
This report provides an overview and analysis of Notification No. 142022-Customs, ADD, G.S.R. 374(E), issued by the Ministry of Finance, Department of Revenue on May 20, 2022. The report aims to inform affected industries about the imposition of anti-dumping duty on Polyurethane Leather. The analysis is based solely on the provided policy text.
**3. Policy Overview:**
This is a *new* policy imposing an anti-dumping duty.
* **Core Objective(s):** Based on the text, the core objective is to remove the injury caused to the domestic industry of India due to the dumped imports of Polyurethane Leather originating in or exported from China PR.
**4. Background and Rationale:**
This new policy addresses the issue of alleged dumping of Polyurethane Leather from China PR into the Indian market. The rationale, as inferred from the text, is that this dumping has caused material injury to the domestic industry. The Designated Authority's final findings have concluded that the dumping margin is positive and significant, the domestic industry has suffered material injury, and the dumped imports have caused this injury.
**5. Key Provisions / Changes:**
This is a *new* policy, therefore the analysis will focus on the main components, rules, and actions mandated by the provided text.
* **Subject Goods:** The policy applies to "Polyurethane Leather which includes any kind of textile coated one sided or both sided with Polyurethane" falling under tariff item 5603 94 90 or 5903 20 90 of the First Schedule to the Customs Tariff Act, 1975.
* **Country of Origin/Export:** The anti-dumping duty applies to Polyurethane Leather originating in or exported from the People's Republic of China (China PR).
* **Anti-Dumping Duty Rate:**
* For Polyurethane Leather produced by Anhui Anli Material Technology Co., Ltd., the anti-dumping duty is NIL.
* For goods produced by any other producer, the duty is $0.46 USD per meter.
* **Currency:** The anti-dumping duty is specified in US Dollars (USD) per meter. However, the duty shall be payable in Indian currency.
* **Duration:** The anti-dumping duty is effective for a period of five years from the date of publication in the Official Gazette unless revoked, superseded, or amended earlier.
**6. Target Audience and Stakeholders:**
Based on the text, the directly affected parties include:
* **Domestic Manufacturers of Polyurethane Leather in India:** The policy aims to protect them from alleged unfair competition from dumped imports.
* **Importers of Polyurethane Leather from China PR:** They will be subject to the anti-dumping duty.
* **Exporters and Producers of Polyurethane Leather in China PR:** Specifically, Anhui Anli Material Technology Co., Ltd. is mentioned with a NIL duty, implying differentiated treatment.
* **Customs Authorities:** They are responsible for implementing and collecting the anti-dumping duty.
**7. Implementation Aspects (Inferred):**
* **Responsible Agency:** The Central Government, specifically the Ministry of Finance (Department of Revenue), is responsible for implementing the policy through the Customs Department.
* **Timelines:** The duty is effective from the date of publication (May 20, 2022) and will last for five years unless amended.
* **Procedures:** The rate of exchange for calculating the anti-dumping duty will be determined by the notification issued under Section 14 of the Customs Act, 1962. The relevant date for determining the exchange rate is the date of presentation of the bill of entry under Section 46 of the Customs Act, 1962.
**8. Expected Outcomes / Impact of Changes:**
The likely intended outcomes of this policy, based on the provisions in the text, are:
* **Reduced imports of dumped Polyurethane Leather from China PR:** The anti-dumping duty will likely increase the cost of imported Polyurethane Leather, making it less competitive in the Indian market.
* **Relief from material injury to the domestic industry:** By reducing dumped imports, the policy intends to alleviate the injury suffered by domestic manufacturers.
* **Fairer Competition:** The policy aims to create a more level playing field for domestic manufacturers of Polyurethane Leather.
**9. Conclusion:**
The imposition of an anti-dumping duty on Polyurethane Leather from China PR represents a trade remedy measure intended to protect the Indian domestic industry. The policy, effective for five years, introduces a duty of $0.46 USD per meter for most producers (except Anhui Anli Material Technology Co., Ltd., which has a NIL duty) and aims to reduce dumped imports and alleviate the alleged material injury to domestic manufacturers. This policy signifies the government's intervention to address unfair trade practices and support the domestic industry. Affected stakeholders should carefully review the details of the notification and comply with the prescribed procedures for importing Polyurethane Leather.
Key Entities Referenced
NEW DELHI: Place of publication of the notification.
Customs Tariff Act, 1975: The governing act for customs tariffs referenced in the notification. (51 of 1975)
Peoples Republic of China: Country of origin or export of the subject goods (Polyurethane Leather) subject to antidumping duty.
India: Country importing the subject goods (Polyurethane Leather) subject to antidumping duty.
Customs Tariff Identification, Assessment and Collection of Antidumping Duty on Dumped Articles and for Determination of Injury Rules, 1995: Rules governing antidumping duty assessment and collection.
Anhui Anli Material Technology Co., Ltd.: Producer of Polyurethane Leather from China subject to specific antidumping duties.
Customs Act, 1962: Act related to customs duties and exchange rates (52 of 1962)
Polyurethane Leather: Subject good subject to antidumping duty
Ministry of Finance Department of Revenue: The department that issued the notification.
Nitish Karnatak: Under Secretary who signed the notification.
रजिस्ट्री स.ं डी.एल.- 33004/99 REGD. No. D. L.-33004/99
सी.जी.-डी.एल.-अ.-20052022-235906
xxxGIDHxxx
CG-DL-E-20052022-235906
xxxGIDExxx
असाधारण
EXTRAORDINARY
भाग II—खण् ड 3—उप-खण्ड (i)
PART II—Section 3—Sub-section (i)
प्राजधकार स ेप्रकाजित
PUBLISHED BY AUTHORITY
स.ं 357] नई ददल्ली, िुक्रिार, मई 20, 2022/ििै ाख 30, 1944
No. 357] NEW DELHI, FRIDAY, MAY 20, 2022/VAISAKHA 30, 1944
जित्त मत्रं ालय
(रािस्ट्ि जिभाग)
अजधसचू ना
नई ददल्ली, 20 मई, 2022
स.ं 14/2022- सीमा िल्ु क (एडीडी)
सा.का.जन. 374(अ).—िहां दक चीन िनिादी गणराज्य (एतजममन पश्चात जिसे जिषयगत देि से संदर्भभत दकया
गया ह)ै म ें मूलत: उत् पाददत या िहां से जनयािजतत र भारत में ायाजतत “पॉल्यूरेथने चमडा जिसमें दकसी भी प्रकार का
कपडा िाजमल हो िो एक तरफ या दोनों तरफ से पॉल्यूरेथने से लेजपत हो” (एतजममन पश्चात जिसे जिषयगत िस्ट्तु स े
संदर्भभत दकया गया ह)ै , िो दक सीमा िुल्क टैररफ अजधजनयम, 1975 (1975 का 51) (एतजममन पश्चात जिसे उक्त, सीमा
िुल्क टैररफ अजधजनयम से संदर्भभत दकया गया ह)ै की प्रथम अनुसूची के टैररफ मद 5603 94 90 या 5903 20 90 के
अंतगति ाता ह,ै के मामल े म ें जिजनर्ददष्ट प्राजधकारी अपन े अजधसूचना संख्या 6/55/2020-डीिीटीार, ददनांक 21 फरिरी,
2022 जिसे, ददनांक 21 फरिरी, 2022 को भारत के रािपत्र, असाधारण, के भाग ।, खंड 1 में प्रकाजित दकया गया था, के
तहत अपन ेअंजतम जनष्कषों म ेंइस जनणिय पर पहचं े ह ैंदक,–
(i) जिषयगत दिे से जिषयगत िस्ट्त ु के जलए पाटन मार्भिन सकारात्मक र महत्िपणू ि ह;ै
(ii) इसके कारण यहा ंके घरेल ूउद्योग को सारिान क्षजत हई है;
(iii) जिषयगत दिे से पारटत ायात के कारण घरेलू उद्योग को सारिान क्षजत हई है;
3418 GI/2022 (1)2 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 3(i)]
र उन् होंन े घरेलू उद्योग को हई इस क्षजत को दरू करने के जलए जिषयगत देि म ें मलू त: उत् पाददत या िहा ं स े
जनयािजतत तथा भारत म ें ायाजतत जिषयगत िस्ट्त ु के ायात पर जनम चयात् मक प्रजतपाटन िल्ु क लगाए िाने की जसफाररि
की ह ै।
अत:, अब, सीमा िुल् क टैररफ (पारटत िस्ट् तुओं क की पहचान, उनका ांकलन र उन पर प्रजतपाटन िुल् क का
संग्रहण तथा क्षजत जनधािरण) जनयमािली, 1995 के जनयम 18 र 20 के साथ परित उक्त सीमा िुल् क टैररफ अजधजनयम
की धारा 9क की उप धारा (1) र (5) के तहत प्रदत् त िजक्तयों का प्रयोग करत े हए केन् र सरकार, उक्त जनर्ददष् ट
प्राजधकारी के उपयुिक् त अंजतम जनष्क षों पर जिचार करने के पमच ात, एतद्वारारा, जिषयगत िस्ट् त,ु जिसका जििरण नीचे सारणी
के कॉलम (3) में जिजनर्ददष् ट ह,ै िो दक उक्त सारणी के कॉलम (2) की तत्स ंबंधी प्रजिजष्ट में जिजनर्ददष् ट सीमा िुल् क टैररफ
अजधजनयम की प्रथम अनुसूची के टैररफ मद के अतं गति ाती ह,ैं कॉलम (4) की तत्स ंबंधी प्रजिजष्ट म ेंजिजनर्ददष्ट देिों म ेंमूलत:
उत् पाददत ह,ै कॉलम (5) की तत्स ंबंधी प्रजिजष्ट म ें जिजनर्ददष् ट देिों स े जनयािजतत ह,ै कॉलम (6) की तत्स ंबंधी प्रजिजष्ट म ें
जिजनर्ददष् ट उत् पादकों से उत् पाददत ह ै र भारत में ायाजतत ह,ै पर कॉलम (7) की तत्स ंबंधी प्रजिजष्ट में जिजनर्ददष्ट राजि के
बराबर की दर स,े कॉलम (8) की तत्स ंबंधी प्रजिजष्ट म ें जिजनर्ददष् ट माप इकाई म ें र कॉलम (9) की तत्स ंबंधी प्रजिजष्ट म ें
जिजनर्ददष् ट मुरा के अनुसार प्रजतपाटन िल्ु क लगाती ह,ै यथा-
सारणी
क्र.सं िीषिक/उप जिषयगत िस्ट्त ु मूलत: जनयाितक उत् पादक राजि माप मुरा
िीषिक/ टैररफ मद का जििरण उत् पादन का देि की
देि इकाई
(1) (2) (3) (4) (5) (6) (7) (8) (9)
1. 5603 94 90 पॉल्यूरेथेन चीन िनिादी चीन अनहई एनली िून्य मीटर अमेररकी
5903 20 90 चमडा जिसमें गणराज्य िनिादी मेटेररयल डॉलर
दकसी भी गणराज्य प्रौद्योजगकी
प्रकार का समेत कोई कं.जल.
कपडा िाजमल भी देि
ह ैिो एक तरफ
या दोनों तरफ
से पॉलीयूरेथेन
से लेजपत हो
2. िही िही चीन िनिादी चीन क्रम सं. 1 के 0.46 मीटर अमेररकी
गणराज्य िनिादी अलािा कोई डॉलर
गणराज्य भी जनमािता
समेत कोई
भी देि
3. िही िही चीन िनिादी चीन कोई भी 0.46 मीटर अमेररकी
गणराज्य के िनिादी डॉलर
अलािा कोई गणराज्य
भी देि
2. इस अजधसूचना के अंतगित लगाया गया प्रजतपाटन िल्ु क सरकारी रािपत्र में इस अजधसूचना के प्रकाजित होने की
तारीख स े पांच िष ि की अिजध तक (यदद इससे पहल े इस े िापस नहीं जलया िाता ह,ै इसका अजधक्रमण नहीं होता ह,ै या
इसमें संिोधन नहीं होता ह ैतो) लागू रहगे ी, र इसका भुगतान भारतीय मरु ा में करना होगा।
स्ट्पष्टीकरण– इस अजधसूचना के उद्देमय के जलए ऐसे प्रजतपाटन िुल्क की गणना के प्रयोिन हते ु लाग ू जिजनमय दर िही दर
होगी िो दक भारत सरकार, जित्त मंत्रालय (रािस्ट्ि जिभाग) की अजधसूचना, जिसे सीमा िुल्क अजधजनयम, 1962 (1962
का 52) की धारा 14 के तहत प्रदत्त िजक्तयों का प्रयोग करते हए समय-समय पर िारी दकया गया हो, में जिजनर्ददष्ट की गई
होगी र इस जिजनमय दर के जनधािरण की सगं त तारीख िह तारीख होगी िो दक उक्त सीमा िल्ु क अजधजनयम की
धारा 46 के अतं गति ागम पत्र में प्रदर्भित होगी।
[फा. स.ं 190354/115/2022-टीारय]ू
जनजति कनािटक, अिर सजचि[भाग II—खण् ड 3(i)] भारत का रािपत्र : असाधारण 3
MINISTRY OF FINANCE
(Department of Revenue)
NOTIFICATION
New Delhi, the 20th May, 2022
No. 14/2022-Customs (ADD)
G.S.R. 374(E).—Whereas in the matter of “Polyurethane Leather which includes any kind of
textile coated one sided or both sided with Polyurethane” (hereinafter referred to as the „subject goods‟)
falling under tariff item 5603 94 90 or 5903 20 90 of the First Schedule to the Customs Tariff Act, 1975
(51 of 1975) (hereinafter referred to as the „Customs Tariff Act‟), originating in, or exported from People‟s
Republic of China (hereinafter referred to as the „subject country‟), and imported into India, the designated
authority in its final findings vide notification number 6/55/2020-DGTR, dated the 21st February, 2022,
published in the Gazette of India, Extraordinary, Part I, Section 1, dated the 21st February, 2022, has come
to the conclusion that the,-
(i) dumping margin for the subject goods from the subject country is positive and significant;
(ii) domestic industry has suffered material injury;
(iii) material injury to the domestic industry has been caused by the dumped imports from the
subject country,
and has recommended imposition of an anti-dumping duty on the imports of subject goods, originating in,
or exported from the subject country and imported into India, in order to remove injury to the domestic
industry.
Now, therefore, in exercise of the powers conferred by sub-sections (1) and (5) of section 9A of the
Customs Tariff Act read with rules 18 and 20 of the Customs Tariff (Identification, Assessment and
Collection of Anti-dumping Duty on Dumped Articles and for Determination of Injury) Rules, 1995, the
Central Government, after considering the aforesaid final findings of the designated authority, hereby
imposes on the subject goods, the description of which is specified in column (3) of the Table below,
falling under tariff item of the First Schedule to the Customs Tariff Act as specified in the corresponding
entry in column (2), originating in the country as specified in the corresponding entry in column (4),
exported from the country as specified in the corresponding entry in column (5), produced by the producers
as specified in the corresponding entry in column (6), and imported into India, an anti-dumping duty at the
rate equal to the amount as specified in the corresponding entry in column (7), in the currency as specified
in the corresponding entry in column (9) and as per unit of measurement as specified in the corresponding
entry in column (8), of the said Table -
TABLE
S.N. Heading, Description of Country Country of Producer Amount Unit of Currency
Sub- Goods of Export Measurement
heading or Origin
Tariff Item
(1) (2) (3) (4) (5) (6) (7) (8) (9)
1. 5603 94 90 Polyurethane China Any Anhui Anli NIL Meters USD
5903 20 90 PR country Material
Leather which
including Technology
includes any China PR Co., Ltd.
kind of textile
coated one
sided or both
sided with
Polyurethane4 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 3(i)]
2. -do- -do- China Any Any 0.46 Meters USD
PR country Producer
including other than
China PR S. N. 1
3. -do- -do- Any China PR Any 0.46 Meters USD
country
other
than
China
PR
2. The anti-dumping duty imposed under this notification shall be effective for a period of five years
(unless revoked, superseded or amended earlier) with effect from the date of publication of this notification
in the Official Gazette, and shall be payable in Indian currency.
Explanation. - For the purposes of this notification, rate of exchange applicable for the purposes of
calculation of such anti-dumping duty shall be the rate which is specified in the notification of the
Government of India, Ministry of Finance (Department of Revenue), issued from time to time, in exercise
of the powers conferred by section 14 of the Customs Act, 1962 (52 of 1962), and the relevant date for the
determination of the rate of exchange shall be the date of presentation of the bill of entry under section 46
of the said Act.
[F. No. 190354/115/2022-TRU]
NITISH KARNATAK, Under Secy.
Uploaded by Dte. of Printing at Government of India Press, Ring Road, Mayapuri, New Delhi-110064
and Published by the Controller of Publications, Delhi-110054.