## Policy Analysis Report: Termination of Sunset Review Investigation Concerning Imports of Flexible Slabstock Polyol from Thailand
**1. Executive Summary:**
This report analyzes a termination notification issued by the Directorate General of Trade Remedies (DGTR), Department of Commerce, Ministry of Commerce and Industry, Government of India. This notification concerns the termination of a sunset review investigation regarding antidumping duties on imports of Flexible Slabstock Polyol from Thailand. The core purpose of the notification is to announce the cessation of the investigation and recommend the discontinuation of existing antidumping duties based on the request of the domestic industry that initiated the review. The key finding is that the investigation is terminated due to the applicant choosing not to pursue it, leading to a recommendation to discontinue the antidumping duties.
**2. Introduction:**
The purpose of this report is to provide an informative analysis of the Directorate General of Trade Remedies (DGTR) notification regarding the termination of the sunset review investigation concerning imports of Flexible Slabstock Polyol from Thailand. This analysis is based solely on the provided policy text.
**3. Policy Overview:**
* This is a *termination notification* relating to a sunset review, indicating the existence of a prior policy imposing antidumping duties on the specified product.
* **Core Objective:** The core objective, as inferred from the text, is to terminate a review of existing antidumping duties and consequently discontinue those duties on imports of Flexible Slabstock Polyol from Thailand. The basis for termination stems from the domestic industry's decision not to pursue the review.
**4. Background and Rationale:**
This notification represents the termination of a sunset review. Sunset reviews are conducted to determine whether existing antidumping duties should be extended. The rationale for *this specific termination* is the withdrawal of support for the review by Ms Manali Petrochemicals Ltd., the sole domestic applicant. The text states the applicant decided "not to pursue with the sunset review investigation." This suggests the DGTR initiated the review based on the applicant's initial request, and the DGTR is now ceasing the review because the domestic industry no longer seeks the extension of duties.
**5. Key Provisions / Changes:**
* This is effectively a *termination* of the sunset review process. As such, it focuses on discontinuing the process rather than amending current regulations.
* **Specific Change:** The key provision is the termination of the sunset review investigation concerning imports of Flexible Slabstock Polyol from Thailand.
* **New Rule/Provision:** There isn't a "new rule" per se, but rather a discontinuation of a process that could have *potentially* led to the *continuation* of existing antidumping duties. The relevant "provision" becomes the DGTR's *recommendation* that antidumping duties are discontinued.
* **Difference/Effect:** The effect of this change is that, without a completed sunset review recommending continuation of the duties, the existing antidumping duties on Flexible Slabstock Polyol from Thailand are expected to cease. This will likely result in Thailand exporters of this product regaining a price advantage in the Indian market and Indian consumers (or downstream industries) potentially benefiting from lower prices.
**6. Target Audience and Stakeholders:**
Based on the provided text, the primary stakeholders directly affected by this policy termination include:
* **Ms Manali Petrochemicals Ltd.:** The domestic industry that initiated the original antidumping investigation and sunset review. Their decision to withdraw their request directly led to this termination.
* **Exporters/Producers of Flexible Slabstock Polyol in Thailand:** They will be directly impacted by the discontinuation of antidumping duties, making their products more competitive in the Indian market.
* **Importers of Flexible Slabstock Polyol in India:** They will benefit from the potential reduction in import costs due to the removal of duties.
* **Consumers and downstream industries in India:** They may benefit from lower prices of Flexible Slabstock Polyol or products made with it.
* **The Directorate General of Trade Remedies (DGTR):** The agency responsible for conducting the investigation and issuing the notification.
**7. Implementation Aspects (Inferred):**
* **Responsible Agency:** The Directorate General of Trade Remedies (DGTR) is the responsible agency.
* **Timelines/Procedures:** The notification references specific dates, including the initial public notice (31st August 2021), the date of the initiation notification (7th September 2021), and the date of the request for termination (23rd December 2021). The notification itself is dated 30th December 2021. The key aspect is the DGTR recommends the antidumping duties "may be discontinued." The Central Government would likely need to formally act to discontinue the duties.
* **Amendment Specific Implementation:** Since this is a termination, the implementation is centered on informing the relevant parties about the cessation of the review and the recommendation to discontinue the duties. The DGTR has already taken steps like issuing a public notice and informing the Thai embassy.
**8. Expected Outcomes / Impact of Changes:**
* The likely intended outcome of terminating the sunset review and discontinuing the antidumping duties is to allow the market to operate without these duties.
* The *specific impact of the termination* will likely be:
* Increased imports of Flexible Slabstock Polyol from Thailand.
* Potentially lower prices for this product in the Indian market.
* A possible reduction in the competitive advantage of the domestic producer (Ms Manali Petrochemicals Ltd.) *if* dumping were to recur.
* The applicant may need to re-evaluate its market strategy due to the removal of duties, and consider future actions such as initiating a fresh antidumping investigation should it perceive unfair trade practices.
**9. Conclusion:**
The DGTR's notification terminates the sunset review investigation concerning imports of Flexible Slabstock Polyol from Thailand and recommends the discontinuation of existing antidumping duties. This decision stems from the domestic industry's withdrawal of its request for the review. This change is significant as it likely removes trade barriers for Thai exporters and could potentially impact domestic producers and prices in the Indian market.
Key Entities Referenced
NEW DELHI: Place of publication of the gazette notification.
MINISTRY OF COMMERCE AND INDUSTRY: The ministry under which the Directorate General of Trade Remedies (DGTR) operates.
Department of Commerce: Department of the MINISTRY OF COMMERCE AND INDUSTRY
DIRECTORATE GENERAL OF TRADE REMEDIES: Investigating authority for trade remedies in India.
Customs Tariff Act 1975: The primary act governing customs tariffs in India.
Customs Tariff identification, Assessment and Collection of Antidumping on Dumped Articles and for Determination of Injury Rules, 1995: Rules governing antidumping investigations and duty imposition in India.
Ms Manali Petrochemicals Ltd.: The applicant and domestic industry that filed the application for antidumping investigation.
Flexible Slabstock Polyol: The product under consideration in the antidumping investigation.
Thailand: The subject country from which imports of Flexible Slabstock Polyol were being investigated.
Gazette of India Extraordinary: Official government publication in which the initiation of the antidumping investigation was published.
India: The importing country affected by subject goods
Directorate General of Commercial Intelligence and Statistics DGCIS: Agency requested to provide import data for the investigation.
Central Government: The entity that reviews antidumping duties and decides on their continuation or cessation.
ANANT SWARUP: Designated Authority
रजिस्ट्री स.ं डी.एल.- 33004/99 REGD. No. D. L.-33004/99
सी.जी.-डी.एल.-अ.-31122021-232275
xxxGIDHxxx
CG-DL-E-31122021-232275
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असाधारण
EXTRAORDINARY
भाग I—खण्ड 1
PART I—Section 1
प्राजधकार स ेप्रकाजित
PUBLISHED BY AUTHORITY
स.ं 385] िई ददल्ली, बृहस्ट्प जतवार, ददसम्ब र 30, 2021/पौष 9, 1943
No. 385] NEW DELHI, THURSDAY, DECEMBER 30, 2021/PAUSHA 9, 1943
वाजणज्य और उद्योग मत्रं ालय
(वाजणज्य जवभाग
(व्यापार उपचार महाजिदिे ालय
िाचं समाजि अजधसचू िा
िई ददल्ली, 30 ददसम्बर, 2021
मामला स.ं एडी (एसएसआर -16/2021
जवषय: थाइलैंड स ेफ्लजे ससबल स्ट्लबे स्ट्टॉक पॉजलयोल के आयातों के सबं धं म ेंजिणाया क समीक्षा िाचं की समाजि।
फा.स.ं 7/19/2021- डीिीटीआर.—क. प्रस्ट्त ाविा
1. समय-समय पर यथासंिोजधत सीमािुल् क टैररफ अजधजियम, 1975 (जिसे इसके पश् चात ‘’अजधजियम’’ के रुप में कहा गया ह ै
और समय-समय पर यथासंिोजधत तत्संबंधी सीमािुल् क टैररफ (पारटत वस्ट्त ुओं पर पाटिरोधी िुल् क की पहचाि, आकलि
और संकलि तथा क्षजत का जिधाारण जियमावली, 1995 (जिसे इसके पश् चात ‘’जियमावली’’ के रुप में कहा गया ह ै को ध्याि
म ें रखते हुए; मैससा मिाली पैरोकैजमकल्स जलजमटेड (जिसे इसके पश् चात ‘’आवेदक’’ या ‘’घरेलूउद्योग’’ के रुप में कहा गया ह ै
ि े जिर्दष्ा ट प्राजधकारी के समक्ष सीमािुल् क टैररफ अजधजियम, 1975 और पाटिरोधी जियमावली के अिुसार थाइलैंड (जिसे
इसके पश्चात ‘’संबद्ध दिे ‘’ के रुप में भी कहा गया ह ै से फ्लेजससबल स्ट्लेबस्ट्टॉक पॉजलयोल (जिसे इसके पश्चात ‘’जवचाराधीि
उत्पाद’’ अथवा ‘’संबद्धवस्ट्तुएं’’ के रुप में भी कहा गया ह ै के आयातों के संबंध में पाटिरोधी िांच िुरु करिे के जलए एक
आवदिे दायर दकया ह।ै
7672 GI/2021 (1)2 THE GAZETTE OF INDIA : EXTRAORDINARY [PART I—SEC.1]
ख. प्रदिया
2. प्राजधकारी िे िांच के संबंध में जिम्नजलजखत प्रदिया का अिुसरण दकया है:
क) प्राजधकारी िे संबद्ध दिे से संबद्ध वस्ट्तुओं के आयातों के संबंध में पाटिरोधी िांच िुरु करिे के जलए भारत के
रािपत्र असाधारण में प्रकाजित ददिांक 31 अगस्ट्त, 2021 की एक सावािजिक सूचिा िारी की।
ख) प्राजधकारी िे भारत में संबद्ध दिे के दतू ावास, संबद्ध दिे से जियाातकों, और अन्य जहतबद्ध पक्षकारों को, उपलब्ध
सूचिा के अिुसार, ददिांक 7 जसतम्बर, 2021 की िांच िुरुआत करिे संबंधी अजधसूचिा की एक प्रजत भेिी ।
जहतबद्ध पक्षकारों को जिधााररत रुप में और जिधााररत तरीके से संगत सूचिा प्रदाि करिे और जिधााररत समय सीमा
के भीतर जलजखत में अपिे जवचारों से अवगत करािे का अिुरोध दकया गया था।
ग) प्राजधकारी िे पाटिरोधी जियमावली के जियम 6 (3 के अिुसार ज्ञात उत्पादकों/ जियाातकों और भारत में संबद्ध
दिे से दतू ावास को आवेदि के अगोपिीय पाठ की एक प्रजत भी प्रदाि की।
घ) भारत में संबद्ध दिे ों के दतू ावासों को भी अपिे दिे से जियाता कों/ उत्पादकों को यह परामिा दिे े का अिुरोध दकया
गया था दक वे जिधााररत समय-सीमा के भीतर प्रश्नावली का उत्तर भेिें। जियाातकों/ उत्पादकों को भेिी गयी
प्रश्नावली और पत्र की एक प्रजत संबद्ध दिे ों से ज्ञात जियाातकों/ उत्पादकों को उिके िाम और पतों के साथ उन्ह े भी
भेिी गयी थी।
ड. वाजणजज्यक आसूचिा और सांख्यकी महाजिदिे ालय (डीसीसीआईएंडएस को यह अिुरोध दकया गया था दक व े
िांच की अवजध सजहत जवगत तीि वषों के जलए संबद्ध वस्ट्तुओं के आयातों के सौदा-वार ब्यौरे प्रदाि करें।
च) जियमावली के जियम 6 (6 के अिुसार, प्राजधकारी िे सभी ज्ञात जहतबद्ध पक्षकारों को ददिांक 9 िवम्बर, 2021
को आयोजित एक सावािजिक सुिवाई में अपिे जवचारों को मौजखक रुप से प्रस्ट्तुत करिे का अवसर प्रदाि दकया।
जिि पक्षकारों िे मौजखक सुिवाई में अपिे जवचार प्रस्ट्तुत दकए थे, उन्ह ें मौजखक रुप से व्यक्त अपिे जवचारों को
जलजखत अिुरोध में प्रस्ट्तुत करिे और उसके बाद ररज्वाइंडर प्रस्ट्तुत करिे का अिुरोध दकया गया था।
ग. घरेल ूउद्योग स ेप्राि अिरु ोध
3. आवेदक ि े ईमेल ददिाकं 23-12-2021 के माध्यम स ेजियम 14 (ए के सदं भ ा म ें जिणाया क समीक्षा िाचं को समाि करि े का
अिरु ोध दकया, जिसम ें कहा गया था दक उन्होंि े जिणाया क समीक्षा िाचं को आगे िहीं बढाि े का फैसला दकया है जिस े एफ.
सख्ं या 7/19/2021 ददिादं कत 31-08-2021 के तहत िरूु दकया गया था।
घ. प्राजधकारी द्वारा िाचं
4. प्राजधकारी िे यह िांच घरेलू उद्योग द्वारा उिके द्वारा उत्पाददत सबं द्ध वस्ट्तुओं पर दायर याजचका के आधार पर की थी,
जिसमें संबद्ध दिे से पारटत आयातों के कारण पाटि के िारी रहिे या दफर से होिे की संभाविा का दावा दकया गया था।
घरेलू उद्योग द्वारा अपिे ईमेल ददिांक 23 ददसंबर 2021 के द्वारा दकए गए अिुरोध की तद्िुसार िांच की गई ह।ै
5. यह िोट दकया िाता ह ै दक सीमा िुल्क टैररफ अजधजियम की धारा 9ए (5 में प्रावधाि ह ै दक लगाया गया एंटी-डंपपंग
िुल्क, इस तरह के लागू होिे की तारीख से पांच साल की समाजि पर प्रभावी िहीं होगा, बिते दक केंद्र सरकार, एक
समीक्षा में का जवचार ह ै दक इस तरह के िुल्क को समाि करिे से पाटि और क्षजत के िारी रहिे या पुिरावृजत्त होिे की
संभाविा ह।ै
6. वतामाि िांच में, मैससा मिाली पेरोकेजमकल्स जलजमटेड एकमात्र आवेदक घरेलू उत्पादक है जिसके कहिे पर िांच िुरू की गई
थी। यह िोट दकया िाता ह ै दक घरेलू उद्योग िे यह कहते हुए जियम 14(ए के संदभा में जिणाायक समीक्षा िांच को समाि
करिे का अिुरोध दकया है दक उन्होंिे अंजतम समीक्षा िांच को आग े िहीं बढािे का जिणाय जलया ह ै जिसे एफ संख्या
7/19/2021 ददिांक 31-08-2021 के तहत िुरू दकया गया था।।
7. तत्काल िांच में, घरेलू उद्योग िे एक जलजखत अिुरोध दकया है दक िांच को आग े बढािे की आवश्यकता िहीं है, प्राजधकारी
एतद्द्वारा संबद्ध दिे से संबद्ध वस्ट्तुओं के आयात पर जवषय समीक्षा िांच को समाि करते हैं और जसफाररि करते ह ैंदक आयात
पर पाटिरोधी िुल्क थाईलैंड से भारत में ’फ्लेजससबल स्ट्लेबस्ट्टॉक पॉजलयोल’’ को बंद दकया िा सकता है।
अिंत स्ट्वरुप, जिर्दष्ा ट प्राजधकारी[भाग I—खण् ड 1] भारत का रािपत्र : असाधारण 3
MINISTRY OF COMMERCE AND INDUSTRY
(Department of Commerce)
(DIRECTORATE GENERAL OF TRADE REMEDIES)
TERMINATION NOTIFICATION
New Delhi, the 30th December, 2021
Case No. AD (SSR)- 16/2021
Subject: Termination of Sunset Review investigation concerning imports of Flexible Slabstock Polyol from
Thailand.
A. F. No. 7/19/2021-DGTR.— A. Introduction
1. Having regard to the Customs Tariff Act 1975 as amended from time to time (hereinafter referred as the Act)
and the Customs Tariff (identification, Assessment and Collection of Anti-dumping on Dumped Articles and
for Determination of Injury) Rules, 1995 thereof, as amended from time to time (hereinafter referred as the
Anti- Dumping Rules); M/s Manali Petrochemicals Ltd. (hereinafter also referred to as the "applicant" or
“domestic industry”) filed an application before the Authority in accordance with the Customs Tariff Act, 1975
and the Anti-Dumping Rules for initiation of anti-dumping investigation concerning imports of the Flexible
Slabstock Polyol (hereinafter also referred to as the “product under consideration” or the “subject goods”) from
Thailand (hereinafter also referred to as the “subject country”).
B. Procedure
2. The procedure described below has been followed with regard to the investigation:
a. The Authority issued a public notice on 31st August, 2021, published in the Gazette of India
Extraordinary, initiating anti-dumping investigation concerning import of subject goods from the subject
country.
b. The Authority sent a copy of the initiation notification dated 7th September, 2021, to the embassy of the
subject country in India, the known producers and exporters from the subject country and other interested
parties, as per the available information. The interested parties were requested to provide relevant
information in the form and manner prescribed and make their submissions known in writing within the
prescribed time-limit.
c. The Authority also provided a copy of the non-confidential version of the application to the known
producers/exporters and to the Embassy of the subject country in India in accordance with Rule 6(3) of
the Anti-Dumping Rules.
d. The Embassy of the subject country in India was also requested to advise the exporters/producers from
their country to respond to the questionnaire within the prescribed time limit. A copy of the letter and
questionnaire sent to the producers/exporters was also sent to it along with the names and addresses of the
known producers/exporters from the subject country.
e. Request was made to the Directorate General of Commercial Intelligence and Statistics (DGCI&S) to
provide transaction-wise details of imports of subject goods for the past three years, including the period
of investigation.
f. In accordance with Rule 6(6) of the Rules, the Authority provided opportunity to all known interested
parties to present their views orally in a public hearing held on 9th November, 2021. The parties, which
presented their views in the oral hearing were requested to file written submissions of the views expressed
orally, followed by rejoinders submissions.
C. Request Received from Domestic Industry
3. The Applicant through email dated 23.12.2021 requested for termination of the sunset review investigation in
terms of Rule 14(a), stating that they have decided not to pursue with the sunset review investigation, which
was initiated vide F.No.7/19/2021 dated 31-08-2021.
D. Examination by the Authority
4. The Authority had undertaken this investigation based on the petition filed by the domestic industry on subject
goods produced by them, claiming likelihood of continuation or recurrence of Dumping on account of dumped
imports from the subject country. The request made by the domestic industry, vide its email dated 23th
December, 2021 has accordingly been examined.4 THE GAZETTE OF INDIA : EXTRAORDINARY [PART I—SEC.1]
5. It is noted that Section 9A (5) of the Customs Tariff Act provides that the anti-dumping duty imposed shall,
cease to have effect on the expiry of five years from the date of such imposition, provided that the Central
Government, in a review, is of the opinion that the cessation of such duty is likely to lead to continuation or
recurrence of dumping and injury.
6. In the instant investigation M/s Manali Petrochemicals Ltd.is the sole applicant domestic producer, on whose
instance the investigation was initiated. It is noted that the domestic industry has requested for termination of
the sunset review investigation in terms of Rule 14(a), stating that they have decided not to pursue with the
sunset review investigation, which was initiated vide F.No.7/19/2021 dated 31-08-2021.
7. In the instant investigation, the domestic industry having made a written request that the investigation need not
be pursued further, the Authority hereby terminates the subject review investigation on import of subject goods
from subject country and recommends that the anti-dumping duties on the imports of Flexible Slabstock Polyol
from Thailand into India, may be discontinued.
ANANT SWARUP, Designated Authority
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.