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Core Purpose

The Directorate General of Trade Remedies initiates a sunset review investigation to determine the continued necessity of imposing anti-dumping duties on imports of Hydrofluorocarbon (HFC) Blends originating in or exported from China PR, and to assess the likelihood of recurrence of dumping and injury to the domestic industry upon expiry of current duties.

Detailed Summary

The Ministry of Commerce and Industry, through its Directorate General of Trade Remedies, has initiated a sunset review investigation (CASE No. AD (SSR)- 10/2025) concerning imports of "Hydrofluorocarbon (HFC) Blends" (excluding blends 407 and 410) originating in or exported from China PR. This investigation follows an application filed by SRF Limited, supported by Gujarat Fluorochemicals Limited, alleging the likelihood of continuation or recurrence of dumping and injury to the domestic industry if existing anti-dumping duties cease. The original anti-dumping investigation was initiated on 30th September 2020, leading to the imposition of duties for five years by the Ministry of Finance vide Notification No. 76/2021-Customs (ADD) dated 22nd December 2021, based on final findings no. F. No.06/34/2020-DGTR dated 27th September 2021. The current investigation is conducted under the Customs Tariff Act, 1975 (Section 9A(5)) and the Customs Tariff (Identification, Assessment, and Collection of Anti-Dumping Duty on Dumped Articles and for Determination of Injury) Rules, 1995 (Rule 23(IB), Rule 2(b), Rule 5(3), Rule 6, Rule 6(4), Rule 7(2)). The period of investigation (POI) is from 1st April 2024 to 31st March 2025, with an injury examination period covering April 2021 - March 2022, April 2022 - March 2023, April 2023 - March 2024, and the POI. Prima facie evidence suggests a significant dumping margin and a likelihood of continued injury. Interested parties are required to submit information within 30 days of receiving the notice, with specific guidelines for confidential submissions as per Rule 7(2) and relevant trade notices.

Full Text

REGD. No. D. L.-33004/99 The Gazette of India CG-DL-E-25092025-266388 EXTRAORDINARY PART I-Section 1 PUBLISHED BY AUTHORITY No. 259] NEW DELHI, WEDNESDAY, SEPTEMBER 24, 2025/ASVINA_2, 1947 MINISTRY OF COMMERCE AND INDUSTRY (Department of Commerce) [DIRECTORATE GENERAL OF TRADE REMEDIES] INITIATION NOTIFICATION New Delhi, the 24th September,2025 CASE No. AD (SSR)- 10/2025 Subject: Initiation of sunset review investigation concerning imports of “Hydrofluorocarbon (HFC) Blends” originating in or exported from China PR. 1. F. No. 7/17/2025 - DGTR: Having regards 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 Duty on Dumped Articles and for Determination of Injury) Rules, 1995, as amended from time to time (hereinafter referred to as the 'Rules'), SRF Limited (hereinafter referred to as the 'applicant') has filed an application before the Designated Authority (hereinafter referred to as the 'Authority'), for initiation of the sunset review investigation of anti-dumping duty on imports of Hydrofluorocarbon (HFC) Blends (hereinafter referred to as the ‘product under consideration' or 'subject goods'), originating in or exported from China PR (hereinafter referred to as the 'subject country'). 2. In terms of Section 9A (5) of the Act, the anti-dumping duty imposed shall, unless revoked earlier, cease to have effect on expiry of five years from the date of such imposition, and the Authority is required to review whether the expiry of duty is likely to lead to continuation or recurrence of dumping or injury. In accordance with the same, the Authority is required to review, on the basis of a duly substantiated request made by or on behalf of the domestic industry as to whether the expiry of duty is likely to lead to continuation or recurrence of dumping and injury. A. Background of previous investigation. 3. The original anti-dumping investigation concerning imports of product under consideration from the subject country was initiated on 30th September 2020. Pursuant to detailed investigation, the Authority recommended imposition of anti-dumping duty vide. final findings no. F. No.06/34/2020- DGTR dated 27th September 2021. The Ministry of Finance vide Notification No. 76/2021-Customs (ADD) dated 22st December 2021 imposed anti-dumping duties for a period of 5 years. B. Product under consideration (PUC). 4. The product under consideration in the present investigation is same as defined in the original investigation which is as follows: "7. The product under consideration in the present investigation is "Hydrofluorocarbon (HFC) Blends. All blends other than 407 and 410 are excluded". 8. HFC Blends are colourless, odourless gasses containing only hydrogen, fluorine and carbon and are used as low-to-medium temperature refrigerants in residential and commercial air conditioning systems. The two major end uses are in residential air conditioning and heat pumps, commercial air conditioning, commercial refrigeration, transportation refrigeration, and process refrigeration, e.g., food processing and chemical manufacturing. The HFC Blends are considered as a single article for the purpose of the investigation.” 5. The product under consideration was classified in the original investigation under Chapter 38 of the Customs Tariff Act, 1975 under subheading 3824 78 00. The tariff classification has undergone a change from March 2022 to subheadings 3827 63 00 and 3827 64 00. The customs classification is only indicative and is not binding on the scope of the product under consideration. 6. The present application being a sunset review investigation, the product under consideration remains the same as defined in the original final finding notification. 7. The applicant has proposed to consider packed and unpacked as PCN methodology. The imports have taken place only for the unpacked form. C. Like article. 8. The applicant has claimed that there are no significant difference in the product produced by the applicant and the one exported from the subject country. The product produced by the applicant and imported from the subject country is comparable in terms of characteristics such as physical & chemical characteristics, manufacturing process & technology, functions & uses. product specifications, pricing, distribution & marketing, and tariff classification of the goods. The two are technically and commercially substitutable and are used by consumers interchangeably. The present application is for sunset review investigation for the continued imposition of anti-dumping duty. The issue of like article has already been examined by the Authority in the original investigation as well. The product produced by the applicant is like article to the product under consideration produced and imported from the subject country. D. Domestic industry and standing. 9. The application has been filed by the SRF Limited. The applicant has certified that it has not imported the subject goods nor related to the exporters from the subject country or importers in India. 10. Apart from the applicant, there are other producers of the subject goods in India. Gujarat Fluorochemicals Limited has supported the application. The Authority had sent an intimation to the producers about the receipt of the application. None of the producers have replied to this intimation. 11. As per the evidence available on record, it is seen that the production of the applicant accounts for a major proportion in the domestic production of the like article in India. In view of the same, and based on information available on record, it is seen that the applicant constitutes domestic industry within the meaning of Rule 2(b) of the Rules. The application satisfies the requirements of standing in terms of Rule 5(3). E. Subject country. 12. The subject country in the present investigation is China PR. F. Period of investigation. 13. The period of investigation (POI) for the investigation is from 1st April 2024 – 31st March 2025 (12 months). The injury examination period is April 2021 - March 2022, April 2022 - March 2023, April 2023 - March 2024 and the period of investigation. G. Basis of alleged dumping. i. Normal value. 14. The applicant has cited and relied upon Article 15(a) (i) of China's Accession Protocol and has claimed that China PR should be treated as a non-market economy and that producers from China PR should be directed to demonstrate that market economy conditions prevail in the industry with regard to the production and sales of the product under consideration. Unless the producers from China PR show that such market economy conditions prevail, their normal value should be determined in accordance with Para 7 and 8 of Annexure-I to the Anti-Dumping Rules, 1995. 15. The applicant has submitted that data relating to cost and price in market economy third country is not available. The applicant has claimed normal value based on the export price of the product from a market economy third country to any other country, including India. The applicant has claimed normal value based on the import price from European Union adjusted to arrive at net ex-factory level. The applicant has also supplemented normal value based on the price paid and payable in India. 16. For the purpose of initiation, the normal value for the product under consideration has been determined based on cost of production in India, duly adjusted for addition of selling, general and administrative expenses and reasonable profits. ii. Export price 17. The export price of the product under consideration has been determined by considering the CIF price of the product under consideration as reported in DG Systems transaction wise import data. Adjustments have been claimed for ocean freight, marine insurance, commission, bank charges, port expenses, inland freight expenses and credit cost. iii. Dumping margin 18. The normal value and the export price have been compared at the ex-factory level, which prima facie establishes that the dumping margin with respect to the product under consideration imported from the subject country is not only above the de minimis level but is also significant. Since the present investigation is a sunset review investigation, the Authority shall also determine likelihood of dumping after receipt of information and evidence from the interested parties. H. Likelihood of continuation or recurrence of injury and causal link 19. The applicant has provided prima facie evidence with respect to likelihood of injury in the event of cessation of measures. The applicant has claimed that the dumped imports have declined because of imposition of measures and increase in the exports of R-125 but have continued to remain below the cost of production of the domestic industry. The applicant has also provided information on surplus capacities, third country measures and third country price analysis in support of its claim of likelihood of injury. The information provided by the applicant, prima facie, shows continuation of dumping from the subject country and likelihood of injury to the domestic industry in case of cessation of the anti-dumping duty. I. Initiation of sunset review investigation. 20. On the basis of the duly substantiated application of the applicant, and having satisfied itself on the basis of the prima facie evidence submitted by the applicant, substantiating the likelihood of continuation/ recurrence of dumping and injury, and in accordance with Section 9A(5) of the Act read with Rule 23 (IB) of the Rules, the Authority hereby initiates a sunset review investigation to review the need for continued imposition of the duties in force in respect of the subject goods, originating in or exported from the subject country and to examine whether the expiry of such duty is likely to lead to continuation or recurrence of dumping and injury to the domestic industry. J. Procedure. 21. Principles, as given in Rule 6 of the Rules, will be followed for the present investigation K. Submission of information. 22. All communication should be sent to the Designated Authority via email at email addresses jd12- dgtr@gov.in and ad12-dgtr@gov.in with a copy to dir15-dgtr@gov.in and consultant-dgtr@nic.in. It must be ensured that the narrative part of the submission is in searchable PDF/MS-Word format and data files are in MS-Excel format. 23. The known producers/exporters in subject country, the government of subject country through its Embassy in India, and the importers and users in India who are known to be associated with the product under consideration are being informed separately to enable them to file all the relevant information within the time limits mentioned in this initiation notification. All such information must be filed in the form and manner as prescribed by this initiation notification, the Rules, and the applicable trade notices issued by the Authority. 24. Any other interested party may also make a submission relevant to the present investigation in the form and manner as prescribed by this initiation notification, the Rules, and the applicable trade notices issued by the Authority within the time limits mentioned in this initiation notification. 25. Any party making any confidential submission before the Authority is required to make a non- confidential version of the same available to the other interested parties. 26. Interested parties are further directed to regularly visit the official website of the Directorate General of Trade Remedies (dgtr-india@gov.in) to stay updated and apprised with the information as well as further processes related to the investigation. L. Time limit. 27. Any information relating to the present investigation should be sent to the Authority via email at email addresses jd12-dgtr@gov.in and ad12-dgtr@gov.in with a copy to dir15-dgtr@gov.in and consultant-dgtr@nic.in within 30 days from the date of the receipt of the notice as per the Rule 6(4) of the Rules. It may, however, be noted that in terms of explanation of the said Rules, the notice calling for information and other documents shall be deemed to have received within one week from the date on which it was sent by the Authority or transmitted to the appropriate diplomatic representative of the exporting country. If no information is received within the prescribed time-limit or the information received is incomplete, the Authority may record its findings on the basis of the facts available on record in accordance with the Rules. 28. All the interested parties are hereby advised to intimate their interest (including the nature of interest) in the instant matter and file their questionnaire responses within the above time limit as stipulated in this notification. 29. Where an interested party seeks additional time for filing of submissions, it must demonstrate sufficient cause for such extension in terms of Rule 6(4) of the AD Rules, 1995 and such request must come within the time stipulated in this notification. M. Submission of information on confidential basis. 30. Where any party to the present investigation makes confidential submissions or provides information on a confidential basis before the Authority, such party is required to simultaneously submit a non- confidential version of such information in terms of Rule 7(2) of the Rules and in accordance with the relevant trade notices issued by the Authority in this regard. 31. Such submissions must be clearly marked as 'confidential' or 'non-confidential' at the top of each page. Any submission that has been made to the Authority without such markings shall be treated as 'non-confidential' information by the Authority, and the Authority shall be at liberty to allow other interested parties to inspect such submissions. 32. The confidential version shall contain all information which is, by nature, confidential, and/or other information, which the supplier of such information claims as confidential. For the information which is claimed to be confidential by nature, or the information on which confidentiality is claimed because of other reasons, the supplier of the information is required to provide a good cause statement along with the supplied information as to why such information cannot be disclosed. 33. The non-confidential version of the information filed by the interested parties should be a replica of the confidential version with the confidential information preferably indexed or blanked out (where indexation is not possible) and such information must be appropriately and adequately summarized depending upon the information on which confidentiality is claimed. 34. The non-confidential summary must be in sufficient detail to permit a reasonable understanding of the substance of the information furnished on a confidential basis. However, in exceptional circumstances, the party submitting the confidential information may indicate that such information is not susceptible to summary, and a statement of reasons containing a sufficient and adequate explanation in terms of Rule 7 of the Rules, 1995, and appropriate trade notices issued by the Authority, as to why such summarization is not possible, must be provided to the satisfaction of the Authority. 35. The interested parties can offer their comments on the issues of confidentiality within 7 days from the date of circulation of the non-confidential version of the documents. 36. Any submission made without a meaningful non-confidential version thereof or a sufficient and adequate cause statement in terms of Rule 7 of the Rules, and appropriate trade notices issued by the Authority, on the confidentiality claim shall not be taken on record by the Authority. 37. The Authority may accept or reject the request for confidentiality on examination of the nature of the information submitted. If the Authority is satisfied that the request for confidentiality is not warranted or if the supplier of the information is either unwilling to make the information public or to authorize its disclosure in generalized or summary form, it may disregard such information. 38. The Authority on being satisfied and accepting the need for confidentiality of the information provided, shall not disclose it to any party without specific authorisation of the party providing such information. N. Inspection of public file. 39. A list of registered interested parties will be uploaded on the DGTR's website along with the request therein to all of them to email the non-confidential version of their submissions to all other interested parties. O. Non-cooperation. 40. In case any interested party refuses access to and otherwise does not provide necessary information within a reasonable period or within the time stipulated by the Authority in this initiation notification, or significantly impedes the investigation, the Authority may declare such interested party as non-cooperative and record its findings based on the facts available and make such recommendations to the Central Government as it deems fit. SIDDHARTH MAHAJAN, 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. GORAKHA NATH Digitally signed by GORAKHA YADAVA NATH YADAVA Date: 2025.09.25 14:05:14 +05'30'

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