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The Directorate General of Trade Remedies initiates an anti-dumping investigation concerning imports of Belting Fabric made of 80% or more of polyester or nylon from China PR.

Detailed Summary

The Ministry of Commerce and Industry, Department of Commerce, Directorate General of Trade Remedies (Designated Authority) has initiated an anti-dumping investigation (Case No.-AD (OI)–44/2025) on 27th September, 2025, concerning imports of "Belting Fabric made of 80% or more of polyester or nylon" (excluding Chafer fabric, also known as Rubberized Textile Fabric or Conveyor Belt Fabric, classifiable under subheading 5906 99 90 of Chapter 59, Customs Tariff Act) from China PR. The investigation was initiated based on an application filed by SRF Limited, supported by Grabtech Fabrics LLP, Madura Industrial Textile, and Sanreha Technical Textiles Limited, alleging material injury due to dumped imports. The Designated Authority, Siddharth Mahajan, determined SRF Limited constitutes 'domestic industry' under Rule 2(b) and satisfies standing criteria under Rule 5(3) of the Customs Tariff (Identification, Assessment and Collection of Anti-Dumping Duty on Dumped Articles and for Determination of Injury) Rules, 1995 (AD Rules). The period of investigation is 1st April 2024 to 31st March 2025, with the injury investigation period covering 2021-22, 2022-23, 2023-24, and the period of investigation. The applicant cited Article 15(a)(i) of China's Accession Protocol, treating China PR as a non-market economy for normal value determination, which was based on Indian cost of production plus profit. Prima facie evidence indicates a significant dumping margin and injury to the domestic industry through increased imports, price undercutting, price depression, and reduced profitability. Interested parties are invited to submit comments on the Product Under Consideration/Product Control Number (PUC/PCN) methodology within 15 days, and other information within 30 days from the circulation of non-confidential documents, as per Rule 6 and Rule 7 of the AD Rules.

Full Text

REGD. No. D. L.-33004/99 The Gazette of India CG-DL-E-30092025-266543 EXTRAORDINARY PART I-Section 1 PUBLISHED BY AUTHORITY No. 272] NEW DELHI, SATURDAY, SEPTEMBER 27, 2025/ASVINA 5, 1947 6491 GI/2025 MINISTRY OF COMMERCE AND INDUSTRY (Department of Commerce) (Directorate General of Trade Remedies) INITIATION NOTIFICATION New Delhi, 27th September, 2025 Case No.-AD (OI)–44/2025 Subject: Initiation of anti-dumping investigation concerning imports of Belting Fabric made of 80% or more of polyester or nylon from China PR. 1. No. 6/49/2025-DGTR:Having regards to the Customs Tariff Act 1975, as amended from time to time (hereinafter also referred to 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 thereof, as amended from time to time (hereinafter also referred to as the “Rules or AD 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 an anti-dumping investigation concerning imports of Belting Fabric made of 80% or more of polyester or nylon (hereinafter referred to as the "subject goods” or “product under consideration") from China PR (“subject country"). 2. The applicant has alleged that material injury is being caused due to the dumped imports of the subject goods from the subject country and has requested for the imposition of anti-dumping duties on the imports of the subject goods, originating in or exported from the subject country. A. Product under consideration 3. The product under consideration is Belting Fabric made of 80% or more of polyester or nylon in any combination, excluding Chafer fabric. 4. It is also known as Rubberized Textile Fabric (RTF) or Conveyor Belt Fabric (CBF). Belting fabrics can be made from various types of materials such as polyester yarns, nylon yarns, cotton, polypropylene etc. The scope of the product under consideration covers those belting fabrics in which either polyester or nylon are 80% or more in any combination. 5. The subject goods do not have a dedicated code and are classifiable under subheading 5906 99 90 of Chapter 59, Customs Tariff Act. 6. The applicant has proposed the below PCN methodology. | SN | Warp 1 | Warp 2 | Weft | PCN code | |:---|:------------|:--------------------|:----------------------|:---------| | 1 | Polyester | -- | Polyester | EE | | 2 | Polyester | Polyester | Polyester | EEE | | 3 | Polyester | -- | High Elongation | EEH | | | | | Polyester | | | 4 | Polyester | High Elongation | High Elongation | EHH | | | | Polyester | Polyester | | | 5 | Polyester | -- | Spun polyester | EES | | 6 | Nylon 6 | -- | Nylon 6 | NN | | 7 | Nylon 6 | -- | Spun Polyester | NES | 7. The interested parties in the subject investigation may provide their comments on the PUC/PCN methodology, if any, within 15 days from the date of initiation of this investigation. B. Like article 8. The applicant has submitted that there are no significant differences in the product produced by the applicant and those exported from the subject country, and both are like articles. The product produced by the applicant and those imported from the subject country are comparable in terms of essential product characteristics such as physical and chemical characteristics, manufacturing process & technology, functions & usage, product specifications, pricing, distribution & marketing and tariff classification of the goods. Consumers can use and have been using the two interchangeably. The two are technically and commercially substitutable, and hence, should be treated as 'like article' under the Rules. Thus, for the purposes of initiation of the present investigation, the product produced by the applicant has been prima facie considered as like article to the product being imported from the subject country. C. Domestic industry and standing 9. The application has been filed by SRF Limited. 10. Grabtech Fabrics LLP, Madura Industrial Textile and Sanreha Technical Textiles Limited have provided their support to the application and provided support letter with relevant data. NRC Industries Limited has provided support to the application but not provided any data. 11. The applicant has certified that it is not related to an exporter or producer of the subject goods in the subject country or an importer in India either directly or indirectly within the meaning of Rule 2(b) the Rules. The applicant has not imported the product under consideration. 12. The applicant is one of the major producers of the subject goods in India. The production of the applicant accounts for a major proportion in the domestic production of the like article in India. 13. Based on the information provided, it is seen that the applicant constitutes ‘domestic industry' within the meaning of Rule 2(b) of the Rules, and the application satisfies the criteria of standing in terms of Rule 5(3) of the Rules. D. Subject country 14. The subject country for the present anti-dumping investigation is China PR. E. Period of investigation 15. The period of investigation for the present investigation is 1st April 2024 – 31st March 2025 (a period of 12 months). The injury investigation period will cover the period of 2021-22, 2022-23 and 2023-24 and the period of investigation. F. Basis of alleged dumping i. Normal value for China PR 16. 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. 17. The applicant has submitted that data relating to cost and price in market economy third country is not available. With regards to the price at which the product under consideration has been sold from the market economy third country to any other country, including India, the applicant submitted this information is not available as the product under consideration does not have a dedicated code. Therefore, the applicant has determined normal value for product under consideration based on cost of production in India, adjusted to include a reasonable profit margin. 18. 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 19. 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 data. Adjustments have been claimed for ocean freight, marine insurance, commission, bank charges, handling charges and credit cost. iii. Dumping margin 20. 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. Thus, there is sufficient prima facie evidence that the product under consideration is being dumped in the domestic market of India by the exporters from the subject country. G. Evidence of injury and causal link 21. Information furnished by the applicant has been considered for assessment of injury to the domestic industry. The applicant has furnished prima facie evidence with respect to the injury suffered because of the alleged dumped imports. The information concerning imports and economic parameters of the domestic industry over the injury period show that the imports have increased in absolute terms over the injury period. There is positive price undercutting and price depression effect on the prices of the applicant. The applicant has incurred decline in its profitability and return on capital employed. There is sufficient prima facie evidence of injury being caused to the domestic industry by dumped imports of subject goods from the subject country. H. Initiation of anti-dumping investigation 22. On the basis of the duly substantiated written application submitted by the applicant and having reached satisfaction based on the prima facie evidence submitted by the applicant concerning the dumping of the product under consideration originating in or exported from the subject country, the consequential injury to the domestic industry as a result of the alleged dumping of the product under consideration and the causal link between such injury and the dumped imports, and in accordance with Section 9A of the Act read with Rule 5 of the AD Rules, the Authority, hereby, initiates an anti- dumping investigation to determine the existence, degree, and effect of the dumping with respect to the product under consideration originating in or exported from subject country and to recommend the appropriate amount of anti-dumping duty, which if levied, would be adequate to remove the injury to the domestic industry. I. Procedure 23. The provisions stipulated in Rule 6 of the Anti-Dumping Rules shall be followed in this investigation. J. Submission of information 24. All communication should be sent to the Designated Authority via email at email addresses jd11- dgtr@gov.in and dir16-dgtr@gov.in with a copy to consultant-dgtr@govcontractor.in and adv13- dgtr@gov.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. 25. 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. 26. 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. 27. 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. 28. Interested parties are further directed to regularly visit the official website of the Directorate General of Trade Remedies (https://www.dgtr.gov.in/) to stay updated and apprised with the information as well as further processes related to the investigation. K. Time limit 29. Any information relating to the present investigation should be sent to the Designated Authority via email at the following email addresses jd11-dgtr@gov.in, dir16-dgtr@gov.in_and with a copy to consultant-dgtr@govcontractor.in and adv13-dgtr@gov.in. within 30 days from the date on which the non-confidential version of the documents filed by the applicant would be circulated by the Designated Authority or transmitted to the appropriate diplomatic representative of the exporting country as per Rule 6(4) of the Rules. If no information is received within the stipulated time limit or the information received is incomplete, the Authority may record its findings based on the facts available on record and in accordance with the Rules. 30. 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. 31. 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 L. Submission of information on confidential basis 32. 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. 33. 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. 34. 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. 35. 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. 36. 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. 37. 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. 38. 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. 39. 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. 40. 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. M. Inspection of public file 41. 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. N. Non-cooperation 42. 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.

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