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12. October 2006

INDIA: Anti-dumping duty slapped on Thai, Chinese tyres, tubes

Source: Daily "The Hindu Business Line", New Delhi; 12 Oct 2006

The Finance Ministry has imposed provisional
anti-dumping duty on non-radial lorry and bus tyres,
tubes and flaps imported from China and Thailand.

The provisional anti-dumping duty, which is usually
valid for about six months, has been imposed through
the reference price route to discourage any under
valuation.

In the case of China, the Ministry has pegged the
reference price for bias tyres used in lorry and buses
at $88.82 per piece. For inner tubes and tyre flaps,
the reference price has been pegged at $6.98 and $3.50
respectively.

If non-radial bus and lorry tyres from China were to
be imported at less than $88.82 per piece, then the
reference price would be the basis on which
countervailing and other duties would be levied.

Similarly, the reference price for bias tyres (used in
lorries and buses) imports from Thailand has been
pegged at $108.27.

The Automotive Tyre Manufacturers' Association (ATMA),
which had filed a petition for initiating an
anti-dumping probe on imports of bias tyres from
China, said that the reference price of $88.82 was not
up to its expectations.

"The anti-dumping duty that has been imposed is lower
than anticipated. There is a lag effect as the period
of investigation was from April 2005 to June 2006. In
the period between June 2006 and now, the cost of
production has gone up due to higher oil and natural
rubber prices," Mr D. Ravindran, Director-General of
ATMA, said.

On imports of non-radial lorry and bus tyres from
Thailand, Mr Ravindran said that there were no
large-scale imports from that country.

Although the domestic tyre industry had petitioned for
anti-dumping probe on lorry and bus tyre (bias tyres)
imports from China, the imports from Thailand also got
covered for the investigation as the prices of some
import consignments from that country were below
Chinese prices.



(Syed Rashid Ali, Karachi, Pakistan)

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