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Info-pedia / 06 Apr 2024

Info Pedia : Anti-Dumping Investigation



India has initiated an anti-dumping investigation, led by the Directorate General of Trade Remedies (DGTR), regarding the import of a chemical utilized in the rubber industry from China and Japan.

What is Dumping?

Dumping occurs when a country exports goods to a foreign market at a price that is lower than what it charges domestically in its own home market.

What is Anti-Dumping?

Anti-dumping is when a country puts extra taxes on goods from other countries if those goods are being sold for cheaper than they are in their home country. This is done to make things fairer in trade. It's allowed by the World Trade Organization (WTO).

About the Ongoing Investigation

An investigation into alleged dumping practices is currently ongoing regarding the importation of 'insoluble sulfur' from China and Japan. Insoluble sulfur, an amorphous variant of sulfur, does not dissolve in carbon disulphide and plays a critical role in the rubber industry. It serves as an essential additive in rubber products such as tires and footwear, improving their durability and performance. Furthermore, it functions as a vulcanization accelerator during the rubber production process, aiding in the solidification of rubber by promoting cross-linking with other materials.