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2011 (8) TMI 745

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..... the two. - imposition of anti dumping duty upheld. - AD/9/2010 - AD/27/2011(PB), - Dated:- 3-8-2011 - Justice R.M.S. Khandeparkar, Dr. Chittaranjan Satapathy, Shri D.N. Panda, JJ. S/Shri S. Seetharaman with Atul Gupta, Sagnik Sinha and Sriram, Advocates, for the Appellant. Shri Ameet Singh, Advocate, for the Respondent. Ms. Reena Khair and Shri Rajesh Sharma, Advocates, for the Interested Partie. [Order per : Chittaranjan Satapathy, Member (T)]. The appellants represent Automotive Tyre Industry in India. On a complaint from the Association of Carbon Black Manufacturers representing the domestic producers of carbon black, the Designated Authority (D.A.) initiated an anti-dumping investigation on 26-12-2008. On 25-5-2009, the D.A. issued preliminary findings recommending imposition of provisional duties on import of carbon black. Subsequently, the D.A. has issued the impugned final findings on 24-12-2009 pursuant to which the impugned Customs Notification dated 28-1-2010 has been issued imposing definitive anti-dumping duty on carbon black from a number of countries (subject countries). 2. Mr. Seetharaman, learned Advocate for the appellants mainly canvasse .....

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..... 5. She justifies the determination regarding injury and threat on material injury by the D.A. by stating that there was a gradual deterioration of the condition of the domestic industry during the POI, warranting a quarterly analysis of the indices. The authority has also examined the indices for the quarter after the period of investigation to ascertain injury to the domestic industry, which is very much permissible under the law. The only legal requirement with regard to injury period is that it should cover entirety of the investigation period. The rules do not prescribe that the injury period should not go beyond dumping investigation period. 6. She further points out that some of the important factors noted by the D.A. are that the imports increased from 19,804 MT in the base year to 53,514 MT during the POI. The dumped imports in relation to consumption in India also increased from 4.87% to 10.38%. Therefore, the import volumes increased significantly both in absolute terms and relative to production in India. As regards the price effect, there was undercutting in the range of 3% to 8%. Other relevant parameters include the changes in the cost of production vis- -vis the .....

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..... xamined by the D.A. 10. Shri Ameet Singh, learned Advocate appearing for the D.A. states that there has been no breach of confidentiality as no figures have been disclosed. He also states that the annual reports of the concerned companies are for all the products manufactured by them and hence the same cannot be relied in toto while conducting anti-dumping investigation for a particular product. 11. We have considered the case records, arguments from both sides as well as the cited case laws. We find that the D.A. has given his final findings after a detailed investigation and due examination with regard to existence of dumping, injury and causal link between the two. We note that the concerned exporters on whose products the anti-dumping duty has been imposed are not in appeal before us. The appeal has been filed by an association representing the importer tyre manufacturers in India. To a query from the Bench, the learned Advocate Shri S. Seetharaman clarifies that this is not an appeal by proxy on behalf of the exporters. In the absence of challenge by the exporters to various determinations made by the D.A., it can be safely concluded that the exporters are not aggrieved by .....

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..... hat it should cover the investigation period in its entirety, which has been done in this case. The rules do not prohibit that injury period should not go beyond the POI. There was justification in this case to look at the data beyond the POI as there was a gradual deterioration of the condition of the D.I. during the POI which also warranted a quarterly analysis of the data. It is not possible therefore to come to a conclusion that the D.A. was unjustified in taking the data for the first quarter after the POI. On the other hand, the data for the second quarter related to the post-initiation period of the investigation and therefore could not be made use of apart from being unquantified as regards the impact and hence not useful/reliable. We also note that the analysis done by the D.A. of the data used by him has been done transparently and the D.A. has also fulfilled the obligation cast on him as regards public hearing and issue of disclosure statement before making his final findings. Therefore, no adverse inference can be drawn from the D.A. analyzing the data the way he has done nor any mala fides can be attributed. As regards the allegation regarding non-disclosure and the sc .....

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..... s evidenced by significant price undercutting, freely disposable production capacities in the exporting countries, significant increase in the imports over the current injury period, inventories with the domestic industry and a number of parameters relating to Oct. - Dec. 2008 period. The deterioration in performance is significant and material. The domestic industry has thus suffered material injury. The post POI data of the quarter immediately following the POI shows threat of material injury as well. 15. While examining the causal link between the dumping and injury, the D.A. has examined other known factors and has come to a conclusion in paragraphs 136 to 138 of the final findings that while other known factors do not show to have caused injury to the D.I., the following parameters show that injury to the D.I. has been caused by the dumped imports :- (a) Whereas feedstock prices increased significantly over the injury period, the import prices did not increase in proportion to such increase in the feedstock prices. The landed prices of imports were lower than the selling price of the domestic industry. As a result of price undercutting, the consumers have resorted to hig .....

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