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DGTR initiates Sunset Review of anti-dumping duty on fluoroelastomer imports from China
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Shardul Nautiyal, Mumbai
June 25 , 2025
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The Directorate General of Trade Remedies (DGTR) has initiated sunset review investigation concerning the continued imposition of anti-dumping duties on imports of fluoroelastomer originating in or exported from China, following a petition filed by Gujarat Fluorochemicals Limited, a domestic producer of the product.
The objective of the review is to determine whether there is a likelihood of continuation or recurrence of dumping and injury upon cessation of Anti-Dumping Duty (ADD).
Fluoroelastomers, also known as FKM or FPM, are a type of synthetic rubber known for their exceptional resistance to high temperatures and harsh chemicals. In the pharmaceutical industry, they are used in various applications, particularly for seals, gaskets, and other components where resistance to sterilization, aggressive chemicals, and high temperatures is crucial. They are widely used in pharmaceutical manufacturing for sealing pumps, valves, and other equipment that handle chemicals, solvents, and other substances.
The review comes under the purview of Section 9A (5) of the Customs Tariff Act, 1975, and Rule 23(1B) of the Customs Tariff (Identification, Assessment and Collection of Anti-Dumping Duty on Dumped Articles and for Determination of Injury) Rules, 1995. The review aims to assess whether the expiry of the existing duty—scheduled for November 27, 2025—could result in the recurrence or continuation of dumping and injury to the Indian domestic industry.
The original anti-dumping investigation into imports of product under consideration from China was initiated on January 2, 2018 and vide Final Finding Notification No. 6/25/2017-DGAD dated December 27, 2018, anti-dumping duty were recommended for a period of 18 months. The measures were imposed on the subject goods vide Customs Notification No. 6/2019-Customs (ADD) dated January 28, 2019. Thereafter, a sunset review investigation was initiated vide Notification No. 7/03/2020- DGTR dated February 7, 2020. Pending the investigation, the anti-dumping duty was extended for a period of three months vide Custom Notification No. 19/2020-Customs (ADD) dated July 21, 2020 upto October 27, 2020.
The final findings of the sunset review were issued on October 19, 2020, and definitive antidumping duty was extended on the subject goods for a period of five years vide Notification No. 40/2020 dated November 27, 2020. The present duties are in force till on November 27, 2025.
In its petition, Gujarat Fluorochemicals Limited contended that there is no significant difference between the domestically produced fluoroelastomer and those imported from China. The applicant emphasized comparability in terms of chemical and physical properties, manufacturing technology, usage, pricing, marketing, and tariff classification.
The company further presented prima facie evidence of an increase in import volumes from China over the injury period—both in absolute terms and relative to domestic production.
Additional concerns include export orientation of Chinese producers due to declining domestic demand, capacity expansions in China PR, anti-dumping measures by third countries on similar products, and price sensitivity of the Indian market making it an attractive destination for dumped goods.
According to the DGTR, these factors indicate a likelihood of continued dumping and material injury to the Indian industry should the current anti-dumping duties be allowed to lapse.
The sunset review investigation will determine whether continued imposition of the duties is justified. All stakeholders, including exporters, importers, and user industries, are invited to submit relevant information and arguments for consideration during the investigation process.
The outcome of the review will play a critical role in shaping trade protection measures in India's chemical and polymer sectors, where domestic manufacturers have long alleged unfair pricing practices by exporters from China.
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