US launches anti-dumping probe on tyres from India, Sri Lanka
United States International Trade Commission (USITC) has decided to initiate anti-dumping investigations into a certain category of tyres imported from India and Sri Lanka.
Decision in this regard was taken after USITC commissioners after they found that certain category of tyres imported from both countries is damaging domestic industry.
They have alleged that imports of certain new pneumatic off-the-road tyres are sold at less than fair value in US and are subsidised by the governments of India and Sri Lanka.
This is for the first time that anti-dumping investigations from US have launched probe into tyres coming from India, while Chinese tyres already have faced a similar probe in the past.
What is Anti-Dumping Duty?
- It is duty imposed by government on imported products which have prices less than their normal values or domestic price.
- Anti-Dumping Duty is imposed by a counter as a trade barrier under the multilateral WTO regime and varies from product to product and from country to country.
- Usually countries initiate anti-dumping probes to check if domestic industry has been hurt because of a surge in below-cost imports.
Categories: Business & Economy Current Affairs 2017