India terminates anti-dumping investigation into PP imports
01 June 2011 14:04 [Source: ICIS news]
SINGAPORE (ICIS)--?xml:namespace>India has terminated an anti-dumping (ADD) investigation into polypropylene (PP) imports originating in or exported from South Korea, Taiwan and the US, market sources said on Wednesday.
Local producers filed for an investigation on PP imports for homo and copolymer grades from South Korea, Taiwan and the US in June 2009.
An investigation began late in the first quarter of 2011, with the Indian government making an official announcement on 25 May.
An industry source explained the case was dropped as the investigation could not establish imports from the three countries caused injury to local producers.
Another source added: “The government did not go for provisional ADD after the preliminary investigation. This was the first indication that ADD would not go through.”
A local trader said the announcement explains why local producers reduced PP prices last week so “imports from these three countries can compete with them”.
However, some players feel the news has had little impact on the market.
“South Korea has an FTA [free trade agreement] with Europe. So they will not regard India as their export priority after China, instead they will choose Europe, especially [as] the prices there are better,” a second trader said.
A third trader said such imports have been dwindling in the market and it does not see a huge impact on the existing market, “which is already [in] oversupply”.
PP imports from Saudi Arabia, Oman and Singapore are subject to ADD, with effect from 30 July 2009, for five years.
Additional reporting by Malini Hariharan
For more on polypropylene, visit ICIS chemical intelligence By: Ong Sheau Ling+65 6780 4359
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