FICO opposed Government of India’s proposals to impose Anti-Dumping duty on import of steel from Vietnam

Ludhiana, August 21, 2024: The Ministry of Commerce & Industry (Department of Commerce) through Directorate General of Trade Remedies vide initiation Notification Case No. AD(O1) – 13/2024 Dated August 14, 2024 initiated investigation for further recommendations to Government of India on suggestions during investigation for imposing anti-dumping duty on proposed PCN for subjected goods originating in or exported from subjected country Vietnam. 

Gurmeet Singh Kular, President of the Federation of Industrial & Commercial Organization (FICO), has strongly opposed the recent proposal to impose an anti-dumping duty on hot rolled flat products of alloy or non-alloy steel originating from Vietnam. Kular argued that this measure could severely impact the steel industry, particularly the small and medium enterprises (SMEs) that are vital to the local economy. He highlighted that the MSME sector is already facing significant challenges, including a slowdown in global markets, intense competition from Asian countries, domestic agitations, rising input costs, and labor shortages. According to Kular, the imposition of the anti-dumping duty would likely lead to higher steel prices, exacerbating the difficulties faced by SMEs and potentially devastating the sector.

K.K. Seth, Chairman of FICO, expressed concern over the potential impact of the proposed anti-dumping duty on hot rolled flat products of alloy or non-alloy steel from Vietnam. He emphasized that rising raw material costs would make it increasingly challenging for businesses to sell their products

Manjinder Singh Sachdeva, Senior Vice President of FICO, urged the government to ensure a level playing field for domestic industries on a global scale. He argued that fair competition is crucial for the survival and growth of local businesses, particularly in the face of challenges posed by international trade dynamics.

Balbir Singh Mankoo, Finance Secretary of FICO, warned that the proposed anti-dumping duty would have a severe negative impact on the Indian industry. He pointed out that the imposition of such duties is likely to lead to higher prices for steel products, which would, in turn, affect the cost structure of domestic industries.