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India to review anti-dumping duty on Melamine imports from China

India has begun a sunset review of an anti-dumping probe on the imports of melamine from China based on a complaint by Gujarat State Fertilizers & Chemicals Limited. Antidumping duty was first imposed on the product in 2004 and was extended after multiple reviews. The existing duties will expire on January 27, 2021.

Melamine is used for making melamine formaldehyde, which in turn is used in producing downstream products. Melamine formaldehyde resin used for laminates offer good hardness, resistance to scratch, stain, water and heat.

The DGTR said that there is prima facie evidence of dumping and consequential injury to the domestic industry on account of volume effect that is significant imports, low production, capacity utilization, sales and market share and price effect due to positive and significant price undercutting and priceunderselling which has led to losses cashlosses and negative retuen on capital employed.