TNPSC Thervupettagam

Government imposed Countervailing duty on some Chinese steel products

September 9 , 2017 2478 days 1180 0
  • The government has imposed countervailing duty for 5 years on imports of certain flat steel products from China to guard domestic players from imports that are subsidised by exporting nations.
  • The decision to impose the duty was taken by the finance ministry after the Directorate General of Anti-Dumping and Allied Duties (DGAD) found that despite sufficient demand in India and capacities, the domestic industry has lost sales opportunities, which is a direct consequence of subsidised imports from China.
What is Countervailing duty?
  • Countervailing duty is an additional import duty imposed on imported products (by the importing country) when such products enjoy benefits like export subsidies and tax concessions in the country of their origin (ie., where it is produced and exported).

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