01 January 0001

International Trade Amicus: September 2019


Role of ‘adjustment plan’ in safeguard investigations
by Divyashree Suri

Article 5 of Agreement on Safeguards stresses that a Member shall apply safeguard measures only to the extent necessary to prevent or remedy serious injury and to ‘facilitate adjustment’. The article in this issue of International Trade Amicus points out that adjustment plan submitted by domestic industry plays a vital role for authorities who choose to analyze the same while conducting investigation for safeguard measures. However, the author points out that there exists no Indian jurisprudence which discusses the precise role of an adjustment plan in a safeguard investigation, and as to whether an investigation can result in a negative finding on the sole basis of unviability of submitted adjustment plan by the domestic industry. It is stressed upon that practical problems may arise on not giving due importance to ‘facilitating adjustment’. According to the author, it is only a matter of time and circumstances which shall reveal the consequences of non-submission of a viable adjustment plan…

Trade Remedy News

  • Atrazine Technical from China – India imposes definitive countervailing duty.
  • Chlorinated Polyvinyl Chloride Resin from Korea RP and China – India imposes provisional anti-dumping duty.
  • Clear Float Glass from Malaysia - India initiates anti-dumping duty investigation.
  • Electrical Insulators of Glass or Ceramics/Porcelain from China – India continues anti-dumping duty after sunset review.
  • Flexible Slabstock Polyol from Kingdom of Saudi Arabia and United Arab Emirates – India initiates anti-dumping investigation.
  • Melamine from China - India imposes duties on new shipper in the investigation, therefore amends the original duty table.
  • Oil Country Tubular Goods from India - USA issues affirmative sunset review.
  • Phenol – India initiates safeguard duty investigation.
  • Polyethylene Terephthalate Film, Sheet, and Strip from India - USA issues ADD Administrative Review 2017-18 and CVD Administrative Review 2017.
  • RBD Palmolein/Palm Oil from Malaysia – India increases rate of Customs duty by 5 percent, for a period of 180 days, on goods imported under India-Malaysia Comprehensive Economic Cooperation Agreement.
  • Saccharin from China – India imposes definitive countervailing duty.
  • Textured Tempered Glass whether coated or uncoated from Malaysia – India initiates anti-subsidy investigation.
  • Welded Stainless Steel Pipes and Tubes from China PR and Vietnam – India imposes definitive countervailing duty.
  • Zinc Coated (Galvanised) Steel from India - Australia initiates review of Anti-Dumping Measures.

WTO News

  • Chinese Taipei initiates dispute against Indian tariffs on certain information and communications technology goods
  • Canada files dispute against Chinese import restrictions on canola seed
  • Ukrainian duties on ammonium nitrate from Russia – Appellate authority upholds Panel report
  • Korea initiates dispute against Japanese measures restricting exports to Korea
  • Korean duties on Japanese pneumatic valves - Appellate Body issues report
  • Thai cigarette imports measures - Thailand appeals second compliance panel report
  • China initiates dispute against additional US duties on Chinese imports
  • Safeguard investigations notified in WTO – Various safeguard investigations launched by Madagascar, Jordan, Guatemala, Ukraine, Philippines and Indonesia

India Customs & Trade Policy Update

  • Steel Import Monitoring System to be effective from 1-11-2019
  • Bank guarantee under AA/DFIA/EPCG Schemes - Norms revised
  • Drawback when permissible on FOB value without deducting foreign bank charges
  • Mechanism for claiming additional MEIS
  • Motor vehicles - New import policy condition

Ratio decidendi

  • Refund claim not maintainable unless self-assessment order is modified though appeal - Supreme Court Larger Bench
  • Appeal against CESTAT Order on violation of exemption condition lies before High Court - Supreme Court Larger Bench
  • Valuation – Substantial mark-up in supply of imported goods to customers when not indicates undervaluation of imports - CESTAT Mumbai
  • No fundamental right to import and quantitative restrictions can be imposed - Bombay High Court

September, 2019/Issue-99 September, 2019/Issue-99

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