America has decided to restrict import of safety matches from India by imposing additional duties after it found that such shipments were injuring domestic industry.
“The (US) Department of Commerce will issue countervailing and anti-dumping duty orders on imports of these products (matches) from India,”the US International Trade Commission (USITC) said in a release.
The American administration’s decision to impose additional duties comes after a complaint filed by US-based DD Bean and Sons against exports from Mumbai-based Triveni Safety Matches. The USITC is scheduled to make its final injury determination on or about November 30.
The US industry is materially injured by imports of matchbooks from India and the US Department of Commerce has determined they are subsidised and sold in the US at less than fair value, the release said.
Import of safety matches (commodity matchbooks)in the US increased 3.65 per cent to $473,600 in 2008 from 2007. Anti-dumping measures are taken for ensuring fair trade and to provide level playing field to the domestic industry, while countervailing duties are charged on subsidised exports that are found to be hurting the producers of the importing countries.
Dumping occurs when a foreign company sells a product at less than normal value, while subsidies are financial assistance from foreign governments that benefit the production, manufacture or export of goods.
Source : IndianExpress