India has opened an anti-dumping investigation into imports of Resorcinol, a chemical essential in tyre and rubber production, from China and Japan. The probe targets accusations that these imports are being sold below their fair market value, potentially harming domestic manufacturers.

The investigation was prompted by a formal complaint from Atul Limited, which claimed that a surge of inexpensive Resorcinol shipments is damaging India’s local industry. The Directorate General of Trade Remedies (DGTR) has initiated the inquiry after reviewing preliminary evidence suggesting dumping practices by exporters from the two countries.

Resorcinol is widely used as an intermediate compound to bond rubber to tyre cords and in the production of specialized resins. Under World Trade Organization (WTO) rules, countries can impose anti-dumping duties to curb unfair trade practices and protect their indigenous industries. If the DGTR confirms that dumping occurred and resulted in material injury to Indian producers, it will recommend duties to the Ministry of Finance for enforcement.

The DGTR has previously investigated other tyre and rubber-related imports, including finished automotive tyres from China and Thailand, as well as synthetic Halobutyl Rubber (HIIR) from the US and China. This current probe seeks to determine the extent of dumping, its impact on Indian producers, and whether higher tariffs are warranted.

The final decision to impose anti-dumping duties lies with the Ministry of Finance. This process reflects India’s ongoing efforts to ensure fair competition for domestic industries against a backdrop of rising imports of lower-priced inputs critical to manufacturing sectors.