- 05 Jul 2024
- ICICI Securities
Authorities recommend imposing anti-dumping duty on import of Synthetic Rubber in India
News: As per media sources, the government authorities have recommended imposing anti-dumping duty on imports of Isobutylene-Isoprene Rubber (IIR) or Synthetic Rubber originating from China PR, Russia, Saudi Arabia, Singapore and USA in India. The authorities have recommended imposing duties to the tune of US$ 325-1152/tonne depending upon the country of origin.
Views: IIR or Synthetic Rubber is used for manufacturing of inner tubes for Tyres and other high-pressure tubes. Reliance Elastomers Pvt. Ltd is the sole supplier of this product in India. The official notification from the government is still awaited, however in all likelihood said duty is expected to be imposed to protect interest of domestic manufacturers. This could potentially increase cost of production at tyre companies however the exact impact is difficult to ascertain at this point in time.
Impact: Negative