China to contest India over ?steep? silk duties
China, the world's leading silk producer, will contest India's decision to slap steep anti-dumping duties up to 108 per cent on Chinese silk fabrics.india Updated: May 11, 2006 17:53 IST
China, the world's leading silk producer, will contest India's decision to slap steep anti-dumping duties up to 108 per cent on Chinese silk fabrics, industry insiders said while denying the charge that its products harmed interests of Indian silk industry.
Chinese firms will continue to appeal against the Indian government's ruling that silk exports have been dumped in India, the state-run China Daily reported.
India said last month that Chinese silk fabrics were sold to India at prices below the normal value, damaging the Indian industry.
The China Chamber of Commerce for the Import and Export of Textiles will arrange for experts and firms to evaluate the ruling to decide how to respond, said an official with the association.
The Commerce Ministry of India has set provisional tariffs ranging from 57 per cent to 108 per cent for Chinese firms.
"The duty rates are higher than expected," the newspaper quoted an unnamed official from the chamber as saying.
Selling at prices less than the normal value and damage to the industry are two elements in deciding whether dumping has occurred.
As India refused to accord 'market economy' treatment to any of the Chinese firms involved, the production costs of a third country, instead of those offered by Chinese companies, are used to calculate the "normal value," the report noted.