The volume of import of tyres from China had actually come down during 2014-15
The volume of import of tyres from China had actually come down during 2014-15
New Delhi:
The government on November 30, ruled outputting immediate restrictions to curb import of tyres from China, saying it is too early for such a step as imports increased only in May-June 2015. The volume of import of tyres from China had actually come down during 2014-15 from a high of the previous two fiscals and has increased only in May 2015-16, Commerce and Industry Minister Nirmala Sitharaman said in a written reply in Lok Sabha.
-"It will be too early to place an immediate restriction on the basis of the trend noticed in May-June 2015,-" she said.
The minister further said investigation on dumping of tyres from China has been referred to Directorate General of Anti-Dumping (DGAD) and Director General, Safeguards, for the examination of appropriate action. She also said the Competition Commission of India (CCI) is investigating a case against certain tyre companies for alleged contravention of the Competition Commission Act, 2002.
-"Moreover, increasing the customs duty on tyres beyond 10 per cent would not be desirable since the customs duty as per Foreign Trade Agreements (FTAs) are lower-", said Sitharaman.
Citing information provided by Automotive Tyre Manufacturers' Association (ATMA), the minister said sale of only one category of Chinese tyre - truck/bus radial tyres- has peaked to 30 per cent of the replacement market.
