SUNCITY SHEETS PVT. LTD. Vs. UNION OF INDIA

JUDGEMENT

(1.) The Petitioner challenges a Notification, dated 19.02.2016 which initiates investigation into the alleged circumvention of anti-dumping duty imposed upon the import of Cold Rolled Stainless Steel Sheets and Coils ("CRSS") of width 600 mm to 1250 mm from China, Korea, EU, South Africa, Taiwan, Thailand and USA, by Customs Notification No. 38/2009 dated 22.04.2009 and thereafter extended through Customs Notification No. 61/2015 dated 11.12.2015 after sunset review.

(2.) The Petitioner, a private limited company is engaged, inter alia, in the business of importing and trading CRSS of width above 1250 mm from China, Japan and Malaysia and further, in manufacture and export of stainless steel products such as pipes, tubes etc. to various countries. On 25.11.2008 a notification was issued by the second respondent for initiating Anti-dumping investigation concerning alleged dumping of 600mm or more width cold rolled flat products of stainless steel (CRC) of all series viz. the Product Under Consideration ("PUC") originating in or exported from China PR, Japan, Korea, European Union, South Africa, Taiwan, Thailand and USA ("subject countries"). The period of investigation of the dumping was 01.01.2007 to 31.12007 in terms of the notification and the injury investigation period was specified as April 2004 to March 2007. On 27.03.2009 the second respondent (hereafter "DA") issued its preliminary finding in reference to the initiation notification. These findings concluded that (i) PUC was exported to India from subject countries below their normal value, (ii) the domestic industry suffered material injury and (iii) injury was caused to the domestic industry by the dumped imports from the subject countries. During the course of proceedings relating to the said preliminary findings, various exporters and interested parties objected, seeking exclusion of CRSS with width above 1250 mm. However, in the preliminary findings dated 27.03.2009, the DA specifically observed that subject to further verification for the purpose of Preliminary determination and duties, the CRSS Coil with width more than 1250 mm was not excluded from investigations. Accordingly, the DA recommended imposition of provisional Anti-Dumping Duty ("ADD") equal to lesser of margin of dumping and margin of injury on PUC which included CRSS with width above 1250 mm also. However, the PUC excluded CRSS Coil with a combination of thickness above 2mm and width above 1500mm for use in fabrication, AISI 420 High Carbon (0.82%- 0.40%) grade. These preliminary findings were slightly modified by Notification 14/06/2008-DGAD dated 204.2009 to exclude CRSS of Grade 430 BA Silver Ice exported by Thyssen Krupp Stainless International, Germany.

(3.) Based on the recommendations of the DA, the Central Government issued Customs Notification No. 38/2009-Customs dated 22.04.2009 imposing provisional ADD on the PUC. In this background, on 24.11.2010, the DA recorded the final findings. These findings expressly rejected the arguments of the fourth respondent (the Jindal Stainless Steel Ltd, hereafter "Jindal" or "JSS") relating to inclusion of CRSS with width of more than 1250 mm by rendering detailed findings in support of the exclusion. Further, the said Final Findings recommended imposition of ADD, on CRSS inter alia, excluding Coils with width above 1250 mm. The recommendations of the second respondent were accepted by the Central Government and ADD was imposed by Notification No.14/2010-Customs dated 20.02.2010. On 206.2010 mid term review proceedings were initiated at the request of the fourth respondent, through a notification ("mid term review initiation") of the Final Findings dated 24.11.2009 for providing tolerance limits to the PUC. A mid term review dated 206.2010 was directed for the limited purpose of "consideration in the original investigation was Cold-rolled Flat products of stainless steel of the width of 600 mm upto 1250 mm of all series further worked then Cold rolled (cold reduced) with a thickness of up to 4mm. However, the following were exclusions from the scope of the product: