Jakarta, CNBC Indonesia – A number of Indonesian products had time to be blocked by other countries so that it was not easy to enter and compete in the market. Other countries feel restless if Indonesian products can shift their local products so that domestic producers cannot compete in their own market. One of the countries that have investigated Indonesian products is India, Australia as well as Malaysia and other countries.
In the past year alone, at least the Indian government has investigated 5 products from Indonesia, namely Plain medium density fiber board (MDF Board), Synthetic Yarn, Steel Products, Ammonium Nitrate to Non-woven Fabrics. The five products finally passed and failed to be subject to Anti-Dumping Duties (BMAD).
“Indonesia took a diplomatic approach with high-ranking Indian officials after learning that its Investigating Authority issued recommendations for the imposition of BMAD which contained deficiencies, both in terms of substance and investigation procedures. I welcome the Indian Government’s decision. The cancellation of the imposition of BMAD can restore FRPSS export market access to the Indian market. ,” said Trade Minister Lutfi when he learned that steel products would not be thwarted.
These trespassing attempts may occur several times a year, but not all of them are successful. If they are proven to have violated anti-dumping rules, they will be subject to BMAD, making the price more expensive. The worst impact is that Indonesian products are prevented from entering the country.
This has happened to Ammonium Nitrate products that were subject to BMAD of USD 26.07/MT starting September 12, 2017 and will expire on September 11, 2022. However, India’s Directorate General of Trade Remedies (DGTR) excludes sunset review investigations in the notification issued on June 11, 2021.
Apart from India, other countries have also taken similar steps, namely Australia, which imposed BMAD on power transformers from Indonesia. As a result, the performance value of Indonesia’s power transformer exports to Australia tends to decline after being imposed the BMAD of 28.3 percent in 2014.
In 2015, the export value of these products to Australia was USD 7.4 million but dropped drastically to USD 797 thousand in 2018 and continued to experience a downward trend to USD 667 thousand in 2019.
However, last year, Australia lifted the imposition of Anti-Dumping Duties (BMAD) of 28.3 percent for product exporters.
If you pull back further, South Korea has also investigated uncoated paper products from Indonesia since 2018. The paper that is the object of investigation by the Korean Authority is uncoated paper weighing between 60-150 grams per 1 square meter, including paper sizes A3, A4, B4, and B5.
At that time, South Korea also investigated similar products from China and Brazil, but the results of the investigation showed that there was no material loss to South Korea’s domestic industry due to dumping of paper product imports.
Malaysia’s neighboring country has also conducted research on Indonesian ceramic products. However, on 11 January 2021, through the Ministry of International Trade and Industry Malaysia (MITI) officially stopped the investigation of safeguard measures on ceramic products (ceramic floor and wall tiles).
Ceramic products that are free from the imposition of safeguards are in the post tariff group/HS code 6907.21.21, 6907.21.23, 6907.21.91, 6907.21.93, 6907.22.11, 6907.22.13, 6907.22.91, 6907.22.93, 6907.23. 11, 6907.23.13, 6907.23.91, and 6907.23.93.
“This safeguard investigation was stopped only four months after it started on 13 September 2020. The Malaysian authorities decided to stop this investigation for three reasons. First, there was no absolute increase in import volume during the investigation period. Second, the increase in import volume relative to Malaysian ceramic production did not “Finally, the Authority cannot confirm a causal relationship between the surge in imports and the serious losses suffered by the Malaysian ceramic industry,” explained Lutfi.
(Hi Hi)
– .
