India's Directorate General of Trade Remedies (DGTR) has proposed the imposition of anti-dumping duties on suppliers of flexible slabstock polyols from China and Thailand. The recommendation suggests these duties be enforced for a five-year period, unless repealed prior to that.

Under this proposal, imports from Wanhua Chemical will incur a duty of $534 per metric ton, while other Chinese producers will face a duty of $608 per metric ton. Thai producers will be subject to a duty of $480 per metric ton, except for GC Polyols, whose products will carry a duty of $470 per metric ton.

The investigation, conducted over the course of a year by DGTR, was initiated following a petition from Manali Petrochemicals, based in Chennai. Manali Petrochemicals is the sole producer of these polyols in India.

According to DGTR, India's current capacity for flexible slabstock polyols stands at approximately 50,000 metric tons per year, yet it is operating at only around two-thirds of this capacity. The report suggests that the remaining capacity is unutilized due to imports being favored over domestic production, primarily because of lower pricing rather than a genuine supply-demand gap.

DGTR further highlights that aggressive dumping, price undercutting, and underselling have prevented the domestic industry from utilizing its capacity effectively, consequently hindering any expansion efforts.