The government on Wednesday imposed an anti-dumping duty on the import of wheel loaders into India, in a bid to protect the interests of the domestic industry. Wheel loaders are self-propelled wheel-mounted equipment with an articulation joint having a front-end loading mechanism.

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In an official notification on Wednesday, the Ministry of Finance said it found that the goods were exported to India from China at dumped prices causing material injury to the domestic industry. 

The duty, on the said imports from China, will range from 18.84 per cent to 82.71 per cent and will remain in force for five years, according to the finance ministry.

Here are details of the anti-dumping duty on wheel loaders, as provided by the ministry: 

The action by the finance ministry comes after construction equipment maker JCB India sought an investigation into the matter, wherein mining and construction equipment manufacturer Eimco Elecon (India) validated key facts. 

The duty will be applicable on imports in complete build unit (CBU) and semi-knocked down (SKD) forms, and not on the completely knocked down (CKD) form. 

A wheel loader in the SKD form consists of the machine body/chassis fitted with an engine, transmission or axle in a single unit, which may or may not be fitted with one or more other components. If the chassis or the machine body is imported without an engine, transmission or axle fitted into it, no anti-dumping duties shall be payable, according to the statement.

Meanwhile, the following products are excluded from the scope of the investigation:

  • Rated payload capacity of more than 7,000 KG
  • Gross engine power above 180 kW
  • Measured distance at the center between right and left wheel (wheel tread/track) above 2,280 mm
  • Measured distance between the front and back wheel axles (wheelbase) above 3,350 mm

"All the above parameters are ‘and’ conditions. In other words, a product is excluded from the scope of the PUC only if it satisfies all of the above conditions concurrently... Battery-operated wheel loaders are also excluded from the scope of the investigation," it added. 

The Directorate General of Trade Remedies (DGTR), under the Ministry of Commerce, had recommended the impression of such duty on September 29.