China Extends Anti-Dumping Tariffs on Indian Optical Fiber
China's Ministry of Commerce has announced it will continue to impose anti-dumping tariffs on single-mode optical fiber products imported from India. The tariffs, which currently range from 7.4% to 30.6%, were first implemented in 2014 and extended in 2020.
The continuation of these tariffs is part of an expiry review investigation, which was requested by China's domestic optical fiber industry. The purpose of this review is to determine whether lifting the tariffs would lead to a continuation or recurrence of dumping and potential harm to Chinese producers. The investigation can take up to a year, and during this time, the existing tariffs will remain in effect.
What is an Anti-Dumping Tariff?
An anti-dumping tariff is a protective tax that a government places on imported goods. It is imposed when a foreign company sells products in the importing country at a price lower than their fair market value—a practice known as dumping. This is considered an unfair trade practice because it can harm the domestic industry by undercutting local businesses. The tariff is designed to offset the price difference and create a more level playing field for domestic companies.