The Hindu Business Line : Automotive exhaust makers against import curbs on steel

NEW DELHI: Suppliers of automotive exhaust products to leading car makers such as Suzuki, Tata, BMW, Ford and Mercedes, have opposed the government's move to levy an anti-dumping duty on stainless steel, saying the alloy of high grade they need is not av ailable locally.

“Any restriction on imports of high grade stainless steel will hit our industry as we have to import the same for making automotive exhaust products,” International Tube Association Vice-President, Mr Yogesh Bhatia said.

India is a major producer and exporter of automotive exhaust components like resonator, catalytic converter, pipes and ball flanges to all major automobile companies, including General Motors, Nissan, Chrysler, Volvo, Fiat and Honda.

The industry's protest comes in the wake of the commerce ministry's recommendation to the government for levying an anti-dumping duty of up to USD 1,823 a tonne on flat-rolled stainless steel products imported from eight countries, including China, Japan , Korea and US.

The recommendation of Directorate General of Anti-Dumping and Allied Duties under the Commerce Ministry was based on the petition filed by JSL Ltd, the country's largest producer of stainless steel.

Opposing the proposed duty, Kuma Stainless Tubes Limited MD, Mr Mukul Verma said it would hit the automotive exhaust system makers, who are already facing slackening demand from the auto sector amid the global economic slowdown. - PTI

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