Anti-dumping duty exclusion for high-width lithograde aluminium coils: absence of commercial domestic production justified removal from levy

Lithograde aluminium coils above 1150 mm width were excluded from the product under consideration for anti-dumping duty because the domestic industry had not manufactured and commercially sold them in substance. The record showed only trial supplies, quantities far below the appellant's requirement, and some rejected for technical non-compliance. A mere demand-supply gap did not justify inclusion where commercial production was absent, and the circumvention argument was insufficient on these facts. The customs notification was modified accordingly, keeping higher-width coils outside the duty levy.

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Issues: Whether lithograde aluminium coils above 1150 mm width were liable to be excluded from the product under consideration and from the anti-dumping duty imposed under the customs notification.

Analysis: The appellant sought exclusion of higher width lithograde aluminium coils on the ground that the domestic industry did not commercially manufacture or supply them in meaningful quantities. The record showed that supplies of such coils by the domestic industry were only on a trial basis, were minuscule compared with the appellant's requirement, and a part of the supplies was rejected for failing technical requirements. The reasoning that a possible demand-supply gap justified inclusion was held to be inapplicable where commercial production itself was absent. The view that quality objections could defeat exclusion was also not accepted in the facts, and the proposed circumvention argument was found insufficient to sustain inclusion of a product not commercially produced by the domestic industry.

Conclusion: Lithograde aluminium coils above 1150 mm width were directed to be excluded from the scope of the anti-dumping duty.

Final Conclusion: The customs notification was modified to the extent that higher width lithograde aluminium coils were kept outside the duty levy, and the appeal succeeded to that extent.

Ratio Decidendi: For inclusion in the product under consideration, the product must be manufactured and commercially sold by the domestic industry in substance, and a mere demand-supply gap or isolated trial supplies do not justify retaining a product within the anti-dumping duty cover.

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