Anti-dumping duty on second-hand machinery cannot rest on reappraisal against new-goods prices; demand failed.

Anti-dumping duty was held inapplicable to used and second-hand injection moulding machinery imported from China because the levy is directed at dumped new goods and the price comparison exercise concerns new machinery. Reappraisal of the imported machine by a Chartered Engineer, even if accepted by the department, did not convert a second-hand machine into a new one or justify anti-dumping duty on that basis. The earlier view on the same issue was followed, and the order dropping the duty demand was sustained while the departmental appeal was dismissed.

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Issues: Whether anti-dumping duty was leviable on used and second-hand injection moulding machinery imported from China.

Analysis: The imported goods were admittedly used and second-hand. Their value had been reappraised by a Chartered Engineer and the enhanced value accepted by the department. Anti-dumping duty is intended to protect the domestic industry against dumped new goods, and the inquiry for such duty is directed to the manufacture and price of new machinery. A second-hand machine cannot be equated with a new machine merely because its value is reappraised with reference to the price of new goods. The earlier decision on the same question had already held that reappraisement of second-hand machinery does not justify the levy of anti-dumping duty on such imports.

Conclusion: Anti-dumping duty was not leviable on the imported used and second-hand machinery, and the departmental appeal failed.

Final Conclusion: The order dropping the anti-dumping duty demand was sustained and the appeal was dismissed.

Ratio Decidendi: Anti-dumping duty applies to new goods or comparable dumped imports and cannot be imposed on second-hand machinery merely because its value has been reappraised against the price of a new machine.

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