Color coated aluminum coils with Styrene/Butyl Methacrylate Copolymer exempt from anti-dumping duty as no domestic production exists

CESTAT Allahabad ruled that color coated aluminum coils imported as coated with Styrene/Butyl Methacrylate Copolymer are not liable to anti-dumping duty. The Tribunal found that such products are not manufactured in India and therefore do not require protection through anti-dumping duties. Despite revenue's restrictive interpretation based on TRU Circular clarifications, the Tribunal emphasized that anti-dumping duty aims to safeguard domestic industry manufacturing similar goods. Since no domestic production exists for the specific product, anti-dumping duty was held inapplicable to the imported coated aluminum coils.

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Issues:
- Whether the color coated aluminum coil imported by the Appellant attracts Anti-Dumping Duty.
- Whether the Appellant's product falls under the scope of Anti-Dumping Duty as per relevant notifications.
- Whether the Appellant's product is coated with Polymeric material other than PE/PVDF.
- Whether the Appellant is entitled to exemption from Anti-Dumping Duty based on previous tribunal decisions.
- Whether the imposition of Anti-Dumping Duty on the Appellant was justified.

Analysis:

The judgment pertains to an appeal arising from an Order-in-Appeal passed by the Commissioner (Appeals) Customs, GST & Central Excise, Lucknow. The case involves the import of Color Coated Aluminium Coil by the Appellant, who contested the imposition of Anti-Dumping Duty on the imported goods. The Commissioner (Appeals) dismissed the Appellant's appeal, leading to the present appeal before the Tribunal.

The Appellant argued that the color coated aluminum coil is the main raw material for manufacturing Aluminum Composite Panels (ACP) and should not attract Anti-Dumping Duty. They relied on previous tribunal decisions and circulars to support their claim that the product falls outside the scope of Anti-Dumping Duty. The Appellant contended that during the relevant period, no manufacturer in India produced color coated aluminum coil, emphasizing the need to safeguard the domestic industry's interests.

On the other hand, the Departmental Authorized Representative argued that the imported color coated aluminum coils were coated with Styrene/Butyl Methacrylate Copolymer, making them liable for Anti-Dumping Duty. The Commissioner (Appeals) upheld the levy of Anti-Dumping Duty based on the specific coating material present on the imported goods.

Upon review, the Tribunal analyzed previous tribunal decisions, including the case of G. M. Alloys Pvt. Ltd. & Others v/s Union of India, which excluded color coated aluminum foil from the scope of Anti-Dumping Duty. The Tribunal referenced Circular No.45/2017-Customs (ADD) and noted that color coated aluminum foil with PE/PVDF coating was excluded from the levy of Anti-Dumping Duty.

The Tribunal acknowledged the purpose of Anti-Dumping Duty to protect domestic industries and highlighted that the Appellant, being a member of the ACP Manufacturer Association, should be considered for exemption. Referring to the ACP Manufacturer Association vs. Union of India case, the Tribunal concluded that the color coated aluminum coil imported by the Appellant should not attract Anti-Dumping Duty. Therefore, the Tribunal allowed the Appellant's appeal, providing consequential relief.

In conclusion, the Tribunal ruled in favor of the Appellant, exempting them from Anti-Dumping Duty on the imported color coated aluminum coil. The judgment emphasized the importance of safeguarding domestic industries and considered previous tribunal decisions and circulars to support the decision.

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