The Central Government has extended the anti-dumping duty on imports of Normal Butanol (N-Butyl Alcohol), a chemical used in Paints and Solvents originating in or exported from Malaysia, South Africa and the United States of America for a further period of five years, following the conclusion of a sunset review that found a continued risk of dumping and injury to the domestic industry.
The notification supersedes the earlier Notification No. 21/2021-Customs (ADD) dated April 12, 2021, while preserving actions already taken under the previous regime.
The extension follows the final findings of the Directorate General of Trade Remedies (DGTR) issued on April 9, 2026, which concluded that the expiry of the existing anti-dumping duty would likely lead to the continuation or recurrence of dumping of Normal Butanol into India, causing material injury to the domestic producers. Based on these findings, the Central Government decided to continue the trade remedial measure under Section 9A of the Customs Tariff Act, 1975, read with the Customs Tariff (Identification, Assessment and Collection of Anti-Dumping Duty on Dumped Articles and for Determination of Injury) Rules, 1995.
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Normal Butanol, classified under tariff item 2905 13 00, is an important industrial chemical used in the manufacture of paints, coatings, plasticizers, solvents, adhesives, and various chemical intermediates. The anti-dumping duty aims to ensure that imported products are not sold in the Indian market at unfairly low prices that could distort competition and harm domestic manufacturers.
Under the notification, imports from Malaysia will attract differentiated anti-dumping duty rates depending on the producer. Imports manufactured by BASF Petronas Chemicals Sdn. Bhd. will be subject to an anti-dumping duty of US$ 26.59 per metric tonne, while imports from PETRONAS Chemicals Derivatives Sdn. Bhd. will attract US$ 51.42 per metric tonne. Imports from all other Malaysian producers will be subject to a significantly higher duty of US$ 149.31 per metric tonne. The same duty of US$ 149.31 per metric tonne will also apply where the goods originate in countries other than Malaysia, South Africa or the United States but are exported from Malaysia.
For imports from South Africa, the notification prescribes an anti-dumping duty of US$ 13.24 per metric tonne, irrespective of the producer. The same rate will also apply where the goods are exported from South Africa after originating in another country. Similarly, imports originating in or exported from the United States will continue to attract an anti-dumping duty of US$ 24.16 per metric tonne, regardless of the producer.
The notification also provides that the concessional producer-specific duty rates applicable to the two Malaysian producers will only be available if importers submit a valid commercial invoice containing a prescribed declaration signed by an authorised official of the exporting company certifying the origin and manufacturer of the goods. In the absence of such documentation, the higher duty applicable to all other producers will be levied.
The anti-dumping duty will remain in force for five years from the date of publication of the notification in the Official Gazette unless it is revoked, amended or superseded earlier. The duty will be payable in Indian currency, with the applicable exchange rate determined in accordance with the notifications issued under Section 14 of the Customs Act, 1962, on the date of presentation of the bill of entry.
The latest notification reflects the Government’s continued use of trade-remedy measures to safeguard domestic industry against unfair pricing practices while ensuring that imports remain subject to transparent and internationally recognised anti-dumping rules.
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