The Directorate General of Trade Remedies (DGTR) has recommended an anti-dumping duty on imports of textured tempered glass (solar glass) from China and Vietnam.

In its provisional findings, the DGTR suggested an anti-dumping duty equal to the lesser of the dumping margin or the injury margin, intending to counteract the harm to India’s domestic industry and restore market balance.

As part of the ongoing process, the DGTR has allowed interested parties 30 days to submit their comments on these preliminary findings, after which oral hearings will be conducted.

The DGTR’s investigation revealed a positive dumping margin for textured tempered glass from China and Vietnam, comprising 98% of India’s total imports. The authority found that imports from China alone increased significantly, from 29,324 metric tons in 2020-21 to 659,732 metric tons during the investigation period, while Vietnam’s contribution also grew substantially.

The primary product under investigation is “Textured Toughened (Tempered) Glass,” a specialized glass with a minimum transmission rate of 90.5% and a thickness not exceeding 4.2 mm. At least one dimension of this glass exceeds 1500 mm and can be either coated or uncoated. Known for its low iron content and high transmission, this glass is essential in solar photovoltaic modules and other solar applications.

Throughout the injury period, the DGTR found that the landed value of these imports consistently remained lower than both the domestic selling price and the cost of sales for Indian producers. This price suppression has had a long-lasting impact, preventing domestic manufacturers from adjusting their prices with rising production costs and creating substantial losses for the domestic industry.

A key domestic player, Borosil Renewables, reported a sharp decline in profitability due to the influx of low-cost imports. Despite meeting a large portion of India’s demand, Borosil and other local producers have struggled to fully utilize their production capabilities under the pressure of international competition.

The DGTR noted that India’s domestic industry currently can satisfy approximately 84% of the national demand for textured tempered glass, ensuring that an anti-dumping duty would not restrict availability.

India’s domestic industry also provided an estimate suggesting that the anti-dumping duties would have a negligible effect on the overall cost of solar modules. They indicated that the increase would be around 2.52% of the module’s cost, which they view as minor compared to the benefits of protecting domestic industry.

In analyzing the competitive landscape, the DGTR concluded that the domestically produced textured tempered glass and imported versions from China and Vietnam are virtually identical regarding physical characteristics, manufacturing technology, and end-use. Both versions are commercially interchangeable, competing directly in pricing, distribution, and market classification. This substitutability has rapidly allowed imports to erode domestic producers’ market share.

The DGTR’s evaluation of dumping practices followed WTO guidelines, classifying China as a non-market economy. This designation allows the DGTR to calculate “normal value” using third-country benchmarks or production costs. This method is applied because China’s pricing practices are deemed non-transparent. In Vietnam’s case, the DGTR could use local sales data to establish normal value, as over 80% of Vietnam’s domestic transactions were profitable and could be used for fair comparison.

Additionally, the investigation showed that anti-dumping measures are not new for this sector. In 2017, the Finance Ministry imposed an anti-dumping duty on Chinese solar glass for five years, and in May 2022, the DGTR recommended extending this duty for two more years. The duties had ended in August 2024.