WASHINGTON, Dec 4: Ahead of his party coming to power, a Republican lawmaker has demanded “robust tariffs” on ceramic tile imports from India claiming that the tile manufacturing industry in Tennessee has been impacted by the “unfair and uncompetitive” trade practices of Indian exporters.
These remarks were made by Congressman John Rose on Tuesday after sending a letter to the outgoing Commerce Secretary Gina Raimondo.
“Tennessee jobs are at risk due to India’s unfair and uncompetitive trade practices in the ceramic tile market,” Rose said.
Tennessee’s manufacturers deserve a fair shake on the world stage, he said, adding that India’s underhanded subsidisation and dumping of ceramic tile is upending the domestic market and hemming in American manufacturers.
“The Department of Commerce should use the tools at its disposal to aggressively counteract these nefarious trade practices to protect Tennessee jobs and domestic manufacturing,” he said.
In May, the department announced initiation of antidumping and countervailing duty investigations on ceramic tile from India.
Recently, Commerce published its primary determination in the countervailing duty investigation, which the signers argue should be reevaluated and revised. The letter dated November 27 was made public on December 3.
“As the Department of Commerce continues its investigations, we urge them to properly assess the data and finalise robust duties on Indian ceramic tile imports,” said the letter co-signed by Representative Tim Burchet.
“In order to solidify and stabilise domestic manufacturing, we must ensure American manufacturers have the upper hand in the market and prioritise their needs above all others,” it said.
According to the letter, over the past decade, India’s tile sales in the US increased from 344,000 square feet in 2013 to approximately 405 million square feet by the end of 2023.
In April 2024, US ceramic tile manufacturers sounded the alarm on Indian ceramic tile flooding the US market and requested the imposition of an antidumping and countervailing duty.
The industry estimated reasonable tariffs between 408 per cent and 828 per cent would offset India’s ongoing unfair advantages.
“However, Commerce’s preliminary determination in the anti-subsidy investigation failed to fully and adequately examine important issues, including natural gas subsidies and the undisclosed affiliations of Indian producers,” the letter said.
“Meanwhile, domestic manufacturers continue struggling against cheaper imports, losing their market footprint. We trust the Department will devote sufficient attention to Indian dumping prior to its final determination,” it said.
From 2022-2023, the volume of tile imported from India increased by 42.6 per cent to over 404 million square feet, and India comprised 20.3 percent of the total tile imports to the US by the end of 2023.
Moreover, between 2021-2023, the value of Indian tile imports increased significantly by more than USD 70 million. Since 2022, India has handily driven down imports from Italy, Spain, Brazil, and Mexico by hefty margins and has taken control of tile importers in the US, noted the letter.
Between 2013 and 2018, China accounted for 29 to 32 per cent of ceramic import value in the US. Therefore, on June 1, 2020, the US took action and imposed a definitive anti-dumping duty on ceramic tile from China, ranging from 229.04 to 356.02 per cent, it said.
As a result, Chinese tile imports dropped to 0.4 per cent in 2020 and 0.1 per cent in 2021 of the total US title imports.
India has bolstered itself as the dumping frontrunner and should be confronted with the same aggressive response to ensure stability and prosperity for American tile manufacturers, the letter said.
According to the lawmakers, over the past decade, Indian tile sales to the US skyrocketed from just over 340 thousand square feet to approximately 405 million square feet. In April 2024, US ceramic tile manufacturers sounded the alarm and requested the imposition of antidumping and countervailing duties on Indian tile.
Domestic tile manufacturers are all too familiar with the dumping of foreign tile into the US market. Between 2013 and 2018, China accounted for over 30 percent of ceramic tile import value, they said.
However, the US took action to suppress the bloat of Chinese tile imports by imposing a definitive anti dumping duty, they said. (PTI)
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