. /.   WORLD TRADE  
ORGANIZATION  G/SG/N/7/IND/3 
11 June 2009 
 (09-2817) 
Committee on Safeguards Original:   English 
  
 
NOTIFICATION UNDER ARTICLE 12.4 OF THE AGREEMENT 
ON SAFEGUARDS BEFORE TAKING A PROVISIONAL 
SAFEGUARD MEASURE REFERRED TO IN ARTICLE 6 
 
INDIA 
 
(Acrylic Fibre
) 
   The following communication, dated 9 June 2009, is being circulated at the request of the 
Delegation of India.   
 
_______________  
 
 
1. Evidence of serious injury or threat thereof caused by increased import 
 
 The import of Acrylic Fibre has increased in  absolute terms as well as compared to the 
domestic production.  The sales of the product h as seen sudden and sharp decline during the year 
2008-09 compared to the preceding year.  Market share of domestic industry was 89.04 per cent during 2005-06 which declined to 86.73 per cent in 2006-07 and then improved to 90.85 per cent 
during 2007-08.  In the first nine months of 2008-09, market share of domestic industry saw 
significant fall to 84.55 per cent whereas there is a growth in imports in absolute terms as well as 
relative terms.  The average monthly production of  the product under investigation by the domestic 
industry has seen a continuous decline du ring the period of investigation.   
 
2. Information on whether there is an absolute increase in import or an increase in import 
relative to domestic production  
 
 The import of Acrylic Fibre has increased in  absolute terms as well as compared to the 
domestic sales as shown in the table given below:    
Year Import Domestic 
Sales % Share of 
import % Shares of 
Domestic 
Sales 
2005-06 11747 95’387 10.96 89.04 
2006-07 11,700 76,497 13.27 86.73 
2007-08 7,360 73,098 9.15 90.85 
2008-09 
(First nine months) 8,393 45,917 15.45 84.55 
 G/SG/N/7/IND/3 
Page 2  
 
  3. Precise description of the product involved 
 
 Acrylic Fibre classified under sub heads 55013000, 55033000, 55063000 of HSN and under 
Schedule I of the Custom Tariff Act 1975.    4. Precise description of the proposed measure  
 DG, Safeguards, the competent authority  has recommended imposition of a provisional 
safeguard duty equal to the difference between the duty calculated at the rate of 20 per cent 
ad valorem and Anti dumping duty if any in force, agai nst import of Acrylic Fibre into India.  Further, 
wherever applicable antidumping duty is or would be more than safeguard duty, no safeguard duty 
shall be levied.    
5. Import from Developing Countries  
  There have been import from China, Thailand and Korea, which are more than 3 per cent as 
shown below.  Exports of the product from all other developing countries taken together do not 
contribute more than 9 per cent of exports to India.  Accordingly, import of Acrylic Fibre from all developing nations except China PR, Thailand and Korea PR, may not attract safeguard duty.   
 
 % share in 
 Qty(MT) Total import 
(volume) 
China, PR 673118 11.78 
Thailand 968117 16.94 
Korea, RP 329000 5.76 
 6. Proposed date of introduction of measure  
 
 Not available.    
7. Expected duration of the measure 
  Not available.   
 
8. Further Information 
 
 The preliminary findings were published in  Gazette of India on 15 April 2009.   
   
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