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Shardul Nautiyal, Mumbai July 30 , 2025
Aimed at safeguarding domestic industry interests, the Directorate General of Trade Remedies (DGTR) has initiated anti-dumping investigation on imports of “4-(Bromomethyl)-2'-cyanobiphenyl”, commonly known as “Bromo OTBN”, used as intermediate in key antihypertensive drugs, originating from China.

The investigation was triggered following a formal application filed by Neogen Chemicals Ltd., a prominent player in India’s specialty chemicals sector, on behalf of the domestic industry. The application, submitted in accordance with provisions of the Customs Tariff Act, 1975, and the Customs Tariff (Identification, Assessment and Collection of Anti-Dumping Duty on Dumped Articles and for Determination of Injury) Rules, 1995, alleged large-scale dumping of the subject chemical into Indian markets.

The product under consideration, Bromo OTBN, is primarily used in the manufacturing of active pharmaceutical ingredients (APIs), specifically those used in antihypertensive drugs such as Losartan and Telmisartan. Given its strategic role in the pharmaceutical supply chain, especially for life-saving medications, the pricing and availability of Bromo OTBN are critical for both manufacturers and consumers.

Dumped imports from China have entered the Indian market at unfairly low prices, undercutting domestic producers. These imports are being carried out in significant volumes over a prolonged period, creating an unlevel playing field.

The practice has led to material injury to India’s domestic industry in terms of reduced market share, price suppression, and under-utilized capacity.

The continued influx of under-priced imports has reportedly hampered the growth prospects of domestic producers, jeopardizing employment and investments in the chemical sector. The application emphasized the urgent need for remedial measures, including the imposition of anti-dumping duties, to ensure a fair competitive environment.

The DGTR will now undertake a comprehensive examination of the evidence provided.

The applicant has claimed that the subject goods, which have been alleged to be dumped in India, are identical to the goods produced by the domestic industry. There are no known differences in the subject goods produced by the Indian industry and the product under consideration produced and exported from the subject country.

The two products are comparable in terms of essential product characteristics such as physical and chemical characteristics, manufacturing process and technology, functions and uses, product specifications, pricing, distribution and marketing and tariff classification of the goods. Consumers can use and are using the two interchangeably. The Authority notes the view points of the applicant. Hence, for the purpose of the present investigation, the subject goods produced by the applicant are being treated by the Authority as 'like article' to the subject goods being imported from the subject country.

As per the application filed by the applicant, there are two more producers of the subject goods in the country. The applicant has claimed that it holds major share in total Indian production.

On the basis of information available and after due examination, the Authority notes that production by the applicant constitutes "a major proportion" of total Indian production. The applicant has certified that it has neither imported the product under consideration (PUC) nor is related to any producer/exporter of the product under consideration in China.

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