Chinese tile suppliers file complaint with Pakistan Customs against misuse of their names

KARACHI: The Chinese tile suppliers have approached Pakistan’s Customs authorities complaining that several tile importers in Pakistan were misusing their name to clear tile consignments in Pakistan to avoid incidence of anti-dumping duties.

Chinese tile suppliers including M/s Foshan Hexin chaungzhan Ceramics Co Ltd; M/s Zibo Huabang Ceramics Co Ltd; M/s Huida Sanitary Ware Co Ltd wrote letters to Customs authorities that several importers were using their name by presenting fake shipping documents in order to avoid duties and taxes under anti-dumping law, which was causing big revenue losses to government of Pakistan.

The above mentioned tile suppliers of China have also complained that these unscrupulous importers including M/s Merck International, M/s Al-Nafeh Trading Company, M/s CAAS Building Solutions and M/s DH Traders had also damaged the reputation of Chinese companies.

The above-mentioned China based tile suppliers noted that Pakistani importers made payments of their consignments using third party mandate and got approved the electronic import form (EIF) from banks through illegal means.

These Chinese companies have categorically mentioned that they never had any business relationship with above mentioned importers and they had no plan to do so in future.

Earlier, this month Lahore High Court (LHC) dismissed 77 writ petitions filed by importers of ceramic tiles, steel, hardware, chemicals, packaging/paper materials in anti-dumping cases of National Tariff Commission (NTC).

All the writ petitions 77 in numbers have been dismissed some of which are dismissed with costs. A penalty of Rs.100, 000 per petitioner has been imposed on all those petitioners who took stay orders from different judges by misrepresenting the facts during proceedings. The net effect of this judgment is that all the importers who took stays against preliminary determinations will have to deposit whole of the anti-dumping duties accrued since imposition, sources said.

It may be recalled that National Tariff Commission (NTC) of Pakistan imposed provisional Anti-Dumping Duty from 6-59 percent on the import of tiles and ceramics from China to save the local tiles industry.

Pakistan Customs detected evasion of over Rs61 million on account of levy of provisional anti-dumping duty on dumped imports of wall and floor tiles into Pakistan originating in and exported from China.

Several importers were misdeclaring name of their Wall/Floor Tiles Supplier from China in order to avoid imposition of correct rate of anti dumping duty.

The rate of anti dumping duty is 5.21 percent on M/s Huida Sanitary Ware Company Limited and 6.82 percent on M/s Foshan Hexichuangzhan Ceramics Company Limited.

Most imports of tiles from China are being declared to be from these suppliers. Actually these shipments are from Chinese companies on which the highest rate of anti-dumping duty is slapped.

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