Big News: Indian Court Cancels Anti-dumping Duty on Titanium Dioxide

On September 22, 2025, the Indian titanium dioxide (TiO2) market received a significant update as the Calcutta High Court overturned the government's decision to impose anti-dumping duties on TiO2 imports from China.

The case was initiated by the Indian Paints Association, which represents nearly 90% of the country's paint industry. They argue that many of the titanium dioxide grades under investigation, particularly the rutile sulfate and certain high-performance types, are not produced in India. They contend that imposing tariffs on these grades would only increase manufacturers' costs without protecting domestic producers.

The Directorate General of Trade Remedies (DGTR) conducted an investigation earlier and issued the final findings on February 12, 2025, recommending the imposition of anti-dumping duties. The government subsequently notified the imposition of the tariffs on May 10, 2025. However, the court found significant procedural flaws: confidential information was accepted without an appropriate non-confidential summary, depriving the relevant parties of a fair opportunity to respond. The court stated that this violated the principles of natural justice and the provisions of the Indian Customs Act.

Therefore, the High Court overturned the DGTR's investigation findings and the government's tariff notice, remanding the case back to the DGTR for a re-examination starting from the stage when the Paint Association raised objections. This means that the current anti-dumping duties are no longer valid, although the DGTR may re-investigate and make a new decision.

For Indian clients, this ruling provides temporary relief in terms of costs. The temporary suspension of import duties on titanium dioxide ensures better price stability and supply availability. Additionally, some Indian clients have mentioned that India produces only 40,000 tons of titanium dioxide annually, while they import 300,000 tons each year, raising doubts about the rationale behind increasing this tariff.

Meanwhile, uncertainty persists as the Directorate General of Trade Remedies (DGTR) may resume investigations.

The following are the most significant findings from the order issued by the Calcutta High Court on September 22, 2025:

1. The procedural lapse of the Directorate General of Trade Remedies (DGTR) — The court ruled that the DGTR failed to provide an appropriate non-confidential summary of the confidential information it relied upon. This prevented stakeholders, including the Indian Paints Association, from meaningfully examining the evidence. It was deemed a violation of natural justice and anti-dumping rules.

2. Revocation of DGTR's Final Investigation Result – The court revoked (abolished) DGTR's final investigation result on China's titanium dioxide imports dated February 12, 2025.

3. Abolition of Government Tariff Notice – The court also overturned the anti-dumping tariff notice issued on May 10, 2025, which imposed tariffs on China's titanium dioxide.

4. Case Returned to DGTR – The matter has been returned to DGTR for reconsideration, starting from the applicant’s (Indian Paints Association) response phase. DGTR must conduct an appropriate re-examination of the issue in accordance with disclosure requirements.

5. Temporary Relief for Importers – Anti-dumping duties will not apply until DGTR completes the new investigation and issues new findings. This provides short-term cost relief for Indian titanium dioxide users.

6. Uncertainty remains in the future – although current tariffs have been lifted, the DGTR can still reopen and continue investigations, which means tariffs may be reimposed based on new findings.