On July 28, 2025, the Directorate General of Trade Remedies (DGTR) - the investigative arm of the Indian Ministry of Commerce & Industry - published its final findings on the anti-dumping investigation concerning imported "T-shaped Elevator/Lift Guide Rails and Counterweight Guide Rails" originating in or exported from China.
The investigation was initiated following an application filed by Savera India Riding Systems in June 2024. The company alleged that the domestic elevator industry was suffering material injury due to dumped imports and requested the imposition of anti-dumping duties.
According to a report by ResearchAndMarkets published on Businesswire, the Indian elevator and escalator market is projected to grow significantly, from a valuation of USD 3.54 billion in 2023 to USD 7.2 billion by 2031, representing a Compound Annual Growth Rate (CAGR) of 8.2%. This growth is driven by rapid urbanization, infrastructure development, and increased residential and commercial construction.
The final findings by the investigative authority of the Indian Ministry of Commerce determined that: Considering the normal value and export price of the subject goods, dumping margins have been established, and these margins are positive and significant.
Market demand for this product in India surged by 71% during the investigation period (POI), yet the market share of Indian manufacturers declined significantly. The domestic industry manufacturing elevator guide rails in India failed to achieve optimal production levels, despite having sufficient capacity to meet nearly 40% of the demand.
The DGTR also concluded that the landed price of imports from China had plummeted, falling even below the raw material costs of Indian producers. This forced domestic companies to lower their selling prices to compete, leading to significant price undercutting throughout the investigation period.
“Profitability, cash profits, PBIT (*Profit Before Interest and Tax), and Return on Capital Employed (ROCE) of the domestic industry have declined throughout the investigation period except for 2021-22. Profits in the base year turned into losses in the investigation period,” the DGTR report specified.
The DGTR’s investigation findings indicate that the Indian industry producing T-shaped elevator/lift guide rails and counterweight guide rails has suffered material injury due to dumped imports. The injury margin is significant.
The trade balance between the two nations is tilting towards China, with the gap widening further. Chart: Elevator Magazine.
After conducting a thorough investigation and quantifying the impact of the duties, the Investigative Authority of the Indian Ministry of Commerce found that the imposition of anti-dumping duties is necessary to offset this injury and restore a level playing field for domestic manufacturers.
Accordingly, the DGTR has recommended anti-dumping duties ranging from 24.11% to 51.87% on the CIF (Cost, Insurance, and Freight) value of T-shaped guide rails and counterweight guide rails originating in or exported from China for a period of 5 years.
The DGTR emphasized that the imposition of duties would not affect the availability of the product to consumers.
This investigation and recommendation comply with the regulations of the World Trade Organization (WTO), of which both India and China are members. The objective is to ensure fair trade practices and create an equitable competitive environment for domestic manufacturers.
India-China Trade Deficit Hits Record Near USD 100 Billion
During the period from April to July of the fiscal year 2025-2026, India's exports to China increased by 19.97% to USD 5.75 billion, while imports rose by 13.06% to USD 40.65 billion.
Data released by the Indian Ministry of Commerce and Industry on April 16, 2025, showed that in the fiscal year 2024-2025 (ending on March 31), India exported USD 14.25 billion to China, while imports reached USD 113.5 billion. The country's trade deficit with China skyrocketed from USD 1.1 billion in 2003-2004 to a record USD 99.2 billion in the fiscal year 2024-2025.
India-China bilateral trade over the past 11 years. Table: Elevator Magazine
This imbalance highlights structural challenges within the Indian economy. According to the Global Trade Research Initiative (GTRI) based in Delhi, the surge in imports reflects a growing dependence on Chinese components, particularly in the electronics, pharmaceutical, and engineering sectors. The organization’s analysis shows that China supplies over 75% of India’s demand for certain key products.
To respond, India is devising long-term plans to reduce reliance on China, including promoting domestic manufacturing (Make in India initiative) and diversifying supply chains by collaborating with other partners.
Overcapacity makes Chinese goods more competitively priced. Photo: Reuters.
Simultaneously, following the detection of certain substandard equipment and products imported from China, India has moved to impose anti-dumping duties on various products to counter cheap imports from several countries, including China—ranging from chemicals to engineering goods—aiming to protect domestic manufacturers.
Notably, the country is also ramping up the enforcement of quality standards and stricter mandatory testing and certification processes (such as BIS certification) to prevent substandard products from entering the market. This initiative also aims to encourage domestic manufacturers to enhance their production capabilities.
The India-China trade deficit hit a record high of nearly USD 100 billion in the 2024-2025 fiscal year. Chart: Elevator Magazine
According to The Times of India (TOI), the widening trade deficit puts pressure on foreign exchange reserves and increases reliance on foreign suppliers. While cheap imports may benefit consumers in the short term, they can harm domestic manufacturers. Over-reliance on imports can also lead to currency depreciation, increasing the cost of imported goods and fueling inflation.
Experts warn that this dependency reduces the incentive to build domestic production capacity in strategic sectors, potentially slowing down industrial growth and innovation in the long run.
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