August 18 – India’s Directorate General of Trade Remedies (DGTR) has initiated a countervailing duty investigation into suspension-method PVC resin originating in China. This move comes on top of existing anti-dumping duties imposed by India on Chinese PVC. The dual trade barriers are further squeezing market access for Chinese PVC products in India.
China’s PVC exports have been rising year-on-year in recent years. Driven by robust demand from infrastructure and agricultural sectors, India has emerged as a key growth destination for China’s PVC exports.
Statistics show China’s PVC exports to India stood at roughly 46,800 tonnes in 2020, and surged to around 1.515 million tonnes in 2025, representing more than 30-fold growth over six years. In 2025, China’s total PVC exports reached approximately 3.94 million tonnes, with shipments to India accounting for 38.4% of the total. In the first half of 2026, China’s overall PVC exports totalled about 2.4623 million tonnes, of which exports to India still made up 36.8%.
India has rolled out multiple restrictive measures targeting Chinese PVC since the start of this year:
- February: Launch of countervailing investigation. On February 26, India’s Ministry of Commerce and Industry announced a countervailing investigation into suspension-grade polyvinyl chloride imported from China.
- April: Temporary removal of PVC import tariffs. Effective April 2, India cut the import duty on PVC from 7.5% to zero for an initial three-month period, later extending the tariff exemption until July 15. The zero-tariff policy briefly boosted Chinese PVC exports to India. Import duties reverted to 7.5% on July 16.
- July: Introduction of minimum import price regulation. On July 24, India’s Directorate General of Foreign Trade (DGFT) issued new rules enforcing a six-month minimum import price for suspension-method PVC resin. Under the regulation, imports with a CIF India value above USD 766 per tonne may enter duty-free without restrictions. Shipments at or below this threshold are classified as restricted imports.
Should countervailing duties take final effect, they will compound existing regulations and further curtail Chinese PVC’s market share in India. Nevertheless, India’s domestic PVC production capacity remains limited, with its import dependency consistently above 60%. Alternative suppliers cannot fully fill the supply gap in the short term, leaving part of local demand still reliant on Chinese imports.
Overall, India’s initiation of the countervailing investigation represents a major trade challenge for China’s PVC sector. Relevant enterprises need to respond proactively, while the industry should accelerate transformation and upgrading to sustain competitiveness amid a volatile global trade landscape.
Post time: Aug-20-2026