According to the National Tariff Commission, the local ceramic industry is not doing well because of the large scale dumping of ceramic tiles coming from China. Industrialists are disappointed with the lack of action from the commission despite knowing about it. When the Pakistani government signed a deal with China regarding Free Trade Agreement, the promise was that the local industry will be protected. There were already proofs that ceramic tile products such as kitchen tiles are being dumped into the Pakistani market in large batches.
Despite the fact that the commission has mandated the anti-dumping policy for tile imports that are coming from China on October of 2017, the industry is still on its way to recovering. Furthermore, there are complaints that the commission is not doing its job to ensure faster process in dumping court cases.
According to an official that is related in the tiles industry, the commission did not try to follow up the case and it turned out to have a big impact on the national exchequer and the suffering of the local tile manufacturers went on.
A Karachi-based company that imported ceramic tiles coming from China worth 6,084,583 was not mandated to pay its due with regards to anti-dumping law. The same thing happened with a Lahore-based company which failed to pay its dues after importing China porcelain tiles worth 6,485,739. A company based in Sialkot with imports of China polished porcelain tiles was also not able to pay the anti-dumping duty.
The official added that these companies are just three examples but they have already robbed the government the supposed 2 million dues out of the 22 million imported tiles. Despite the existence of the anti-dumping policy, these companies did not pay even a single penny. If these three companies alone are already causing losses to the national economy, the amount would be bigger if all the cases are put together.
Tiles remain to be in high demand for construction projects. For both residential and commercial, kitchen tiles are necessary therefore, the local industry should be benefiting from it and not the imported brands.