India has prolonged the anti-dumping duty (ADD) on flax or linen fabric imports from China and Hong Kong for an additional five years.
The Ministry of Finance’s Department of Revenue issued the extension last Friday through Notification No. 31/2025-Customs (ADD). The government officially declared the extension following the findings of the sunset review investigation.

The Indian government initially introduced the duty on November 10, 2020, for a duration of five years. The sunset review determined that increased imports continued to cause material injury. Flax fabric, commonly referred to as ‘super cotton,’ is extensively used in high-end apparel.

The Directorate General of Trade Remedies (DGTR) launched the review on March 29, 2025. In its final report issued on August 8, 2025, the agency confirmed that dumping of flax fabric from China and Hong Kong persisted, causing significant harm to the domestic industry.

The report highlighted that import volumes continue to rise despite the duties in place, leading to a decline in domestic prices due to import undercutting. It also found that price suppression prevented local manufacturers from transferring higher raw material costs to consumers.

Based on these findings, the Central Government has decided to continue imposing anti-dumping duties on flax fabric imports from the specified sources. Imports originating from or exported via China will be subject to a duty of $2.36 per meter, while those associated with Hong Kong will incur a duty of $1.14 per meter. The updated notification states that the duty will stay in force for the next five years from the date of its issuance.

The extension of the duty is intended to promote fair trade and safeguard domestic manufacturers of flax and linen textiles.

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