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Graphite India has informed the exchanges that the U.S. Department of Commerce has announced a preliminary anti-dumping (AD) duty

ICICIdirect Research 30 Sep 2026 DISCLAIMER

News: Graphite India has informed the exchanges that the U.S. Department of Commerce has announced a preliminary anti-dumping (AD) duty of 12.22% on the company’s exports of large-diameter graphite electrodes to the US. After adjusting for subsidy offsets, the effective cash deposit rate stands at 9.88%. The company received the order on 28th Sep’26, while the official effective date of the duty is yet to be notified.

View: The proposed AD duty, in addition to the existing Countervailing Duty (CVD) of 3.68%, takes Graphite India’s combined duty burden to 13.56%, while HEG currently faces a 6.99% CVD on exports to the US. We view the development as negative for both companies, as the US is a relatively higher-margin market and higher duties could impact export competitiveness. However, the impact is expected to remain manageable for HEG, given the US contributes only ~10% of revenue and the company has a diversified geographical presence. With HEG’s graphite electrode business expected to list in the coming weeks following the demerger, the impact of the US duty will remain a key monitorable. The final impact will depend on the outcome of the ongoing AD/CVD investigations and the companies’ ability to pass on the additional duty burden to customers.

Impact: Negative

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