The Finance Ministry has imposed definitive anti-dumping duty on Phthalic Anhydride (PAN) imports from South Korea, Taiwan and Israel.
The duty will last for five years, unless revoked earlier.
PAN is mainly used in the production of phthalate esters, which functions as plasticisers.
It is an important chemical intermediate in the plastics industry.
The revenue department move follows Designated Authority's recommendation in its final findings in September 2012 to impose definitive anti-dumping duty on PAN imports from Taiwan, South Korea and Israel.
PAN is also used in the making of products such as polyester resins, alkyl resins used in paints and lacquers, unsaturated polyester resins, polyester polyols, dyes and pigments and insect repellents.
The petition seeking anti-dumping probe was jointly filed by IG Petrochemicals, Mysore Petrochemicals, Thirumalai Chemicals and SI Group India Ltd.