Turkiye objects to Pakistan’s revised methodology in soda ash case

• Trade ministry challenges revised methodology.
• 5% benchmark sought again.
• Final determination still under review.

ISLAMABAD: Turkiye’s Ministry of Trade has formally objected to a change in methodology adopted by Pakistan’s National Tariff Commission (NTC) in an ongoing anti-dumping investigation into soda ash imports, arguing that a revised profit margin assumption used to calculate injury margins departs from the Commission’s established practice, The News reported.

In a letter dated July 2, 2026, addressed to the NTC in Islamabad, the Directorate General for Imports at Türkiye’s Ministry of Trade said the commission’s decision to apply a 10% “reasonable profit” margin on the cost of production and sales, rather than the 5% margin it has historically used, could distort the injury margin calculation and lead to a “wrong conclusion”.

The case stems from an anti-dumping investigation launched by the NTC on July 18, 2025, into soda ash imports from Kenya and Turkiye following a petition filed by two Pakistani producers, Lucky Core Industries Limited and Olympia Chemicals Limited. On January 15, 2026, the Commission issued a preliminary determination, publishing findings that supported allegations of dumping, injury to the domestic industry and a causal link between the two.

In their comment to The News, an NTC official said that the commission, “operating within its legal framework and in accordance with World Trade Organisation (WTO) requirements, follows a stakeholder-inclusive approach in all trade remedy proceedings. The same approach is being applied in this case. The views and submissions of all concerned stakeholders are carefully considered, and determinations are made following due diligence and in line with the applicable legislative framework.”

He further added that the case is currently undergoing the commission’s established process, under which all stakeholders’ arguments are assessed on their merits. “The investigation is presently at the final determination stage and, once completed, the commission’s findings will be published. Until then, it would not be appropriate to comment on or debate a matter that remains confidential and under consideration.”

Turkiye’s Ministry of Trade said it had previously submitted comments on both the initiation of the investigation and the preliminary determination. However, its latest letter focuses on what it describes as a key methodological issue concerning the profit rate used in calculating the extent of injury allegedly suffered by Pakistani producers.

According to the letter, signed by Onder Duman, deputy director general of the Directorate General for Imports, on behalf of the Minister, the NTC has “consistently adopted” a 5% profit margin on the cost of production and sales in previous injury margin calculations. The ministry noted that the same concern has also been raised by the All Pakistan Glass Manufacturers Association (APGMA), which relies on soda ash as a key industrial input and could be affected by any increase in duties.

Despite this precedent, the commission applied a 10% profit margin in the current investigation. Turkiye’s Ministry of Trade argued that the change departs from the NTC’s established practice and could distort the injury margin assessment.

The ministry has urged the commission to revert to its historical approach and apply the 5% profit margin standard when finalising its injury margin calculations, arguing that doing so would ensure consistency with the commission’s previous decisions.

Soda ash is a key industrial raw material used in glass manufacturing, detergents and various chemical processes. The outcome of the investigation could therefore have implications for downstream industries in Pakistan as well as exporters from Turkiye and Kenya.