Chemplast Sanmar Limited has received notification from CRISIL Ratings regarding the downgrade of long-term credit ratings for both the company and its wholly-owned subsidiary, Chemplast Cuddalore Vinyls Limited, effective March 26, 2026. The rating action affects a combined bank facility portfolio of Rs. 4,551 crore across both entities.

Rating Downgrades for Parent Company

CRISIL has downgraded Chemplast Sanmar Limited's long-term bank facilities rating from A+ to A while maintaining the negative outlook. The short-term rating has been reaffirmed at A1. The company's total bank loan facilities remain unchanged at Rs. 2,001 crore.

Subsidiary Rating Action

Chemplast Cuddalore Vinyls Limited has received identical rating treatment, with its long-term facilities downgraded from A+ to A while maintaining the negative outlook. The subsidiary's short-term rating remains at A1, with total bank loan facilities of Rs. 2,550 crore.

Facility Distribution and Banking Partners

The parent company's Rs. 2,001 crore facilities are distributed across multiple banking partners including State Bank of India, ICICI Bank Limited, YES Bank Limited, IndusInd Bank Limited, IDBI Bank Limited, and DBS Bank India Limited. The facilities comprise term loans, letters of credit, cash credit, and working capital demand loans.

Chemplast Cuddalore Vinyls Limited's Rs. 2,550 crore facilities include partnerships with ICICI Bank Limited, YES Bank Limited, IndusInd Bank Limited, IDFC FIRST Bank Limited, RBL Bank Limited, and The Hongkong and Shanghai Banking Corporation Limited. The subsidiary's portfolio includes both existing facilities and proposed long-term bank loan facilities worth Rs. 56 crore.

Regulatory Compliance and Timeline

The rating notification was submitted to BSE Limited and National Stock Exchange of India Limited under Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The information occurrence was recorded on March 26, 2026, at 11:41 AM (IST), with the formal notification signed by Company Secretary M Raman.

CRISIL Ratings maintains continuous surveillance of all assigned ratings and reserves the right to revise ratings based on new information or changing circumstances. The rating agency requires fresh revalidation letters if proposed facilities are not availed within 180 days from the rating date.

Chemplast Sanmar and other domestic PVC manufacturers may benefit from a recent recommendation by India's trade protection authority regarding imports from key international markets.

DGTR Issues Anti-Dumping Recommendation

The Directorate General of Trade Remedies (DGTR) has recommended the imposition of anti-dumping duties on PVC paste resin imports originating from the European Union and Japan. This recommendation represents a significant development in India's trade protection measures for the domestic chemical industry.

Impact on Domestic Industry

The DGTR's recommendation follows concerns raised by domestic manufacturers about unfair competition from imports. PVC paste resin is a crucial raw material used in various applications including:

• Artificial leather manufacturing
• Coated fabrics production
• Industrial applications
• Consumer goods manufacturing

Regulatory Process

The anti-dumping duty recommendation will now proceed through the standard regulatory approval process. The final decision on implementation rests with the relevant government authorities, who will review the DGTR's findings and recommendations.

Market Implications

If implemented, the anti-dumping duties could help level the playing field for domestic PVC paste resin manufacturers. The measure is designed to address pricing distortions caused by alleged below-cost selling by foreign producers in the Indian market.

The recommendation reflects ongoing efforts by Indian trade authorities to protect domestic industries from unfair trade practices while maintaining competitive market conditions.