Garware says the Finance Ministry did not impose the anti-dumping duty on Chinese PPF, even as its Q2 revenue hits a record ₹696 crore

If you have been quoted a suspiciously low price for a full-body paint protection film job, there is a reason, and it has just been spelled out by the biggest Indian player in the business.

On its Q2 FY27 earnings call on 23 October, Garware Hi-Tech Films told analysts that its application for an anti-dumping duty on paint protection film from China went nowhere at the final step. Management said, "We applied for anti-dumping duty because the imports from China were coming at very low prices. That was approved by Ministry of Commerce. However, Finance Ministry did not apply it." The Directorate General of Trade Remedies had issued final findings in June 2026 recommending a duty on thermoplastic polyurethane based paint protection film from China, but that recommendation only becomes law when the Finance Ministry notifies it.

For installers and customers, the practical effect is that the flood of low-cost Chinese TPU film continues without an extra duty on top. That keeps entry-level PPF cheap. It also keeps the market crowded with film that is sold on price rather than on warranty, clarity or self-healing performance, which is exactly the part of a PPF job you cannot judge on the day it is installed.

A record quarter built on films you stick to cars

Garware's own numbers suggest the Chinese imports are not hurting it much. The company reported Q2 FY27 revenue of ₹696 crore, up 22 per cent year on year, EBITDA of ₹189 crore at a 27.2 per cent margin and net profit of ₹129 crore, up 42 per cent. For the first half it posted ₹1,329 crore of revenue and ₹262 crore of profit.

Paint protection film made up 24 per cent of the Q2 mix, with sun control film at 51 per cent and industrial products at 25 per cent. PPF lines ran at 73 per cent utilisation and sun control at 75 per cent. Management put Garware's domestic share at roughly 60 per cent in PPF and 60 to 65 per cent in sun control films.

The bigger move is backward integration. Garware said its TPU line remains on track for commissioning in Q3 FY27, the quarter we are in now, with about 75 per cent of that output going into its own PPF and the rest sold to other film makers. It expects ₹75 crore to ₹100 crore of external TPU sales in FY28. Making its own TPU is how Garware plans to fight imported film on cost rather than only on quality claims.

Why India is still the small market in this story

The number that should interest Indian enthusiasts is penetration. On the same call, Garware said PPF penetration in India is around 3 per cent of cars against about 20 per cent in the United States and China. That is the gap every detailing chain in the country is chasing.

Garware is chasing it with retail. Its domestic Home Solutions studios went from 9 at the end of Q1 to 14 in Q2, with 12 more planned in Q3 and a target of 50 studios by December 2027. It also runs 14 global application studios after adding two in the quarter.

The global brands are doing the same thing in other emerging markets. On 23 October, XPEL opened a 9,000 square foot headquarters, warehouse and training centre in Sao Paulo so Brazilian dealers buy PPF, tint and coatings directly from the company instead of through an intermediary. Brazil gets a local XPEL office. India, for now, gets a domestic manufacturer with the duty protection it asked for still unsigned.

Sources

• Garware Hi-Tech Films Q2 FY27 earnings call transcript coverage
• Garware Hi-Tech Films Q2 profit surges to ₹129 crore, revenue jumps 22%
• Garware Hi-Tech Films Ltd receives favourable DGTR findings on paint protection film
• XPEL announces expansion into Brazil with opening of Sao Paulo headquarters, warehouse and training centre
• Garware Hi-Tech Films investor desk, Q2 FY27 call material