Non‐equivalent pass‐through of anti‐dumping duties, countervailing duties and import tariffs

Abstract

AbstractWe directly compare the short‐run pass‐through of tariffs, anti‐dumping (AD) duties and countervailing (CV) duties into US import prices. Consistent with the theoretical predictions, we find clear pattern of non‐equivalence in import price reaction to the three duty types, with the most notable difference detected between AD duties and tariffs. According to our estimates, a tariff rate would have to be approximately two times higher than an AD duty rate in order to have the same effect on the delivered import price.