Anti-dumping Duties Research Articles

Dispute Settlement between Indonesia and Australia on A4 Copy Paper AntiDumping Case by World Trade Organization (W.T.O.)

The World Trade Organisation (WTO) has rendered the resolution of the A4 copy paperanti-dumping dispute between Indonesia and Australia a matter of worldwide significancein recent times. The dispute originated when Australia levied anti-dumping tariffs on A4copy paper imported from Indonesia. Consultations were conducted between Indonesia andAustralia, but, a consensus could not be achieved. Indonesia subsequently initiated legalproceedings before the World Trade Organisation (WTO), which ultimately rendered averdict in favour of Indonesia's claim against Australia for the imposition of an antidumping duty (BMAD) on A4 copy paper originating from Indonesia. An examination ofdispute settlement proceedings reveals that the World Trade Organisation (WTO) aims toguarantee that anti-dumping measures do not infringe against WTO regulations. Thisarticle will provide a detailed analysis of the World Trade Organisation (WTO) resolutionof the A4 copy paper anti-dumping conflict between Indonesia and Australia, and itsconsequences for international commerce.

Implementation of anti-dumping duties on iron and steel products: Effects on the Indonesian economy

This research aims to empirically study the impact of Indonesia's anti-dumping measures on the performance of related imported products in 2011. Using the GTAP-E model, the region is divided into 9 regions and the industrial sector is grouped into 2 industries. Empirical results indicate that the imposition of a 20% Anti-Dumping Duty (BMAD) is ineffective in restricting trade from targeted countries. The GDP of non-targeted countries increased, but international trade balances correlated negatively with each BMAD imposition. Additionally, domestic prices in Indonesia appear to be high due to the implementation of BMAD, which has resulted in increased prices of iron and steel in the domestic market.

EU implements provisional anti-dumping duties on imported Chinese titanium dioxide

EU implements provisional anti-dumping duties on imported Chinese titanium dioxide

Impact of Anti-Dumping on Chinese Exports to Countries in ASEAN Plus 6

ABSTRACT Concerns about China’s excessive production capacity prompt a closer examination of Anti-dumping Duties (ADs) as a tool for managing trade imbalances. Within the ASEAN region, ASEAN plus 6 countries, especially India, are emerging as alternatives to China in global value chains. These countries import a broad range of products from China, including intermediate goods, making it vital to analyze the effects of ADs on these imports. Using the Poisson Pseudo-Maximum Likelihood (PPML) method, which effectively handles zero trade flows, heteroskedasticity, and endogeneity, this study explores the use of ADs beyond traditional major economies like the US and EU, focusing on their adoption by less economically developed countries. The findings show that ADs significantly curtail Chinese exports, potentially hindering stronger cooperation within ASEAN plus 6 and slowing regional trade dynamics. This research serves as a critical benchmark for assessing China’s strategic role in global economic leadership, viewed with reservations by several countries, including the US. It emphasizes the need to further explore China’s interaction with ASEAN plus 6 partner countries, particularly concerning trade remedy such as ADs and their impact on regional integration.

Statistical Properties of the Department of Commerce’s Antidumping Duty Calculation Method with Implications for Current Trade Cases

The Department of Commerce (DOC) uses differential pricing analysis in order to detect whether a foreign exporter dumps goods in the U.S. market at prices lower than the exporter sells the goods for in its domestic market. A dumping duty is then levied on the exporter, the amount of which depends on the dumping margin. Several recent cases at the Federal Circuit Court of Appeals have challenged the DOC’s methodology on statistical grounds. In this article, the DOC’s procedure for calculating the dumping margin is described in detail, including the rules for the controversial zeroing policy. Several statistical issues with the DOC’s approach are identified and some potential improvements are proposed.

Anti-dumping Duties & Countervailing Provision in Digital Trade

With the technological advancement in the world, in recent years, the rapid growth of digital trade has presented new challenges for anti-dumping duties and countervailing provisions in India. Digital technologies have reshaped the global commerce which includes cross-border data flows and Intellectual Property Rights (IPR) considerations and this has posed various complexities as traditional trade regulations struggle to adequately address these complexities of digital trade. The objective of this paper is to investigate the implications of anti-dumping duties and countervailing provisions in digital trade as well as identify the if there is any need for updating the regulatory frameworks in Indian trade laws. The problem arises from the intersection of digital trade and anti-dumping measures, where the digital economy presents essential constraints to traditional methods for evaluating market inefficiencies and establishment of fair market value. Similarly, particular issues of data flow and IPR are associated with digital product and services which introduce unique challenges, such as difficulty and quantifying intangible assets and addressing virtual market manipulations. This paper will deal with such types of specific challenges posed by the digital economy in India, including identification of digital trade-related market inefficiencies and shortcoming of existing anti-dumping provisions. Through an examination of recent cases and industry examples this study will provide practical suggestions which aims to bridge the gap of regulatory framework and foster a fair and competitive digital trade environment. In summary, this research paper examines the implication of digital trade such as data flows & IPR on the anti-dumping duties and countervailing measures and whether there is a need for any update in the regulatory framework in Indian trade regulations

A Panel Data Analysis of Antidumping Duties in Seafood Trade: A Gravity Model Approach

ABSTRACT This study uses a panel of monthly data to investigate the effects of antidumping (AD) duties imposed on shrimp imports to the U.S. The results from the augmented gravity model show that initiating AD investigations and the final AD duty rate harm trade with the named countries. Distribution of AD duties among domestic industry producers stimulates a positive supply response. Rejection of imports by European countries for food safety reasons deflects trade to the U.S. The pass-through effects of the AD duty rate (and exchange rate) on import prices are small, indicating minimal adverse effects of AD policy on consumer welfare.

Impacts of anti-dumping duties on firm’s performance: Evidence from listed firms in seafood industry in Vietnam

The study aims to examine the impact of the anti-dumping tax imposed by the United States under the simultaneous influence of financial factors on the performance of enterprises in the seafood export industry. The author selected data including 21 companies listed on the Vietnamese stock market in the period 2017 - 2022, and used GMM estimation technique to retest the influence of familiar factors such as lag of the firm’s performance, size, leverage, liquidity ratio, sales growth rate to the firm’s performance (measured by ROA), in addition, the paper also provides additional evidence on the impact of new factors: anti-dumping tax and export sales ratio. Research results show that (1) 6 out of 7 independent variables including , Size, Liq, g, ADr, Exp.re / Tot.re are statistically significant, (2) anti-dumping tax rate and geographic revenue structure are both recorded negative impacts on performance. The results of this study contribute academically by providing a new insight into the relationship between revenue and profit in the case of exporting to countries that apply anti-dumping tax and contribute practically by proposing some implications for foreign trade policy and corporate financial management strategy.

A Study of Global Trade War and Its Impact on Indian Economy

A Study of Global Trade War and Its Impact on Indian Economy

The impact of policy intervention on international wine demand

PurposeThe purpose of the study is to investigate the impact of implementing anti-dumping duties on imported Australian wine to China in the short- and long-run, respectively.Design/methodology/approachFirst, the Difference-in-Differences (DID) method is used in this study to evaluate the short-run causal effect of implementing anti-dumping duties on imported Australian wine to China. Second, a Bayesian ensemble method is used to predict 2023–2025 wine exports from Australia to China. The disparity between the forecasts and counterfactual prediction which assumes no anti-dumping duties represents the accumulated impact of the anti-dumping duties in the long run.FindingsThe anti-dumping duties resulted in a significant decline in red and rose, white and sparkling wine exports to China by 92.59%, 99.06% and 90.06%, respectively, in 2021. In the long run, wine exports to China are projected to continue this downward trend, with an average annual growth rate of −21.92%, −38.90% and −9.54% for the three types of wine, respectively. In contrast, the counterfactual prediction indicates an increase of 3.20%, 20.37% and 4.55% for the respective categories. Consequently, the policy intervention is expected to result in a decrease of 96.11%, 93.15% and 84.11% in red and rose, white and sparkling wine exports to China from 2021 to 2025.Originality/valueThe originality of this study lies in the creation of an economic paradigm for assessing policy impacts within the realm of wine economics. Methodologically, it also represents the pioneering application of the DID and Bayesian ensemble forecasting methods within the field of wine economics.

Antidumping Duty and Export Deflection to APEC Economies

This study uses detailed product-level data to examine the trade deflection of Korean exports as a result of antidumping (AD) duty impositions. Given that APEC economies account for a large share of Korean exports and that AD duties are imposed on Korean exports, especially by the U.S. and China, this study focuses on Korean export deflection to APEC economies following AD duty impositions from the U.S. and China. We find robust evidence of Korean export deflection within APEC as a result of the imposition of AD duties by the U.S. and China. Moreover, intra-APEC trade deflection is associated with the type of products involved in the AD duty orders. U.S. AD duties have an impact on the export deflection of intermediate products, while Chinese AD duties have an impact on final products, towards APEC economies.

A Tale of Too Little: Anti-dumping Tariff Between SAFTA Contracting Parties

Despite eight neighbouring Member States of the South Asian Association for Regional Cooperation (SAARC) signing the intra-regional preferential trade agreement (PTA), trade between South Asian countries is among the lowest in the world. This article analyses one aspect of the trade under the South Asian Free Trade Area (SAFTA) – anti-dumping duties in the internal trade between the SAFTA contracting parties. It demonstrates that SAFTA has a very sketchy rule on anti-dumping, and even that has hardly made any impact on the intra-SAARC trade. The article argues that the SAFTA as a PTA within the broader framework of a regional institutional mechanism needs to be more ambitious in scope and should dismantle the antidumping duties in intra-SAARC trade. Anti-dumping, SAARC, SAFTA, South Asia, free trade agreements

Expanding Trade Remedy Scope: Cross-Border and Public Policy Subsidies

On May 9, 2023, the U.S. Department of Commerce proposed amendments to the U.S. antidumping and countervailing/anti-subsidy (ADCV) duty regulations fundamentally altering the scope of economic activities captured within the scope of trade remedy laws. The proposed regulations expand ADCD actions to include a wide range of labor, human rights, environmental and intellectual property standards. Commerce’s new regulations make the failure to rigorously enforce national public policy standards directly and indirectly remediable by trade remedy laws by treating unenforced regulations as a subsidy. Antidumping regulations are similarly modified to increase production costs where public policy regulations are deemed weak or ineffective, thereby increasing antidumping duties. Commerce also proposes to eliminate the longtime transnational subsidies regulation which held that a subsidy did not exist if the program or project was funded by a government outside of the country where the recipient was located. A transnational subsidy is financial assistance or support provided by one country to producer in another country. This modification would make transnational subsidies an actionable subsidy under the trade remedy laws. antidumping, countervailing, anti-subsidy, trade remedy laws, labor, human rights, environmental, intellectual property standards, public policy standards, subsidy, production costs, transnational subsidies, financial assistance

Anti-Dumping Committee’s Strategy to Confront Dumping Practices: Indonesian Law and International Law Perspective

This study investigates the Indonesian Anti-Dumping Committee's role and legal efforts in addressing dumping practices within the context of Indonesia's membership in the World Trade Organization (WTO) and adherence to the General Agreement on Tariffs and Trade (GATT). Previous research has demonstrated the existence of dumping in imported polyester staple fiber products, leading to the committee's proposal of anti-dumping duties. The committee is responsible for receiving reports on alleged dumping and producing final reports. Despite these efforts, the study reveals an ongoing increase in dumping cases, causing significant social, psychological, and economic consequences for the country. The current institution dealing with dumping practices is considered inefficient and ineffective. To gain a comprehensive understanding of the issue, the research employs a sociolegal research method with a disciplinary approach, acknowledging that relying solely on normative law is insufficient to address dumping practices. In conclusion, this study aims to shed light on the Indonesian Anti-Dumping Committee's role and its legal framework in countering dumping practices. The rising dumping cases and the perceived inefficiency of the existing institution are worrisome. By utilizing a sociolegal research method with a disciplinary approach, the study strives to offer a holistic understanding and potentially contribute to more effective solutions in combating dumping practices.

Trade Destruction and Trade Diversion of Indian Anti-dumping Duties Against Bangladesh

In this study, we investigate Indian anti-dumping (AD) duties imposed on eight products (Harmonized System classification) from Bangladesh over the period 1998–2020. Using the Poisson pseudo-maximum likelihood method, panel regression analysis is applied to examine the relationship between Indian AD duties and goods imported from Bangladesh. Our results provide weakly suggestive significant evidence of trade destruction in the full sample, though statistical significance is enhanced for all product groups other than lead-acid batteries at the product-level investigation. We also provide suggestive evidence for trade diversion from AD duties. Overall, our results show Indian AD duties to be correlated with a decrease in imports from Bangladesh, and an increase in imports of goods from other, unnamed countries. This suggests that India’s protectionist measures may have been ineffective in protecting local producers, as any adverse effects of protectionism on Bangladesh may be offset by import diversion to other foreign suppliers. We also discuss the policy implications of these findings.

How antidumping measures affect US imports from China: A mesoeconomic perspective of the excess price changes

AbstractThis paper studies the impact of US antidumping (AD) measures on US import volumes and prices from China, employing both theoretical analysis (mesoeconomics) and empirical analysis (difference in differences). Using US customs data, we find that US AD measures have substantial trade‐dampening effects at the product level, and the exogenous increases of costs caused by AD duties push up the import prices of influenced import goods more than the increases in costs. We also build a mesoeconomic model that gives a reasonable and analytical explanation for our empirical findings.

China imposes anti-dumping duties on phthalocyanine pigments from India

China imposes anti-dumping duties on phthalocyanine pigments from India

지역무역협정을 통한 반덤핑조치의 제한에 관한 탐색적 연구

Although traditional trade barriers such as tariffs and quotas have been significantly eliminated with the establishment of the World Trade Organization (WTO) and the expansion of regional trade agreements (RTAs), the effects of trade liberalization have been greatly impeded by the abuse of anti-dumping measures. Therefore, many countries have introduced various WTO-plus provisions to strengthen the procedural and substantive requirements for the imposition of anti-dumping duties in their RTAs. This study examined anti-dumping provisions included in 320 RTAs in effect and quantified the degree to which anti-dumping measures are restricted in RTAs using a newly developed Anti-dumping Restrictiveness Index. In addition, an exploratory analysis was conducted to identify the factors that influence the restriction of anti-dumping measures in RTAs using the index as the dependent variable. Since the 2000s, there has been a growing movement to restrict anti-dumping measures in RTAs, and it has been noted that various WTO-plus rules have been introduced to enhance the transparency of the investigation process. The results of the regression analysis showed that the degree of integration, the size of regional trade, the members' level in economic development, the frequency of anti-dumping measures, and the regional characteristics have an influence on the restriction of anti-dumping measures in RTAs.

Dumping, antidumping duties, and price undertakings

This paper examines which types of firms, from a developed country (DC) or a less developed country (LDC), tend to practice dumping, using a two-market equilibrium analysis of trade in similar products. Specifically, we present a vertical product differentiation model of duopolistic competition between a DC firm and an LDC firm under free trade to show that the DC firm sells a higher-quality product without dumping. In contrast, the LDC firm sells a lower-quality product and practices dumping in the DC market by charging a price lower than the product's price in the LDC's local market. In response to the LDC dumping, the DC government's use of an optimal antidumping duty increases its domestic welfare. The LDC's social welfare may increase if its exporting firm accepts price undertaking rather than dumping. From the perspective of world welfare, defined by aggregating the welfare of the trading countries (DC and LDC), the trade damage measure through imposing antidumping fines on LDC dumping is Pareto-improving compared to free trade (under which dumping takes place) and price undertakings.

Фискальная роль особых пошлин на импортные товары

The article considers the measures of customs regulation of foreign trade activities used in the world practice. Due to the liberalization of world trade, most countries reduce the use of customs tariff regulation measures, compensating them with the introduction of special duties on imported goods. The purpose of the study is to analyze the international practice of applying those special duties. Analysis of the application of special duties to and against the EAEU countries was carried out, and the implementation of the fiscal function of special duties was examined in particular. The hypothesis of the study is the assumption that special duties play an insignificant fiscal role in the state budget revenues. Analysis of the practice of applying special duties was conducted on the basis of data from the World Trade Organization and the Treasury bodies of the Russian Federation. In the course of the study, the economic and logical methods of comparison, detailing, as well as the balance method were actively used. It was found that anti-dumping duties, which account for 2/3 of all special duties, are most often used to regulate the import of foreign goods. Russia applies 25 protective measures to goods imported from other countries, and 93 protective measures are applied to Russian goods. Special duties are currently insignificant in revenues of the federal budget of Russia; in 2021 their ratio with the receipt of import customs duties amounted to 1.5%. At the same time, there is a steady growth in the receipt of special duties: over the past 10 years, it has increased 13-fold. To increase the fiscal role of special duties, it is advisable to change the order of their distribution among the EAEU countries, so that the entire amount of special duties on imported goods is credited to the budget of the country that initiated their introduction.