Suchergebnisse

Anti-dumping policies are often justified as legitimate actions by governments in their efforts to protect domestic producers from unfair foreign competition. We investigate the impact of anti-dumping rules on firms' production decisions as to how much and where to produce. Anti-dumping measures may have unforeseen effects if they induce direct foreign investment and consequently increase domestic competition. We therefore focus on location choice and consider the strategies of national governments attempting to advance the interests of their citizens through anti-dumping legislation. Our analysis also has implications for the effects of market integration policies, such as Europe 1992.

The regulation of international price discrimination, commonly referred to as "dumping," has been one of the most vexing technical problems to trouble international trade in this century. A favourite weapon of a firm or cartel bent on coercing or eliminating competition has been the price war — sales at below cost for the purpose of driving competitors into line or out of the market. This type of unfair trade practice is not limited by national boundaries, but the normal techniques of controlling it, through antitrust or anti-combines legislation, are largely confined to domestic economies as national governments lack authority to regulate competitors operating exclusively in foreign jurisdictions.Canadian manufacturers have been particularly sensitive to dumping because of the presence next door of large and powerful American competitors and of the close economic proximity of the industries of Britain and continental Europe. Consequently, it is not surprising that Canada pioneered in the field of legislation against dumping, enacting the original provisions in 1904. At that time the government was under considerable pressure from Canadian industry to increase tariffs generally and the introduction of anti-dumping legislation was designed to pacify this group without resorting to an overall increase in customs duties.

The paper assesses China's anti-dumping regime, one of the important structures implemented by China in order to become a full member of the World Trade Organization (WTO). Section One sets forth the WTO's anti-dumping principles as well as analyzes the differences between the WTO principles and the definition of "dumping" as understood by economists. In significant respects, the WTO principles allow situations that do not actually constitute dumping-in an economic sense-to be treated as "dumping," leading to the imposition of duties and sanctions. Next, the paper evaluates the degree to which the separate anti-dumping regimes of China and the U.S. conform to the WTO's anti-dumping guidelines, both as the legislation is written and as it is applied in practice. Finally, several case studies of anti-dumping actions in the agriculture sector are analyzed, identifying the instrumental use by both countries of anti-dumping law, and the frequent absence of true economic justification for the accusations or findings of dumping.