Sunday, 7 July 2013

Is it GOO..d to Dump?


Following up, the Anti-dumping duty was almost exclusively restricted to a certain group of countries. After the establishment of the World Trade Organization in 1995 however, many other countries began to use anti-dumping, including most notably India, the Republic of Korea, South Africa, and Turkey. Japan, though frequently a target of antidumping actions by importing countries, has only rarely used anti-dumping to restrict imports. 
Anti-dumping duties have been imposed on a wide variety of manufactured, agricultural, and commodity products. The steel and chemical industries have been the most frequent users of the antidumping process. For the period between 1980 and 2002, approximately 50 percent of all anti-dumping petitions involved these two industries. This may reflect the very high fixed costs of both industries, which make them vulnerable to downturns in their industries and create incentives to expand production through exports to try to lower average production costs. The steel industry has been particularly active in the United States in supporting the role of anti-dumping in the multilateral trading system. 

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