Design and Implementation of Anti-Dumping Laws in the US and the EU

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TABLE OF CONTENTS

LITERATURE REVIEW1

Introduction1

Antidumping1

Design and Implementation of Antidumping Laws in the US2

Design and Implementation of Antidumping Laws in the European Union4

REFERENCES7

LITERATURE REVIEW

Introduction

This chapter provides the literature review regarding the design and implementation of anti-dumping laws in the US and the UK. The literature for this research study has been extracted from the electronic libraries, books, journals, articles, and other previous researches.

Antidumping

Antidumping is considered to be the most intensive form of trade barriers. Most of the criticisms have been directed towards the emphasis of vulnerability in manipulation by the local firms and the potential effects that are anticompetitive. It is completely relevant to empirically assess the presence of these efforts. The literature available on the antidumping has a general focus on the policies of firms that are domestically protected.

Duties on antidumping are also known as import tariffs. If the market is large enough, it is expected that the foreign manufacturers absorb a part of this duty by lowering the price that they receive, and it generally results in lowering the mark ups. Therefore, the antidumping duties are not like the restrictions on import. They are designed for counteracting dumping and are precisely aimed at forcing the foreign manufacturers in order to increase their border price.

An important mechanism for this is obtaining this is via duty reviews. Since the round of Uruguay, antidumping duties were revised, although before the administrative reviews are possible. Under these circumstances, further duties are imposed, if evidences regarding dumping are obtained. Dumping is the difference between the ex-factory prices and the goods that are exported to the markets or sold at home, and subtracting not just the duties but also the costs of transportation. Hence, duties of foreign firms must increase the receiving price of the exports. This has been translated in to increased mark ups that are especially provided to the foreign firms not just for absorbing the part of duty, but they have increased the prices further in order to transfer the cost of transportation to the final prices.

Design and Implementation of Antidumping Laws in the US

The antidumping laws in the United States since past 20 years have been relying on the diverse and various industries of the United States for the purpose of restricting the entry of import goods that are low priced. In the anti-dumping law of the US, the administrative agencies are provided considerable discretions by the Congress of United States for the purpose of interpreting the laws.

Under the U.S. antidumping law, the administrative agencies have been given considerable discretion by the U.S. Congress in interpreting the law. The recent Uruguay round involved extensive negotiations regarding the GATT code of antidumping practices and it highlighted the aggressive and rapidly increasing usage of the antidumping procedures due to the developing and the newly industrialised countries.

Recently amendments have been made to the antidumping laws of the United States in order to implement the changes under the agreement ...