FORM OF REMEDY MEASURES

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Presentation transcript:

FORM OF REMEDY MEASURES WTO system allows “protection” in specific cases by means of trade remedy measures Anti-Dumping - Additional import duties Countervailing - Additional import duties Safeguards - Additional import duties or quotas 11/29/2018 Nisha Malhotra

AD and CVD legislation Dumping Injury to the domestic market How is domestic market defined? Relation between dumping and injury to the domestic market Subsidy Relation between subsidy and injury to the domestic market 11/29/2018 Nisha Malhotra

SUMMARY OF AD source : WTO Year initiation Final measures 1995 156 77 1996 224 136 1997 243 131 1998 250 173 1999 356 239 2000 260 30 Total 1489 780 NOTE: The two columns do not balance due to time periods to complete investigations Initiations Final measures 11/29/2018 Nisha Malhotra

Source: “The economic and Strategic motives for antidumping filing” by Thomas prusa and susan skeath 11/29/2018 Nisha Malhotra

Some Statistics ITC received a total of 1,430 petitions for AD and CVD during fiscal year 1980-2001 These cases involved 54 billion dollars in trade from countries subject to investigations. 11/29/2018 Nisha Malhotra

Canada-Antidumping law If an industry in Canada believes that it is being injured by unfair competition through dumping or subsidization of a foreign product, it may request the imposition of antidumping or countervailing duties by filing a petition with Canada Customs and Revenue Agency (CCRA) Canada's anti-dumping and countervailing law is contained in the Special Import Measures Act (SIMA). The Canada Customs and Revenue Agency (CCRA) and the Canadian International Trade Tribunal (Tribunal) are jointly responsible for administering SIMA 11/29/2018 Nisha Malhotra

Canada-Antidumping law Steps undertaken in an AD investigation Petition filed by the firm/firms on behalf of the industry (petitioners must represent at least 25% of domestic production ) CCRA starts an investigation Sends a copy of the Canadian International Trade Tribunal (Tribunal) Tribunal’s preliminary Injury finding CCRA preliminary dumping/subsidizing finding CCRA final dumping/subsidizing finding Tribunal’s final injury finding 11/29/2018 Nisha Malhotra

Canada-Antidumping law The duties are assessed as a percentage of the value of the imports and are equivalent to the dumping and subsidy margins. The process takes about seven months from when the CCRA starts an investigation until the Tribunal makes a final decision on the injury matter. 11/29/2018 Nisha Malhotra

Some Statistics: COUNTRY-WISE ANTI-DUMPING CASES INITIATED BY DGAD . 1 China 51 2 EU 20 3 Korea 18 4 Japan 17 5 USA 16 6 Taiwan 7 Singapore 14 8 Russia 11 11/29/2018 Nisha Malhotra

Summary- Comparison Historical Origins-First AD case Canada - 1904 Statute: to protect against steel dumped in Canada by US firms United States - 1916 Act and U.S. Tariff Act of 1921: to protect against post WW1 dumping from Europe India-national law on anti-dumpingin place since 1985. However, the first case of anti-dumping was initiated only in 1992 11/29/2018 Nisha Malhotra

Summary- Comparison single entity – India, EU Organization of Government Agency Responsibilities for Administering AD/CVD Laws: single entity – India, EU bifurcated system - United States and Canada 11/29/2018 Nisha Malhotra

Summary- Comparison AD Initiations Country/Year 1995 1996 1997 1998 1999 2000 2001 2002 Total Canada 11 5 14 8 18 21 25 107 India 6 13 27 65 41 79 331 US 22 15 36 47 76 35 292 As reported by the members Point to note: Volume of imports covered Statistics are per country Source: www.wto.org 11/29/2018 Nisha Malhotra