It provides detailed description about measures of dumping and anti dumping..
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Dumping and Anti-
Dumping Measures
Meaning:
The offering for sale of large
quantities of goods on foreign
markets at low prices in order to
maintain a high price in the home
country, thestocks piled up even after
sales.
DUMPING
ANTI-DUMPING
Meaning:
Anti-dumping duties are taxes imposed on
imported goods in order to compensate for
the difference between their export price and
their normal value, if dumping causes injury
to producers of competing products in the
importing country.
Dumping and
Anti –Dumping Measures
When it is impossible to obtain a
comparable domestic price because there
are none or low volume sales in the
ordinary course of trade in the domestic
market, either export prices to third
countries or a “constructed value” is used
in price comparison.
Investigating injurious dumping
The European Commission is responsible for investigating dumping claims
and imposing measures.
The Commission opens an investigation if it has sufficient evidence that
imports into the EU are made at dumped prices and are causing injury to
European industry.
Typically, such evidence is communicated to the Commission by the
European producers exposed to the unfair competition of dumped
imports (or jointly by trade unions and European industry) by means of an
official complaint.
The anti-dumping investigation
The Commission opens an anti-dumping proceeding (investigation) by publishing a notice in the EU’s
Official Journal.
The investigation checks:
whether there is dumping by the producers in the country/countries concerned;
whether the European industry concerned suffers ‘material injury’;
whether there is a causal link between dumping and injury, and;
whether putting measures in place is not against the European interest.
Only when all four conditions are met can the Commission put anti-dumping measures in place.
The time limit for the Commission’s investigation is 14 months. The results are then published in the
Official Journal.
Anti-dumping measures can be put on imports of specific products if the Commission’s anti-dumping
investigation justifies it.
These measures are usually in the form of an ‘ad valorem’ duty. Other measures that can be applied include
a fixed or specific amount of duty or, in some cases, a minimum import price.
Price undertakings may also be accepted instead of anti-dumping duties. This is where the exporter agrees
not sell products in the EU at prices below a minimum amount.
If the Commission agrees to an undertaking, then the anti-dumping duties will not be collected on those
imports. The Commission is not obliged to accept an offer of an undertaking.
The importer in the EU pays the duties and the national customs authority of the EU country collects them.
The Commission monitors measures to make sure they are effective and respected by exporters and
importers.