Since a dumping survey requires a comparison between the export price of a product and its normal value in the exporting country, the AD agreement establishes rules for calculating the export price and the normal value. He then explains how a “fair comparison” is made between the two. The government conducting an anti-dumping investigation uses this fair comparison to determine the “dumping margin.” U.S. International Trade Commission. “Understanding anti-dumping and countervailing duty investigations.” Access on September 10, 2020. Here you will find all customs duties, customs procedures and formalities, product requirements for the EU market, for each product – including special conditions granted under trade agreements. 7.4 The application of the interim measures is limited to a maximum period of four months, as short as possible, or, on the decision of the relevant authorities, to a maximum period of six months, at the request of exporters representing a significant percentage of the trade concerned. If, in the course of an investigation, the authorities consider whether a fee below the dumping margin would be sufficient to eliminate the harm, these periods may be six or nine months. After verification, a year later, the United States announced that it would introduce a total of 522% combined anti-dumping and countervailing duties on certain steels imported from China. In 2018, China filed a complaint with the WTO challenging tariffs imposed by the Trump administration. Since then, the Trump administration has continued to use the WTO to challenge trade practices it claims to have used by the Chinese government and other trading partners. Similar product in the domestic market of the exporting country or sales in a third country at prices below the unit (fixed and variable) cost of production plus administrative costs, selling costs and general costs can only be obtained during normal commercial transactions because of price and can only be ignored when establishing normal value if the authorities (3) find that these sales are made in a longer period ( 4) in significant quantities (5) and at prices that do not provide for coverage of all costs within a reasonable time. Where prices below unit costs at the time of unit sale are above the average per unit head applied for the survey period, these prices are considered cost coverage within a reasonable time.
The ministerial decision on circumvention cooperation, which is not part of the AD agreement, stated that negotiators were unable to agree on a specific text that had taken root on the problem of circumvention, acknowledged that it was desirable to apply uniform rules in this area as soon as possible and referred the matter to the Committee for resolution. The Committee has created an informal anti-circumvention group, open to the participation of all members, in order to fulfill the mission entrusted by the ministers. The agreement then establishes rules to determine whether dumped imports cause harm to a domestic industry producing a similar product. Harm is defined as physical harm itself, the risk of physical harm, or a significant delay in the creation of a national industry. Public authorities must demonstrate the harm suffered by domestic industry and dumped imports are the source of this harm. The AD agreement provides for “cumulative assessments” of the impact of imports on a domestic industry when imports of a product originating in more than one country are subject to simultaneous anti-dumping investigations.