U.S. Antidumping : Much Ado About Zeroing

Prusa, Thomas J.; Bown, Chad P.

U.S. Antidumping : Much Ado About Zeroing

Autores

Descripción

The United States use of "zeroing" in its antidumping procedures has become a political flash point threatening some legitimacy of the WTO's dispute settlement system. This paper provides a positive analysis of the zeroing issue, explains how it has evolved and who is likely to be affected by it. The authors use economic theory to identify how export price volatility accentuates the impact of zeroing on the size of U.S. antidumping tariffs and review the WTO caseload over zeroing. They describe the impact that the U.S.'s retrospective system for assessing antidumping margins has on zeroing and the political economy implications as the U.S. struggles to generate policy reform. The authors survey existing evidence of the impact of the zeroing on dumping margins and contribute their own evidence to suggest that zeroing is just as likely to impact the size of U.S. antidumping duties applied on developing country exports as developed economy exports. Thus while developed economies have filed the vast majority of WTO disputes against the U.S. over zeroing, the authors conclude that zeroing is also likely a relevant issue for developing country exporters as over 60 percent of the product lines currently subject to U.S. antidumping are exported by developing countries.

Palabras clave

AGRICULTURE, ANTI-DUMPING DUTIES, ANTIDUMPING DUTY, ANTIDUMPING MEASURES, APPELLATE BODY, AVERAGE PRICE, BENCHMARK, BILATERAL TRADE, CASE LAW, COMMERCE, COMPLAINANT PARTIES, COMPLAINING COUNTRY, COMPLAINING PARTY, COMPLIANCE PANEL, CONFIDENTIALITY, COUNTERVAILING DUTIES, DEPOSIT, DEPOSIT RATE, DEVELOPING COUNTRIES, DEVELOPING COUNTRY, DEVELOPING COUNTRY EXPORTS, DEVELOPING ECONOMIES, DISPUTE RESOLUTION, DISPUTE RESOLUTION SYSTEM, DISPUTE SETTLEMENT, DISPUTE SETTLEMENT PROCEDURE, DISPUTE SETTLEMENT PROCEDURES, DISPUTE SETTLEMENT PROCESS, DISPUTE SETTLEMENT SYSTEM, DOLLAR VALUE, DOLLAR VALUES, DOMESTIC INDUSTRY, DOMESTIC PRICE, DUMPED IMPORTS, DUMPING, DUMPING AMOUNT, DUMPING MARGIN, ECONOMIC CRISIS, ECONOMIC LAW, ECONOMIC RELATIONS, ECONOMIC RESEARCH, ECONOMIC THEORY, EMERGING ECONOMIES, EXCHANGE RATE, EXCHANGE RATE REGIME, EXCHANGE RATES, EXPORT MARKETS, EXPORT PRICE, EXPORT SALES, EXPORTING COUNTRIES, EXPORTING COUNTRY, EXPORTS, FAIR, FAIR VALUE, FOREIGN COMPETITION, FOREIGN FIRM, FOREIGN GOVERNMENT, FREE RIDER, FREE TRADE, HOME MARKET, HOME MARKET PRICE, IMPORT RESTRICTIONS, INCOME, INDIVIDUAL FIRM, INDIVIDUAL FIRMS, INDUSTRIALIZED COUNTRIES, INPUT PRICES, INTELLECTUAL PROPERTY, INTERNATIONAL BANK, INTERNATIONAL ECONOMIC LAW, INTERNATIONAL TRADE, INTERNATIONAL TRADE LAW, LABOR STANDARDS, LEGAL ASSISTANCE, LEGAL SYSTEM, LIABILITY, MARKET ACCESS, MARKET PRICE, MARKET PRICES, MATERIAL INJURY, NEW PRODUCTS, POLICY RESEARCH, POLITICAL ECONOMY, PRICE LEVELS, PRICE VARIATION, PRICE VOLATILITY, PURCHASING, REGRESSION ANALYSIS, REMEDIES, RETAIL, SALES, SPREAD, SUPPLIERS, TAX, TRADE AGREEMENTS, TRADE BARRIER, TRADE BARRIERS, TRADE DISPUTES, TRADE FLOWS, TRADE POLICY, TRADE REMEDIES, TRANSPARENCY, URUGUAY ROUND, WORLD TRADE, WORLD TRADE ORGANIZATION, WORLD TRADING SYSTEM, WTO