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What explains the proliferation of antidumping laws?

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  • Hylke Vandenbussche
  • Maurizio Zanardi

Abstract

"A recent phenomenon is the rapid spread of antidumping laws amongst developing countries (i.e. China, India, Mexico). Between 1980 and 2003 the number of countries in the world with an antidumping law in place more than doubled, going from 36 to 97 countries. This paper examines a number of potential explanations for this proliferation of antidumping laws. We look for determinants explaining the timing of trade law adoption using a duration analysis. Results suggest that retaliatory motives are at the heart of the proliferation. This raises serious policy issues since antidumping laws should be about combating unfair trade, not about retaliation which runs contrary to the spirit of the WTO. Results also suggest that past trade liberalization raises the probability of a country to adopt an antidumping law. The proliferation of antidumping laws has important policy implications. In the interest of all users, antidumping rules should be renegotiated at the level of the WTO to make their use less 'easy', in order to avoid an escalation of protection worldwide". Copyright (c) CEPR, CES, MSH, 2008..

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Bibliographic Info

Article provided by CEPR & CES & MSH in its journal Economic Policy.

Volume (Year): 23 (2008)
Issue (Month): (01)
Pages: 93-138

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Handle: RePEc:bla:ecpoli:v:23:y:2008:i::p:93-138

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References

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Citations

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Cited by:
  1. VANDENBUSSCHE, Hylke & ZANARDI, Maurizio, . "The chilling trade effects of antidumping proliferation," CORE Discussion Papers RP -2355, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
  2. MARTIN, Alberto & VERGOTE, Wouter, 2007. "On the role of retaliation in trade agreements," CORE Discussion Papers 2007089, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
  3. Jozef KONINGS & Hylke VANDENBUSSCHE, 2009. "Antidumping Protection hurts Exporters: Firm-level evidence from France," Discussion Papers (IRES - Institut de Recherches Economiques et Sociales) 2009017, Université catholique de Louvain, Institut de Recherches Economiques et Sociales (IRES).
  4. Robert Feinberg, 2013. "Antidumping and Industrial Organization," Review of Industrial Organization, Springer, vol. 42(4), pages 365-368, June.
  5. Bown, Chad P. & Karacaovali, Baybars & Tovar, Patricia, 2014. "What do we know about preferential trade agreements and temporary trade barriers ?," Policy Research Working Paper Series 6898, The World Bank.
  6. Christian Gormsen, 2011. "Anti-dumping with heterogeneous firms," Economie Internationale, CEPII research center, issue 125, pages 41-64.
  7. Dinlersoz, Emin & Dogan, Can, 2010. "Tariffs versus anti-dumping duties," International Review of Economics & Finance, Elsevier, vol. 19(3), pages 436-451, June.
  8. Kaz Miyagiwa & Aminata Sissoko, 2013. "The free-rider problem and the optimal duration of research joint ventures: theory and evidence from the Eureka program," Working Papers 1302, Florida International University, Department of Economics.
  9. Jozef Konings & Hylke Vandenbussche, 2013. "Antidumping protection hurts exporters: firm-level evidence," Review of World Economics (Weltwirtschaftliches Archiv), Springer, vol. 149(2), pages 295-320, June.
  10. Bown, Chad P. & Tovar, Patricia, 2011. "Trade liberalization, antidumping, and safeguards: Evidence from India's tariff reform," Journal of Development Economics, Elsevier, vol. 96(1), pages 115-125, September.

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