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China – Cellulose Pulp: China’s Quest to Satisfy WTO Panels and the Appellate Body

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  • Kara Reynolds
  • Tatiana Yanguas

Abstract

In April 2017, a WTO panel ruled that China’s anti-dumping investigation into imports of dissolving cellulose pulp from Canada violated the WTO’s Anti-dumping Agreement. The panel found that China’s description of the parallel price trends of dumped imports and domestic products failed to explain their finding that the dumped imports caused the decline in domestic prices. The ruling perhaps should not have surprised anyone as the WTO had made similar findings in disputes involving two previous Chinese anti-dumping investigations. This paper explores to what degree “parallel price trends” can be used as a valid methodology to determine price depression, and whether it is the methodology itself that is problematic or China’s implementation of that methodology that has caused it to lose three disputes over the past five years.

Suggested Citation

  • Kara Reynolds & Tatiana Yanguas, 2018. "China – Cellulose Pulp: China’s Quest to Satisfy WTO Panels and the Appellate Body," RSCAS Working Papers 2018/59, European University Institute.
    • Handle: RePEc:rsc:rsceui:2018/59
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    References listed on IDEAS

    as
    1. Chad P. Bown, 2005. "Trade Remedies and World Trade Organization Dispute Settlement: Why Are So Few Challenged?," The Journal of Legal Studies, University of Chicago Press, vol. 34(2), pages 515-555, June.
    2. Prusa, Thomas J. & Vermulst, Edwin, 2014. "China – Countervailing and Anti-dumping Duties on Grain Oriented Flat-rolled Electrical Steel from the United States: exporting US AD/CVD methodologies through WTO dispute settlement?," World Trade Review, Cambridge University Press, vol. 13(2), pages 229-266, April.
    3. Robert M. Feinberg & Kara M. Reynolds, 2018. "How do countries respond to anti†dumping filings? Dispute settlement and retaliatory anti†dumping," The World Economy, Wiley Blackwell, vol. 41(5), pages 1251-1268, May.
    4. Mitchell, Andrew D. & Prusa, Thomas J., 2016. "China–Autos: Haven't We Danced this Dance Before?," World Trade Review, Cambridge University Press, vol. 15(2), pages 303-325, April.
    5. Qin, Julia & Vandenbussche, Hylke, 2017. "China–GOES (Article 21.5): Time to Clarify the Standard for Price Suppression and Price Depression in AD/CVD Investigations," World Trade Review, Cambridge University Press, vol. 16(2), pages 203-226, April.
    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    Anti-dumping; WTO dispute; parallel price trend; and cellulose pulp;
    All these keywords.

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