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Trade Deflection arising from U.S. Antidumping Duties on Imported Shrimp

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  • Wang, Xiaojin
  • Reed, Michael

Abstract

We empirically test whether the investigation and impositions of U.S. antidumping duties in 2004 on imported shrimp distorts a named country's exports to third markets. We constructs a panel of bilateral, disaggregated product-level data for annual trade flows of subjected shrimp between the six named countries (Brazil, China, Ecuador, India, Thailand, and Vietnam) and four major importers (EU, Indonesia, Japan, and Malaysia) between 1999 and 2010. Our results show that named countries’ trade flows were reoriented to other destination markets when U.S. anti-dumping duties were levied against their shrimp products.

Suggested Citation

  • Wang, Xiaojin & Reed, Michael, 2015. "Trade Deflection arising from U.S. Antidumping Duties on Imported Shrimp," 2015 Annual Meeting, January 31-February 3, 2015, Atlanta, Georgia 196978, Southern Agricultural Economics Association.
  • Handle: RePEc:ags:saea15:196978
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    References listed on IDEAS

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    1. Robert W. Staiger & Frank A. Wolak, 1994. "Measuring Industry-Specific Protection: Antidumping in the United States," Brookings Papers on Economic Activity, Economic Studies Program, The Brookings Institution, vol. 25(1994 Micr), pages 51-118.
    2. World Bank, 2014. "World Development Indicators 2014," World Bank Publications, The World Bank, number 18237, July.
    3. Won Chang & L. Alan Winters, 2002. "How Regional Blocs Affect Excluded Countries: The Price Effects of MERCOSUR," American Economic Review, American Economic Association, vol. 92(4), pages 889-904, September.
    4. Bruce A. Blonigen, 2006. "Evolving discretionary practices of U.S. antidumping activity," Canadian Journal of Economics, Canadian Economics Association, vol. 39(3), pages 874-900, August.
    5. Malhotra Nisha & Rus Horatiu & Kassam Shinan, 2008. "Antidumping Duties in the Agriculture Sector: Trade Restricting or Trade Deflecting?," Global Economy Journal, De Gruyter, vol. 8(2), pages 1-19, June.
    6. Colin A. Carter & Caroline Gunning-Trant, 2010. "U.S. trade remedy law and agriculture: trade diversion and investigation effects," Canadian Journal of Economics, Canadian Economics Association, vol. 43(1), pages 97-126, February.
    7. Bown, Chad P. & Crowley, Meredith A., 2007. "Trade deflection and trade depression," Journal of International Economics, Elsevier, vol. 72(1), pages 176-201, May.
    8. Jason Grant & Sven Anders, 2010. "Trade Deflection Arising from U.S. Import Refusals and Detentions in Fishery and Seafood Trade," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 93(2), pages 573-580.
    9. Wang, Xiaojin & Reed, Michael, 2014. "Estimation of U.S. Demand for Imported Shrimp by Country: A Two-stage Differential Production Approach," 2014 Annual Meeting, February 1-4, 2014, Dallas, Texas 162459, Southern Agricultural Economics Association.
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    Keywords

    Agricultural and Food Policy; International Relations/Trade;

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