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The impact of antidumping on EU trade

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  • Jan Baran

Abstract

This paper investigates the impact of antidumping on EU trade. Compared to previous studies, this paper moves the time horizon of analysis forward, covering the period from 1992 to 2010. Information on antidumping investigations is taken from relatively new Global Antidumping Database. The theoretical model suggests that both import and export flows should be affected. The econometric investigation shows that the use of antidumping significantly distorts imports. A strong and long-lasting effect of trade destruction is identified for AD cases ending with the imposition of final protection. For AD cases withdrawn by applicants or rejected by AD authority, the trade destruction effect is short-lived, and is limited to the duration of provisional measures. The introduction of AD protection also causes an increase in imports from countries not covered by the AD investigation (the trade diversion effect). The results obtained from the model augmented with leading variables reveal that EU antidumping is used against aggressive exporters that rapidly increase their sales on the European market. There is no convincing evidence of antidumping having an impact on EU exports. Although there is a decline in exports, it cannot be associated with antidumping as it starts before the initiation of AD.

Suggested Citation

  • Jan Baran, 2015. "The impact of antidumping on EU trade," IBS Working Papers 12/2015, Instytut Badan Strukturalnych.
    • Handle: RePEc:ibt:wpaper:wp122015
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    File URL: http://ibs.org.pl/app/uploads/2015/07/IBS_Working_paper_12_2015.pdf
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    References listed on IDEAS

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    More about this item

    Keywords

    antidumping; trade policy; international trade; trade destruction; trade diversion;

    JEL classification:

    • F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations
    • F14 - International Economics - - Trade - - - Empirical Studies of Trade

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