A review of global trade protection activity in 2008 (anti-dumping, countervailing duty and safeguards)

Trends in anti-dumping activity

Increase in overall anti-dumping activity

Anti-dumping (AD) activity increased significantly in 2008 relative to 2007. Looking back over a longer period, it can be seen that global anti-dumping is cyclical with lows in AD activity in the early 1980s, around 1987-89, around 1995, and, most recently, 2007. It can be expected that the impact of the world economic crisis will result in an increase in anti-dumping activity. This increase has not yet occurred but this is not surprising given the fact that there is usually a lag before a deterioration in the economy is evident in the usual injury indicators. Of course, it is certainly the case that injury caused by the global crisis should not be attributed to any imports determined to be dumped. WTO obligations require the separation and distinction of other causes of injury from the dumped imports. But it is also true that, in good economic times, companies are less likely to be motivated to make antidumping complaints. Thus, more difficult economic times make the use of anti-dumping more attractive to industries facing low price competition from imports.

Turkey is the biggest user in 2008

Different trends between users

There is a noticeable difference between the trends of the four main users in 2008 compared with more traditional users such as the US and EC. India is the most striking with a consistent, sustained increase for the past four years. Brazil, Turkey and Argentina also saw the highest level of anti-dumping activity for four years in 2008.

China still the main target in 2008

Dramatic increase in anti-dumping investigations on textiles and footwear

Around two thirds of AD investigations end with measures

Trends in safeguard activity

Safeguard activity remains modest and well below the high levels of 2000 and 2002.

Trends in countervailing duty activity

The US led the countries initiating CVD investigations.The major users of CVD for the longer period 1995-2008 are shown in the table below. The US also headsthe list.