China's Anti-Dumping Regime and Compliance with Anti-Dumping Principles: An Analysis Using Agricultural Dumping Case Studies

Abstract

The paper assesses China's anti-dumping regime, one of the important structures implemented by China in order to become a full member of the World Trade Organization (WTO). Section One sets forth the WTO's anti-dumping principles as well as analyzes the differences between the WTO principles and the definition of "dumping" as understood by economists. In significant respects, the WTO principles allow situations that do not actually constitute dumping-in an economic sense-to be treated as "dumping," leading to the imposition of duties and sanctions. Next, the paper evaluates the degree to which the separate anti-dumping regimes of China and the U.S. conform to the WTO's anti-dumping guidelines, both as the legislation is written and as it is applied in practice. Finally, several case studies of anti-dumping actions in the agriculture sector are analyzed, identifying the instrumental use by both countries of anti-dumping law, and the frequent absence of true economic justification for the accusations or findings of dumping.