The Role of Anti-Dumping in the US-China Trade War

Abstract

The sudden escalation of the US-China trade war has negatively impacted global trade and the WTO, and its effects will last for a long time. This article centres on the US anti-dumping measures against Chinese exports within the trade war. The article attempts to explain the failure of the US trade policies in terms of anti-dumping measures; policies which were found to be inconsistent with the Anti-Dumping Agreement (ADA). Rather than complying with the Appellate Body Reports, the US insisted on using procedures inconsistent with the ADA, such as the zeroing methodology to overprotect the US industries. The US even blocked the appointment of Appellate Body Members and paralysed the WTO’s Dispute Settlement Mechanism. Apart from political and economic reasons, one of the underlying reasons for the US to trigger a trade war with China would be anti-dumping measures. Antidumping measures are designed to balance unfair pricing strategies; however, the US is misusing the measures in order to avoid a trade deficit with China.