Anti-dumping investigations: India launches the most; China investigated the most, says WTO

The recession accompanying banks-griven global economic crisis has forced many countries to protect their domestic industries from cheap exports by filing anti-dumping investigations. India initiated the most with 42 investigations, with China, once again, emerging a key target for investigations in the second half of 2008, the World Trade Organisation said yesterday.

The WTO said that during the period 1 July to 31 December 2008, the number of initiations of new anti-dumping investigations showed a 17-per cent increase compared with the corresponding period of 2007.

On a yearly basis, there were 208 initiations of new anti-dumping investigations in 2008, as compared to 163 in 2007 and 202 in 2006.

Under WTO rules, countries can impose duties on imports of goods that are priced far lower in the exporting country and the importing country can prove that these cheap imports harm the domestic industry.

During the January-June 2008 period, there was a rise of 39 per cent in the first six months of 2008 as 16 WTO members reported having initiating a total of 85 new investigations, compared with 61 initiations reported by 16 members for the corresponding period of 2007. (See: WTO reports surge in anti-dumping investigations)

The WTO said that the number of new measures applied also increased between the 1 July to 31 December 2008 period with 15 WTO members reported initiating a total of 120 new investigations, compared with 103 initiations reported by 14 members for the corresponding period of 2007.

On a yearly basis, there were 208 initiations of new anti-dumping investigations in 2008, as compared to 163 in 2007 and 202 in 2006.

India reported the highest number of new initiations during July-December 2008 period with 42, followed by Brazil, with 16, China 11, Turkey 10, Argentina and the European Communities 9 each, Indonesia 6, Ukraine 4, Pakistan and the US 3, Australia and Colombia 2 each, and Canada, Korea and Mexico 1 each.

China was the most frequent subject of the new investigations, with 34 new initiations directed at its exports. This was a 17 per cent decrease from 40 new investigations opened in respect of exports from China during July-December 2007.

According to the China's ministry of commerce, Chinese products worth $6.1 billion were targeted for trade investigations launched by 21 countries in 2008 with the highest the highest number of initiation coming from India with 17 cases, followed by the US, with 15 and Brazil 8.
 
It said that in the first quarter of 2009, India had launched eight cases against China.

Even in the January-June 2008 period, China was the most frequent subject of the new investigations, with 37 directed at its exports. This was a 76 per cent increase over the 21 new investigations opened in respect of exports from China during January-June 2007.

The European Union (including individual member states) came next with 14 new investigations directed at its exports, followed by Chinese Taipei, Thailand, and the US at 6 each, Indonesia, Korea and Malaysia 5 each, India and Saudi Arabia 4 each and Iran and Turkey 3 each.

These were followed by Australia; Belarus; Hong Kong, China; Japan; Russia; South Africa and Ukraine 2 each, and Argentina, Armenia, Brazil, Chile, Ecuador, Israel, Kazakhstan, Kuwait, Peru, Philippines and Sri Lanka one each.

The most frequent investigations were in the base metals sector, with 43 initiations) the chemicals sector had 22, textiles sector 19 and plastic and rubber sector 14 initiations.

Of the 43 reported initiations relating to the base metals sector, 24 were reported by India, 8 by the European Communities, 3 by Indonesia, two each by Australia and Colombia, and one each by Argentina, Canada, China and Mexico.