The impact of antidumping on EU trade

27 August 2015

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 For AD cases withdrawn by applicants or rejected by AD authority, the trade destruction effect is short-lived, and is limited to the duration of provisional measures.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.

keywords: antidumping, trade policy, international trade, trade destruction, trade diversion
JEL codes: 
publication year: 2015
language: english
publishing series: IBS Working Paper
publication number: 12/2015
ISSN: 2451-4373

Institute for Structural Research (IBS), University of Warsaw

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