Import Administration FAQs
Source: Trade Facilitation Office, U.S. Embassy, Beijing
Date: 01/24/2005
What is dumping / antidumping?
How are antidumping investigations conducted in China?
How many Chinese antidumping cases are there against the United
States?
What should I do if my company produces or exports merchandise
subject to a Chinese antidumping investigation?
How can my company participate in an investigation?
What will the United States government do to help my company?
Who can we contact with questions about Chinese antidumping investigations
or processes?
What is dumping/antidumping?
In a nutshell, dumping is when merchandise is sold in a foreign
market at less than its normal value (determined normally by either
the price of the merchandise in its home market or its cost of
production). A domestic industry that believes it is being injured
by dumped imports may petition its government initiate an antidumping
investigation that could result in additional remedial duties
being applied to the subject merchandise from the country/countries
under investigation.
How are antidumping investigations conducted in China?
MOFCOM is responsible for administering the Antidumping Regulations
of the PRC. Investigations are quasi-judicial in nature and begin
with the formal filing of an application by a representative of
the domestic industry with the two relevant MOFCOM offices - the
Bureau of Fair Trade for Imports & Exports ("BOFT"),
which determines whether imports are being dumped, and the Investigation
Bureau of Industry Injury ("IBII"), which determines
whether a domestic industry is thereby injured. Both portions
of the investigation proceed simultaneously and are completed
within one year to eighteen months. The investigation is conducted
primarily through "questionnaires" for interested parties,
along with hearings and meetings when requested. MOFCOM will issue
both a preliminary and final determination in the course of the
investigation.
How many Chinese antidumping cases are there against the United
States?
There are currently seven ongoing investigations against merchandise
from the United States, primarily involving the petrochemical
industry.
Click here to search for more information on these and other MOFCOM antidumping duty investigations.
What should I do if my company produces or exports merchandise
subject to a Chinese antidumping investigation?
In order for a company that produces or exports merchandise subject
to an antidumping duty investigation to defend its rights and
interests, that company must register for and participate in the
investigation. Not participating risks the use of adverse information
by MOFCOM likely to result in an unfavorable outcome.
Participation in a Chinese antidumping duty investigation can
be time consuming and expensive. It requires the use of Chinese
legal counsel (some companies hire both Chinese and United States
counsel) and sometimes the disclosure of sensitive information
to MOFCOM. The Department of Commerce can provide information
and other assistance regarding Chinese antidumping investigations,
but it is incumbent upon producers and exporters of merchandise
subject to antidumping duty investigations to undertake their
own defense.
How can my company participate in an investigation?
Typically, a party has twenty days from the date of MOFCOM's
notice of initiation to register separately with both BOFT and
IBII to participate in the investigation. Registration forms are
normally available on MOFCOM's website, but must be submitted
by a PRC lawyer or law firm. After registration, a company will
be able to participate in the investigation by answering questionnaires,
providing legal arguments, appearing at hearings, and so forth.
If a producer or exporter of the subject merchandise does not
register, it may be precluded from participating in the investigation
and is likely to receive an adverse outcome.
What will the United States government do to help my company?
It is worth noting here that in China as in the United States
an allegation of dumping is a private right of action not unlike
a lawsuit. Accordingly, primary responsibility for defending against
such claims rests on the producers and exporters of the merchandise
subject to the investigation. The U.S. Department of Commerce
does, however, have a number of experts ready to advise and assist
your company as appropriate. The Trade Remedy Compliance Staff
(TRCS), based in Washington, D.C. and part of the Department of
Commerce's Import Administration, monitors trade remedy policies
and helps U.S. trading partners comply with their related international
obligations. Please visit TRCS's website at http://ia.ita.doc.gov/trcs/
for more information.
Who can we contact with questions about Chinese antidumping investigations
or processes?
In the United States, please contact Import Administration's
Trade Remedy Compliance Staff by calling (202) 482-3415 or writing
trcs@ita.doc.gov.
In China, please contact Import Administration's representatives
in the Embassy's Trade Facilitation Office at +86 10-8529-6655.
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