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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