Business Guide to Trade Remedies in the United States

Anti-Dumping, Countervailing and Safeguards Legislation, Practices and Procedures (Revised Edition)

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Guide to trade remedy procedures (anti-dumping, countervailing and safeguard) outlines scope of United States trade remedy laws; provides an overview of the procedural framework for anti-dumping and countervailing investigations in the country; addresses the chronology of a typical proceeding in defending a company’s interest by the US Department of Commerce; deals with anti-dumping investigations involving issues related to production cost; explains special rules utilized by the US Department of Commerce in anti-dumping cases against non-market economy countries; covers countervailing duties, and measuring subsidies; global safeguard measures and China-specific restrictions on fair trade; intellectual property protection, market access and trade policy issues; reviews the theory and practice of verification; issues that arise in injury investigations; post-order issues; settlement of trade disputes, as well as judicial and WTO appeals.

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Safeguard measures: Global and China-specific restrictions on fair trade

United States trade remedy laws are commonly understood to address ‘unfair’ trade practices that violate international rules of conduct. In the context of import trade, United States anti-dumping and countervailing duty laws are typical examples. Nonetheless, United States trade remedy laws also offer a response to fairly traded imports under certain conditions. Such responses, commonly referred to as ‘safeguard’ measures, can result in significant import restraints, and are offered under a variety of laws. This chapter will focus on the most important of these measures applicable to WTO Members. These measures are authorized under three separate statutes. The oldest of these statutes, Section 201 of the Trade Act of 1974, as amended, provides the authority for imposing global safeguard measures. China-specific authority is found under the two remaining statutes. Section 421 of the Trade Act of 1974, as amended, offers a ‘market disruption’ remedy for imports from China generally, while Section 204 of the Agriculture Act of 1956, as amended, is the foundation of a regulatory scheme focused on imports of Chinese textiles. These China-specific restrictions were implemented in conjunction with China’s accession to WTO.

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