Sunsets Over Chinese Anti-dumping Measures: A Practical Guide

June 02, 2006 | BY

clpstaff &clp articles

In 2005, China's Ministry of Commerce announced the expiry of anti-dumping measures offering protection to various Chinese domestic industries from imported products being 'dumped' onto the local market. Given that domestic industries actively participate in 'sunset' reviews to extend the application of the measures, it would be practical for foreign producers and exporters to become familiar with the procedural and substantive elements of the sunset review process in China.

By T&D Associates, Beijing and King & Spalding LLP, Washington

'Dumping' occurs when a domestic industry believes that an imported product is dumped onto the local market and causes, or threatens to cause, material injury to an established domestic industry, or where the establishment of a particular domestic industry is materially hindered by an imported product. At the request of the domestic industry concerned, an investigation may be undertaken by the Ministry of Commerce (MOFCOM) resulting in the application of anti-dumping measures. Where a causal link between the dumping and injury is found, the product under investigation is subject to an anti-dumping duty when imported into China. An anti-dumping duty lasts for five years. After this period of time, MOFCOM may launch a 'sunset' or 'expiry' review on the product at the request of the domestic industry, or on its own initiative, to consider whether an extension of the anti-dumping measures is further required.

Sunset review practice

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