Determinants of Antidumping Policy: Interests, Interactions, and Institutions

38 Pages Posted: 11 Apr 2023

See all articles by Yan Cai

Yan Cai

Hebei University of Economics and Business

Yu Gao

Qingdao University

Dongxu Yang

Hebei University of Economics and Business

Eun-Mi Kim

Chonbuk National University

Date Written: April 5, 2023

Abstract

The development of antidumping (hereinafter “AD”) policy has been the most frequently used method of contingent protection in the past twenty years. In this study, we conducted an empirical analysis employing a panel dataset of World Trade Organization (hereinafter “WTO”) members from 1995 to 2018 to explore the determinants of AD policy based on the theoretical framework of the three Is (interests, interactions, and institutions) of the international political economy. We found that AD policymaking was a product of the interplay of interests, interactions, and institutions. Regarding interests, we found that the demands of interest groups and political pressure from export- oriented industries counterbalanced AD protection. Regarding interactions, the more WTO members disputing petitions, the stronger the motivation on the part of target countries to retaliate by initiating AD investigations. Regarding institutions, more democratic countries with WTO membership tended to initiate more AD investigations. These findings have implications for industries, national governments, and the WTO in improving the fairness and legitimacy of the global trade governance system.

Keywords: antidumping, three Is theory, interests, interactions, institutions, international political economy

Suggested Citation

Cai, Yan and Gao, Yu and Yang, Dongxu and Kim, Eun-Mi, Determinants of Antidumping Policy: Interests, Interactions, and Institutions (April 5, 2023). Asian Journal of WTO & International Health Law and Policy, Vol. 18, No. 1, pp. 1-38, March 2023 , Available at SSRN: https://ssrn.com/abstract=4411017

Yan Cai

Hebei University of Economics and Business ( email )

Yu Gao

Qingdao University ( email )

No. 308 Ning Xia Road
Qingdao, 266071
China

Dongxu Yang (Contact Author)

Hebei University of Economics and Business

XueFu Road Number 47
Shi Jia Zhuang City, He Bei 050061
China

Eun-Mi Kim

Chonbuk National University ( email )

567, Baekje-daero
Duckjingu
Jeonju-si, Jeollabuk-do 51372
Korea, Republic of (South Korea)

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