Study On Trade Effects Of Anti-dumping Duties On Phosphorus Chemical Industry Of China

Under the background of reshaping the international trade rules, in order to gainthe trade decision-making power, the western developed economies actively promotethe development of regionalization of trade, and emerging economies develop theeconomy by leaps and bounds. Thus China’s foreign trade development is facing theopportunities and challenge, the foreign trade is increasing quickly, followed byfrequent trade friction and competition.Anti-dumping measures, as the WTO allows the use of non-tax means to protectdomestic industries, are greatly increased. From1995to2013, the global totalanti-dumping investigations are4519cases, and China has encountered989anti-dumping investigations against Chinese products. Product involves the chemicalindustry, mechanical and electrical, textile and other industries, among them, thechemical industry is encountering anti-dumping "areas", which accounts for about22%of the total number of cases. The phosphate industry is one of importantbranches in the chemical industry, and its products have been imposed highanti-dumping duties by importing countries, and that affected the development of theindustry. Therefore, to solve the problem becomes an important part in the planning ofphosphate industry.This paper firstly review the study related to dumping and anti-dumping, and thenanalyzes the welfare effects of dumping and anti-dumping from the perspective ofeconomics, as well as the trade effects caused by anti-dumping duties. Secondly, weuse descriptive analysis to describe the foreign anti-dumping general situation and thestatus quo of development of phosphate industry in our country. We calculated RCAIndex (Revealed Comparative Advantage Index) of the product concerned by industryand found that most of the11countries tend to initiate anti-dumping proceedingstowards the products which have comparative advantage. With specific data ofanti-dumping complaints, we make imports and product market share as the researchobject, and GDP, tariffs and anti-dumping duties as impact factor to build the panelmodel to get the regression analysis. It is concluded that the import share oflogarithmic lag, GDP value of logarithmic, and RCA have effects on the originalimports and products market share. The tariff (TAR) of India, Australia and othercountries is affecting imports, but in practice, the tariffs gradually reduced, the impactof imports is little. In the anti-dumping investigation stage, the trading destructiveeffect in India and Argentina have appear, trade diversion effect in India, Australia, European Union and Argentina have been apparent. When products are taxed by finalduties, the trade destructive effect and trade diversion effect happen in the11countries with presenting different degree. However, due to China’s products in themain countries involved have stronger comparative advantages, it weakens the effectof anti-dumping trade relief, and can make up for part of imports and products marketshare.