Research On The “Zeroing Method” Under The Targeted Dumping Of The USA

Article 2.4.2 of the "Anti-dumping agreement" stipulates the method of comparing the normal value and the export price, when calculating the dumping margin. However, from first to last, there is no mention of zeroing. Zeroing is neither allowed nor prohibited explicitly. Because of this, after the establishment of WTO, the United States still uses the zeroing method in its former way.After a series of panel reports and the Appellate Body reports on the zeroing case, there is no living space for the zeroing of weighted average to the weighted average(W-W) method and the transaction to transaction(T-T) method in the period of initial investigation and administrative review including interim review, new comer review, changed circumstances review and sunset review, which gives a heavy hit to the United States who uses the fuzzy rules to play the "edge ball" practices.However, the zeroing of the comparing method of weighted average to transaction(W-T) is still in a gray area. In recent years, the United States takes advantage of this situation to safeguard the interests of domestic industries. Since the beginning of 2008, the US Department of Commerce uses “targeted dumping” to identify dumping margin in order to impose high anti-dumping duties in the periods of investigation and review. China must take corresponding measures actively to this situation.This paper is divided into five parts: the first part is aimed to define the concept of targeted dumping and zeroing. The second part mainly introduces and analyzes the American legislation and practice of "zeroing" under targeted dumping. The third part, from different angles, analyzes the illegal zeroing method under targeted dumping and focuses on the analysis of the argument that whether targeted dumping will lead to the application of zeroing. The fourth part, according to the latest development of the zeroing method, points out the tactics of our country and brings forward reasonable suggestions. The fifth part is the conclusion part of this paper, which points out that the essence of zeroing, the trend of its future development, and the outlook of China’s international trade development.