Research On The Influence Of Antidumping Of Chemical Products On China's Chemical Industry

With the expanding market share of products made in China in global trade,there are more and more trade frictions between China and its trading partners.China has been plagued by discriminatory anti-dumping provisions for many years.The World Trade Organization(WTO)described anti-dumping as the most widely used non-tariff barrier in 2006.As an important industry for China's economic development,chemical industry plays a key role in the growth of China's national economy.However,in recent years,anti-dumping cases against China's chemical products have occurred frequently.The antidumping cases of chemical products against China have brought many adverse effects on the development of China's chemical industry.Specifically,the antidumping measures taken by foreign countries against China generally produce five main trade effects: trade investigation effect,trade destruction effect,trade diversion effect,trade deflection effect and trade inhibition effect.This paper studies the trade effect of antidumping on China's chemical industry by case analysis and empirical analysis.First of all,taking the 2008 U.S.anti-dumping case against China's citric acid and citrate as an example,this paper analyzes the impact of anti-dumping on the export of chemical products.It can be seen from the analysis of the cases that the anti-dumping measures taken by the United States against China's citric acid products have a very obvious trade disruption effect,trade deflection effect and trade diversion effect.Then,based on the export data of basic chemical products of HS six digit tariff number of customs from 1995 to 2012,using the model established by Prusa(1999)and Bao Xiaohua(2007)for reference,we modified and set up an empirical model to investigate the change of trade level in the following five years compared with the year when the anti-dumping case was filed.The empirical results show that after the implementation of anti-dumping measures,the export quantity,export amount and export price of chemical products in both the petitioning and non-petitioning countries have been significantly changed,thus verifying the trade disruption effect and trade deflection effect of anti-dumping.On the whole,the trade disruption caused by anti-dumping has a certain continuity.After the implementation of anti-dumping for five consecutive years,the market share of China's overall export amount and quantity to the respondent country has been significantly reduced,and the export unit price has been significantly increased.Antidumping also has a continuous trade deflection effect on China's export trade.Five consecutive years after the implementation of antidumping,China's overall export amount,market share and export unit price to non-petitioning countries have increased significantly.Like the destructive effect on the petitioning country,the anti-dumping investigation has the most significant deflection effect on the export quantity of the non-petitioning country.While the export to the petitioning country is greatly reduced,China also transfers the export of most of the products involved to the non-petitioning country.In view of the severe situation faced by China's chemical industry,the efforts of both the government and enterprises are needed.The government should perfect our anti-dumping legislation,establish multiple anti-dumping response mechanisms,encourage enterprises to actively respond to lawsuits and strive for national treatment in the international market economy;enterprises should improve the competitiveness of chemical products export products,change international business strategies,implement transnational operation and go global,enhance anti-dumping awareness,and actively respond to anti-dumping investigations.