Commerce & marketsen
Anti-dumping duty
Additional customs duty imposed on imported goods sold below their normal value, designed to protect domestic industry from unfair pricing.
Definition and legal basis
An anti-dumping duty is an additional tax imposed on imports of goods subject to dumping, meaning they are exported at a price below their normal value (typically the selling price on the exporting country's domestic market). This mechanism is governed by the WTO Anti-Dumping Agreement (GATT Article VI) and, in the EU, by Regulation (EU) 2016/1036.
EU investigation procedure
The imposition of an anti-dumping duty follows a rigorous procedure:
- Complaint filed by EU industry (representing at least 25% of production)
- Investigation by the European Commission (DG Trade), maximum 15 months
- Determination of dumping (dumping margin), injury to EU industry, and causal link
- Application of the Union interest test (duties must not disproportionately harm users/importers)
- Imposition of provisional duties (max. 6 months) then definitive duties (5 years, renewable)
Practical implications
Anti-dumping duties are applied in addition to normal customs duties. They can be:
- Ad valorem (percentage of customs value)
- Specific (fixed amount per unit)
- Minimum import price (variable duty bridging the gap to a floor price)
Common pitfalls
- Check for price undertakings (some exporters commit to a minimum price in exchange for duty exemption)
- Duties often vary by exporting company: verify the applicable individual rate
- Circumvention (transshipment through a third country) is penalised and subject to specific investigations
- Review the Official Journal of the EU for the latest regulations listing applicable rates per exporter