The Trade Impact of Indian Antidumping Measures against China: Evidence from Monthly Data

Abstract

China’s importance for India as a trading partner has increased tremendously over the recent years. At the same time, China has become the main target of Indian antidumping measures with a number of measures that is unprecedented worldwide. This article provides a detailed analysis of trade flows between the two emerging economies and investigates on which type of products and in which sectors the Indian government applies antidumping measures against China. Then, this article estimates the trade impact of those measures that were imposed during the Great Recession, using monthly data on exports from China to India. The use of monthly data is relatively new to the literature and allows a detailed examination of the trade impact of antidumping measures and its dynamics. This article finds that antidumping measures decrease the Chinese export value and quantity to India immediately and to a significant extent. The impact is quite stable over time.

Keywords

Antidumping China crisis India monthly data trade impact trade policy WTO F13 F14 F52 G01

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