Last updated: 12.03.2025
Engaging in international trade and importing goods from China or other trading partners can offer significant financial advantages for companies engaged in cross-border commerce. However, businesses must be aware of a critical trade protection measure: the anti-dumping duty. This tariff is imposed to counteract unfair pricing practices and safeguard the domestic industry from injury caused by artificially low-priced imported goods.
How are anti-dumping duties applied, and can companies legally minimize their impact? This article provides further information on anti-dumping measures, potential exemptions, and strategies to optimize international trade administration.
What Is an Anti-Dumping Duty and How Does It Work?
An anti-dumping duty is a type of customs duty imposed by an importing country on imported goods originating from foreign companies (e.g., China). The purpose of such duties is to prevent the sale of certain products at unfair pricing, which could harm the domestic industry by reducing the fair value of locally produced goods.
The issue of anti-dumping duties can be assessed from two perspectives. On one hand, they serve as a necessary legal instrument to protect the national economy from unfair competition and dumping occurs when foreign companies sell goods at prices lower than their normal value in the home market.
On the other hand, businesses – especially those in the European Union – that rely on company exports may face increased costs due to the imposition of these duties, reducing their competitiveness in the market.
The European Commission, through its implementing regulations, frequently enforces anti-dumping measures and countervailing duties on specific products, including finished goods (e.g., alloy wheel rims) and semi-finished products (e.g., aluminium profiles, fibreglass fabrics).
The value of anti-dumping duties can reach 50-60% of the customs value of the product concerned, making them a significant financial burden for companies engaged in international trade over long-term importing activities.
Anti-Dumping Duty on Goods from China
The European Union enforces anti-dumping measures to protect European companies from imported goods sold at unfair pricing, mainly from China. These duties prevent foreign companies from selling products below their normal value, which can harm the domestic industry.
The European Commission maintains an updated database listing products subject to anti-dumping duties. Entrepreneurs importing from China should regularly check this resource to plan company exports and avoid unexpected tariffs.
Uncertainty may arise when importing disassembled or unassembled goods, such as semi-finished products used in EU manufacturing. In such cases, businesses must determine whether the final product is subject to duties.
Typically, anti-dumping duties remain in effect for five years, but may be revised if market conditions change. For instance, the EU lifted anti-dumping duties on Chinese solar panels in 2018, making imports more cost-effective. Similarly, duties on Ukrainian steel were abolished in 2022 to support the Ukrainian economy.
Anti-Dumping Duty – List of Selected Products
The European Union maintains a detailed list of imported goods subject to anti-dumping duties, as well as products under investigation for potential unfair competition and material injury to the domestic industry. These duties aim to counteract subsidized imports and protect domestic goods from artificially low-priced foreign products.
The TARIC database, managed by the European Commission, lists particular products affected by countervailing duty orders. These goods originate from several countries, including China, India, Thailand, South Korea, Taiwan, Morocco, Egypt, and Turkey. Businesses should monitor this database to stay informed about antidumping measures and potential tariff changes.
Examples of Products Subject to Anti-Dumping Duties
- Steel and steel products – including sheet metal, pipes, steel bars, and profiles.
- Photovoltaic panels and solar components – affected by government subsidies in many countries.
- Electric bicycles and their parts – subject to preliminary determinations due to subsidized imports.
- Ceramics and porcelain – including ceramic tiles, often linked to commerce issues.
- Vehicle tyres – particularly for lorries, affected by countervailing measures.
- Aluminium and aluminium products – including aluminium profiles from China, with duties ranging from 21.2% to 32.1% for five years.
- Chemical products – such as citric acid and monosodium glutamate, listed in trade investigations.
How to Avoid Anti-Dumping Duties?
Anti-dumping duties pose a significant challenge for Polish importers. When planning orders from abroad, particularly from China, high antidumping duties can make company exports unprofitable within the EU market.
However, a company does not always have to pay the maximum duty. The final tariff depends on factors such as the customs rate applied to a specific manufacturer or the customs tariff code.
In Poland, businesses can take legal measures to avoid excessive duties, including:
- Obtaining a legal opinion to determine if a particular product is subject to antidumping duties.
- Requesting Binding Origin Information (BOI) and Binding Tariff Information (BTI) to confirm the correct country of origin and customs tariff.
- Ensuring proper declaration of the imported goods to the Customs and Tax Office.
- Planning a procedure in case of customs and tax audits.
Additionally, before importing goods from outside the EU, companies should verify if antidumping duties apply – especially for new products, suppliers, or exporting countries with which they have not previously dealt.
It is also essential to monitor new antidumping measures introduced by the European Commission. In some cases, duties are imposed on specific suppliers or one type of product imported by a particular company. To avoid supply chain disruptions, businesses should consider alternative suppliers and stay updated on regulatory changes affecting international trade.
Anti-Dumping Duty – Legal Support for Your Business
Understanding anti-dumping duties and trade regulations can be challenging. Businesses should seek legal guidance to navigate border protection measures, unfair subsidies, and administrative reviews.
For interested parties, staying informed on relevant economic factors and company exports is essential. If you need assistance with trade agreements or import strategies, contact our experts for support at [email protected].
FAQ – Anti-Dumping Duty: How Can Companies Avoid It?
What is an anti-dumping duty, and how does it affect company exports?
An anti-dumping duty is a tariff imposed to prevent foreign companies from selling products at unfair pricing, which could harm the domestic industry. It affects company exports by increasing import costs, reducing competitiveness in international trade, and requiring compliance with regulations set by organizations such as the World Trade Organization (WTO) and the International Trade Commission (ITC).
How does the WTO Agreement regulate anti-dumping duties?
The WTO Agreement, specifically Article VI of the General Agreement on Tariffs and Trade (GATT), allows for anti-dumping duties if a product is sold below its normal value, causing material injury to the domestic industry. These measures must comply with international trade laws and be reported in the Federal Register to ensure transparency.
What role does the Department of Commerce play in anti-dumping investigations?
The Department of Commerce determines whether a company exports a product at a price lower than its fair market value. If so, it may recommend anti-dumping duties to the International Trade Commission, which then assesses the impact on the domestic industry before imposing tariffs.
Which products are commonly subject to anti-dumping duties?
The European Commission and the Department of Commerce frequently impose duties on goods such as steel, aluminum, photovoltaic panels, electric bicycles, and chemical products. The TARIC database provides an updated list of affected products and their applicable countervailing duties.
How can companies legally minimize the impact of anti-dumping duties?
Businesses can reduce duties by requesting Binding Origin Information (BOI) and Binding Tariff Information (BTI), ensuring proper product classification, and verifying supplier compliance with trade regulations. Legal opinions and customs audits can also help companies optimize their import strategies and avoid excessive duties.
Where can businesses find legal support for anti-dumping duty compliance?
Companies facing anti-dumping duties should seek legal assistance to navigate trade laws, customs regulations, and WTO agreements. Consulting experts can help with administrative reviews, trade agreements, and compliance with the General Agreement on Tariffs and Trade (GATT). For professional support, contact our legal team at [email protected].
