Park_2016_China-Economic-Review.pdf

China Economic Review 20 (2009) 542–548 Contents lists available at ScienceDirect China Economic Review Review The trade depressing and trade diversion effects of antidumping actions: The case of China Soonchan PARK ⁎ Department of Economics and International Commerce, Kongju National University, 182 Shinkwan-Dong Kongju, Republic of Korea a r t i c l e i n f o a b s t r a c t Article history: China is by far the main target of antidumping (AD) litigation for most of its major trading Received 3 July 2007 partners. Recently, however, China itself has started using AD instrument intensively and was, Received in revised form 25 February 2008 in fact, the third leading country in initiating AD investigations between 2002 and 2004. This Accepted 20 March 2009 paper empirically investigates the impact of Chinas AD activities on trade by employing the system GMM estimator. The empirical results show that AD protection has significant trade JEL classifi cation: depressing and trade diversion effects. These findings are consistent with Prusa [Prusa, T.A., F13 2001. On the Spread and Impact of Antidumping, Canadian Journal of Economics 34, 591–611.] and Brenton [Brenton, P., 2001. Anti-dumping policies in the EU and trade diversion, European Keywords: Antidumping Journal of Political Economy 17, 593 –607] that investigate the trade effects of AD action