Coquettish Rebirth

After seeing such an example, Jia Hongjian really looked down upon those domestic manufacturers. It is true that everyone is in danger when they go abroad, so why do they still want to fight each other?On the other hand, why didn't Changhong say hello to him about such a matter?But now Jia Hongjian has no time to take care of Changhong's affairs, he has to take care of his own affairs first.And after this is identified as dumping, the tax rate penalty is very serious—for example, the United States imposes an anti-dumping tax of up to 99% on Chinese oil well pipes exported to the United States, or the United States imposes "punishment tariffs" on Chinese tires.On the basis of the original 4 tariffs, additional tariffs of 35, 30 and 25 will be imposed in the next three years.

If Huaxia Hi-Tech's sphone is levied a special anti-dumping tax of 25 yuan, the price of a mobile phone that originally cost 4000 and sold for 4500 will become 5625 yuan.Such a price difference is not too much to make Huaxia Hi-Tech more expensive, but it was taken away by the US government!In such a situation, other mobile phone manufacturers can still sell it for 4000 at a cost of 5600!In this way, even if people don't have a software store, they can live a very nourishing life just relying on the profit of 25 yuan from a mobile phone, okay?Relatively speaking, this Huaxia Hi-Tech mobile phone is not as competitive as other mobile phones!Moreover, the special status of the United States in global economic development and international trade makes its anti-dumping against China have a strong demonstration effect.If the United States implements anti-dumping on a certain product, it will easily lead to anti-dumping responses from other countries and regions.At the same time, changes in the strength and means of the United States' anti-dumping against China also directly affect the depth and breadth of other countries' anti-dumping against China, which in turn leads to the overall passive situation of Chinese products in the international market.

Under such a situation, Jia Hongjian felt that he should first study what to do if Huaxia Hi-Tech encountered an anti-dumping investigation by the United States, and then he should study what the anti-dumping rules of the United States are like.First of all, the United States regards China as a "non-market economy country", adopts the price of the surrogate country, and imposes higher anti-dumping duties.Due to the harsh conditions of the three market-oriented standards established by the United States, it is difficult for Chinese industries to respond to lawsuits to obtain the market economy status recognized by the United States, making it easy for companies to encounter anti-dumping.China's "non-market economy status" has become a reason for the United States to impose high anti-dumping duties on Chinese products in order to protect its own industrial interests.

What is the surrogate country system?For commodities from a non-market economy, when determining their normal value, the actual cost of the commodity in the exporting country is not used, but the price of similar commodities in a third market economy country or importing country is selected as the method for calculating the normal value , the adopted market economy countries are usually referred to as "surrogate countries".The choice of the surrogate country is directly related to whether there is dumping and the size of the dumping margin. If the importing country chooses the surrogate country with the highest domestic price, it will be a blow to the exporter, but it is quite beneficial to the complainant, and vice versa. .Therefore, the significance of choosing a surrogate country and determining the price of the surrogate country is highlighted.

Choice of surrogate country.The legislation of Western countries on the selection of surrogate countries can be roughly divided into two categories: the practice of most countries led by the United States.According to the U.S. "Trade Act of 1979", the U.S. Department of Commerce's criteria for selecting a surrogate country is a market economy country comparable to the exporting country in terms of economic development. The selected surrogate country is a major producer of comparable products. Comparability considerations Factors include the per capita level of gross national product and the development of infrastructure, especially the level of development of industries with similar products.It is worth noting that the surrogate country selected by the United States can be one country or multiple countries. In practice, the price selected to determine the normal value of the product involved in the non-market economy country may be the price of one surrogate country, or it may is the average price across several surrogate countries.

…the practice of the European Union and other countries.EU anti-dumping law on the selection of surrogate country standards have not changed much.Contrary to the United States, it does not pay attention to the comparability of the economic development level between the surrogate country and the exporting country, although the level of most surrogate countries is higher than that of the relevant non-market economy countries, and the European Commission does not consider these factors in most cases.When choosing an appropriate surrogate country, it is determined by the so-called "appropriate, not unreasonable" method. Obviously, this regulation is rather vague. In order to clarify this method, the European Commission issued an internal notice in 1992, It stipulates that the factors considered by the European Commission when selecting a third country are: the nature of the domestic market of the surrogate country, whether the price is determined by the market; whether the products produced and investigated are comparable products; whether the raw materials obtained in the surrogate country are comparable. .

Because the United States still regards China as a non-market economy country and adopts the surrogate country system on the "normal value" issue in most cases, it is very easy for the products involved in our country to constitute dumping and the dumping margin is extremely large.The US anti-dumping law often requires the Department of Commerce to take into account the similarity in the level of economic development between the "surrogate country" and the "non-market economy" of the anti-dumping lawsuit, and strive to achieve superficial trade fairness.For example, Article 773.().(1) of the U.S. Tariff Law stipulates: "The cost price of one or more market economy countries with the same level of economic development and the main producer of similar products shall be used as much as possible." But the law does not stipulate Conditions for comparable levels of economic development.Generally speaking, the key factors considered by the doc are the per capita GNP, the national distribution of the labor force and the growth rate of the GNP per capita.

Regarding the method of determining and calculating the price of the surrogate country, the U.S. "Comprehensive Trade and Competition Act of 1988" stipulates that if the dumped product under investigation comes from a non-market economy country, it is impossible for the Ministry of Commerce to adopt a self-market economy based on the available information. If the foreign market value of the country's imported products is determined in the same way, the Ministry of Commerce will calculate the foreign market value of the product based on the "factors of production used in the production of the product".This is the main method used by the United States to determine the foreign market value of imported products from non-market economy countries—the "factor of production value method".

All in all, if a company in the United States complains, then the United States will start investigating Huaxia Hi-Tech, because the United States believes that China is not a market economy country, so it is very likely that they will choose such a wonderful country as India as a substitute country!And under such circumstances, can India, a wonderful country, compare with China?People in the capital of India have power outages twice for three days!Who has ever bought a mobile phone made in India?As a result, it is necessary to compare the price of the Indian mobile phone industry with that of Huaxia Hi-Tech?Is this not a joke?Americans believe that since the controlled dumping non-market economy countries have similar economic development levels as the surrogate countries, the costs they spend on producing similar products should also be similar.This assumption is based on the homogeneity of production factors in different countries, but in fact the production factors in different countries must be heterogeneous, and the components of this heterogeneity form a decisive factor for the price of products. Therefore, it is inevitably extremely irrational to simply compare the price level of one country with that of other countries.

And Jia Hongjian continued to study, and found that the United States is also quite funny-people don't necessarily use India as an analogy with China!The Americans are so good!In the cast iron case in 1980, Japan was chosen as the surrogate country, and the dumping margin of China was calculated to be 11.66. At the same time, the price of the Indian cast iron under investigation was the same as that of our country. Because India is a market economy country, its domestic price is taken as the fair price. , was ruled that there was no dumping!This will inevitably lead to different treatment for exporters who are labeled as different countries, thus artificially causing unfairness!Ignoring the reality of economic reforms in other countries, these Western countries ignored the second official interpretation of the International Anti-dumping Code, that is, only when all prices are determined by the government can they be regarded as a non-market economy country, and still regard China as a "non-market economy country." ", insisting on implementing the surrogate country price method for Chinese products.This approach obliterates many differences in the actual level of economic development and industry production between non-market economy countries and surrogate countries, and completely ignores the fact that non-market economy countries are often also developing countries, so they also have lower costs of production factors such as labor. comparative advantage, its discriminatory nature is obvious.

...and what is the US definition of a non-market economy country?They ignore the definitions of international organizations, what is their own definition?The current anti-dumping law of the United States defines a non-market economy country as a country that does not operate according to the market principles of cost and price structure, and the sales of goods in the country do not reflect the fair value of the country.Since this definition is relatively abstract, it is generally determined from the following factors in practice: (1) the convertibility of the country's currency; (2) the degree of allowance for freely negotiated wages between workers and employers; (3) The degree of government control or government ownership of production; (4) The degree of government control of resource allocation enterprises' price and output decisions; (5) Other factors that should be considered.Since none of the above-mentioned six criteria set out specific demarcation boundaries, the U.S. Department of Commerce has great discretion. It can not only take various factors it considers into consideration, but also make decisions on it that cannot be passed through the judiciary. The review process is changed.

The second is that choosing a surrogate country is very arbitrary.Based on past experience, the results of cases vary depending on the surrogate State selected.For example, in the 1976 Polish golf lawn car dumping case, the U.S. Department of Commerce first selected Canada as the surrogate country, and determined that the dumping was established; later, because the Canadian manufacturer stopped production, it chose Spain as the surrogate country, and determined that the dumping was not established. However, there may be more than one country that meets the conditions of the surrogate country. Which country to choose as the surrogate country depends on the luck of the exporter.If luck is good, the selected surrogate country is favorable, and it may be determined not to constitute dumping or the dumping margin is small; if luck is not good, the selected surrogate country may have higher production costs or sales prices of similar products, and it may be determined to constitute dumping. Dumping or dumping by a larger margin.The arbitrariness of the surrogate country system actually leaves the outcome of the case to an unknowable god of fate, which obviously violates the certainty and objectivity of the law!

God of fate?Jia Hongjian suddenly realized something... Well, if you can leave it to the God of Destiny if you are casual... Does this mean that the God of Destiny can be manipulated by us?We Chinese all know the meaning behind this!That is to find someone, that is to find an example that is very beneficial to Huaxia Hi-Tech and China. If you don’t find someone, it doesn’t matter if you have no background, just find an example that is very unfavorable to Huaxia Hi-Tech and China? r1152