dumping

Dumping generally refers to the practice of selling goods in a foreign market at a price that is lower than the product’s normal value, often below the cost of production or the price charged in the exporter’s domestic market. It is mainly discussed in international trade as a potentially unfair trade practice aimed at gaining market share or pushing out competitors.

In anti-dumping analysis, “normal value” is typically the price paid in the exporter’s home market or a constructed value based on production costs. If the export price is found to be significantly lower, authorities may calculate a dumping margin. Under international and national trade rules, authorities can impose anti-dumping duties or require price undertakings to offset the injury caused to domestic producers. Investigations can lead to provisional measures and, after review, to final duties or the termination of the case.

The rationale for anti-dumping action is to counter price discrimination that harms domestic industries, though the practice is contentious. Proponents argue it protects jobs and fair competition; critics contend it can be used to shield inefficient producers or to distort markets. Dumping measures are typically time-limited and subject to sunset reviews or revisions as market conditions change.

Environmental usage of the term describes the disposal of waste materials, including hazardous or illegal dumping, into land, water, or the sea. This form of dumping raises public health and ecological concerns and is addressed through environmental protection laws, licensing, monitoring, penalties, and international agreements aimed at preventing cross-border pollution and improper waste disposal.