Dumping arises when an exporter sells goods in the Jamaican market below the price for which they would sell the same type and quality of goods in their domestic market, under normal circumstances and using customary channels of distribution.
Antidumping complaints and the attendant imposition of antidumping duties counteract the injurious effect of the practice. If allowed to persist, dumping can destroy the local market of the importing country, Jamaica, which can result in layoffs and the closure of businesses. By filing an application with the Commission for an investigation, industries can protect local businesses and markets from unfair competition by foreign imports.
Antidumping investigations are launched by the Anti-dumping and Subsidies Commission on the receipt of a properly documented application from a domestic industry, which must provide evidence that reasonably suggests that dumping has taken place and, separately, that the alleged dumping has caused injury to the local industry. Subsequent to the filing of the application, the Commission must investigate:
- whether dumping has taken place, and if so
- whether it is the alleged dumping that has caused the alleged injury.
Where dumping is determined to have happened, and is found to have caused injury to the domestic industry, the government, at the recommendation of the Commission may impose anti-dumping duties up to, but not beyond, the margin of dumping that has been determined.
Incidentally, where a determination of dumping and injury has been made, the government may, at their discretion, accept a price undertaking from the exporter concerned, instead of imposing duties. That is, they may come to an agreement whereby the exporter acts to increase the price of the product(s) concerned by enough (but no more) to eliminate the margin of dumping.
Additionally, if your company becomes the target of an Antidumping investigation in another country, the Commission will work to ensure that countervailing duties are not imposed arbitrarily against your company’s exports.
