Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/185406
Authors: 
Felbermayr, Gabriel
Sandkamp, Alexander-Nikolai
Year of Publication: 
2018
Series/Report no.: 
CESifo Working Paper No. 7208
Abstract: 
This paper uses Chinese customs data to investigate the trade effects of anti-dumping (AD) policies. Merging firm-level exports to firm-specific AD duties, we exploit differences across firms within products. This reduces endogeneity concerns which have plagued earlier research. Based on a firm-level gravity model, we find that, in line with literature, AD duties reduce exports, induce firm exit but do not affect producer prices. However, our strategy yields substantially larger estimates which differ strongly across sectors. More interestingly, imports to the EU react differently compared to those to the US; a finding with obvious implications for the design of AD policies. Smaller exporters are more heavily affected than larger ones, suggesting important within-industry reallocation effects. Moreover, we find evidence for trade deflection as AD duties lead to market entry of Chinese firms into third countries.
Subjects: 
anti-dumping
China
trade
firm heterogeneity
JEL: 
F12
F13
F14
D22
Document Type: 
Working Paper

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