Protection Reduction and Diversion: Ptas and the Incidence of Antidumping Disputes

36 Pages Posted: 24 Aug 2010 Last revised: 27 Aug 2010

See all articles by Thomas J. Prusa

Thomas J. Prusa

Rutgers University; National Bureau of Economic Research (NBER)

Robert Teh

World Trade Organization (WTO)

Date Written: August 2010

Abstract

We analyze whether preferential trade agreements (PTAs) affect the incidence and pattern of antidumping (AD) filings. We estimate AD provisions in PTAs have decreased the incidence of intra-PTA AD cases by 33-55% and have increased the number of AD actions against non-PTA members by 10-30%. The net effect of PTA rules on total AD filings is small. Our results are robust to alternative estimation approaches and controlling for a myriad of other PTA-related phenomena. Our results suggest a protection analogue to the "trade creation-trade diversion" impact of PTAs. PTA members are spared from AD actions but non-PTA members face even greater AD scrutiny.

Suggested Citation

Prusa, Thomas J. and Teh, Robert, Protection Reduction and Diversion: Ptas and the Incidence of Antidumping Disputes (August 2010). NBER Working Paper No. w16276. Available at SSRN: https://ssrn.com/abstract=1662270

Thomas J. Prusa (Contact Author)

Rutgers University ( email )

Dept of Economics
75 Hamilton St
New Brunswick, NJ 08901
United States
908-932-7670 (Phone)
908-932-7416 (Fax)

National Bureau of Economic Research (NBER)

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Cambridge, MA 02138
United States

Robert Teh

World Trade Organization (WTO) ( email )

154 Rue de Lausanne
CH-1211 Geneva 21
Switzerland

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