The General Theory of the Natural Course of World Trade: special circumstances to initiate trade remedy proceedings

J. World Trade, Forthcoming in edition 55:5

Posted: 17 Sep 2020 Last revised: 19 Aug 2021

Date Written: 2020

Abstract

Via the Vienna Convention on the Law of Treaties, this article proposes a definition of the "special circumstances" that sanction authorities to self-initiate trade remedy proceedings. In effect, it optimizes the world economy by enabling authorities to self-detect unfair trading practices – without a complaint of the domestic industry. This inability likely restrains trade remedies' potential as a finer, more fruitful alternative for the indiscriminate imposition of bulk-tariffs – visible in the Sino-American trade war. Arguably, the "special circumstances" occur when the pace of country-specific import significantly exceeds the pace of the worldwide import, through significant price undercutting which stems from transnational price discrimination rather than a cost-efficient industry. To ascertain whether or not an absence of price discrimination is due to a particular market situation, the general theory introduces a new criterion. This criterion provides the first definition of "sales in the ordinary course of trade", wholly derived from Article 2.2 of the WTO Anti-dumping Agreement.

Keywords: Trade Remedies, Initiation, Dumping, Special Circumstances, Particular Market Situation, Price Undercutting, Ordinary Course of Trade

Suggested Citation

Comnenus, Dr. iur. George, The General Theory of the Natural Course of World Trade: special circumstances to initiate trade remedy proceedings (2020). J. World Trade, Forthcoming in edition 55:5, Available at SSRN: https://ssrn.com/abstract=3694455

Dr. iur. George Comnenus (Contact Author)

Tilburg Law and Economics Center (TILEC) ( email )

Warandelaan 2
Tilburg, 5000 LE
Netherlands

Do you have a job opening that you would like to promote on SSRN?

Paper statistics

Abstract Views
103
PlumX Metrics