PRICE UNDERTAKINGS: A PEACEFUL WAY TO TERMINATE ANTI-DUMPING INVESTIGATIONS AGAINST CHINA

Abstract

A price undertaking is a commitment offered by foreign exporters to eliminate the injury caused by dumped imports to the domestic industry of the importing country by increasing their export prices. While existing WTO rules governing price undertakings are very general and broad, this paper explains the key issues pertaining to the negotiation of price undertaking agreements. It also examines the advantages and feasibility of accepting more price undertakings from the Chinese exporters. The paper introduces two examples of successful price undertakings offered by Chinese producers, namely the EU Solar Panel anti-dumping/ anti-subsidy investigations and the EEC OCTG anti-investigation.