Question

What is meant by Anti-Dumping Rule?

Answer 1

Dumping can be defined as a process where a foreign company exports a product at a lower price compared to the price which it normally charges from its domestic consumers.

An anti-dumping duty can be defined as a tariff which a government imposes on foreign imports because the foreign companies dump their product at lower price and therefore it harms the domestic industry in which product is dumped. The government imposes anti-dumping duty for protecting domestic industries.