Sep
21
How Anti-Dumping duties affect imports and a country’s foreign exchange
Know about Anti-Dumping duties affect imports and a country’s foreign exchange Short answer: anti-dumping duties raise the effective price of targeted imports, usually reducing their volume and protecting domestic producers — but the net effect on foreign-exchange (FX) flows and the currency depends on price-elasticities, who bears the duty (foreign exporters vs domestic importers/consumers), trade diversion, and any offsetting capital-flow responses. Below I walk through the channels, a worked numeric example (step-by-step), pros & cons, and practical implications for policymakers Read Full Details…
