countervailing duty

(redirected from Countervailing duties)
Also found in: Dictionary, Thesaurus, Wikipedia.

Antidumping Duty

In international commerce, a tariff placed on an import that is unusually low-priced. Dumping is the act of exporting a good to a foreign country to capitalize on the price difference. Dumping can result in a handsome profit for the exporter, but it can also damage the importing country's local economy. Thus, many countries attempt to counteract the practice by implementing anti-dumping duties.

countervailing duty

a TAX levied on an imported product (see IMPORTS) that raises the price in the domestic market as a means of counteracting ‘unfair’ trading practices by other countries. Countervailing duties are frequently employed against imported products that are deliberately ‘dumped’ (see DUMPING) or subsidized by EXPORT INCENTIVES. See TARIFF, IMPORT DUTY, BEGGAR MY NEIGHBOUR POLICY.
References in periodicals archive ?
The Bill seeks to reform and repeal the Countervailing Duties Ordinance, 2001 (I of 2001).
The imposition of countervailing duties to offset the effect of foreign subsidies was first authorized in the United States in 1890 for one specific product--beet sugar, (22) and was soon made generally available, under the Tariff Act of 1897, for all products that benefited from foreign subsidies aimed at encouraging exports.
Additionally, the Council has decided to retroactively extend, to 13 August 2010, the definitive anti-dumping and countervailing duties to all imports of US biodiesel blends below the 20% threshold.
right to impose anti-dumping duties (response to unfair prices) and countervailing duties (response to government subsidies).
law permits countervailing duties to be imposed only if a foreign supplier is benefiting from subsidies and U.
The Mexican decision to impose the countervailing duties prompted the US government to file a complaint with the WTO in 2003, taking issue with the statistics and the formula used by the Mexican government to calculate prices (see SourceMex, 2003-07-02).
authorities stand to benefit not only from the imposition of anti-dumping and countervailing duties on competing imports, but also from direct payments from the U.
antidumping and countervailing duties and the subsequent high cost of exporting lumber to the United States.
Countervailing duties counteract subsidies by national authorities that unfairly enable their companies to export at a lower price.
This should bring Jamaica into compliance with its Uruguay Round commitments on anti-dumping and subsidies and countervailing duties.
If the department issues a preliminary ruling upholding the charge, countervailing duties will be imposed on the imports.
As a result of local economic or political pressures exerted by competitors in some foreign markets, Canadian companies occasionally face protectionist levies in the form of dumping duties, countervailing duties, and "other" import surcharges.