Intersections Of Anti-Dumping And Competition Law

Sanjana K.V., LLM, School of Law, Christ Deemed to be University

Dr. Chaitra Rangappa Beerannavar, Asst. Professor, School of Law, Christ Deemed to be University

Introduction

Fair competition in the market has also been significantly impacted since anti-dumping was introduced. By charging less than it does in its home country, the exporting nation tries to drive out domestic competitors and disrupt fair competition by exceeding the threshold of a noticeably adverse effect on competition. This practice is known as anti-dumping. Numerous analysts have noted that the anti-dumping legislation represents an extra-territorial implementation of competition law.1 From an evolutionary perspective, competition law has advanced far beyond anti-dumping measures. At first, it was thought that competition law and anti-dumping legislation complemented one another. Competition law now encompasses companies outside its purview that impact the domestic market.2 On the other hand, WTO provisions are where anti-dumping regulations first originated. To prevent market distortions, anti-dumping regulations are increasingly employed as a protectionist instrument.

The anti-dumping law's supporting jurisprudence supports the prohibition of dumping for several social and economic reasons. However, the main driver in the creation of anti-dumping legislation is the idea of distributional justice. The goal of anti-dumping legislation is distributive fairness.3 Distributional justice aims to maintain equilibrium between the various levels of power held by the multiple states. This power disparity is significant for anti-dumping laws because companies may take advantage of it to implement trade distortions. This is the point at which antidumping rules become highly important.