dumping

• What is dumping in the context of international trade?

  Dumping is when a country or company sells surplus goods at very low prices in other areas of the world.
• Why is dumping harmful to domestic producers?

  It harms domestic producers by making it difficult for them to compete with low-priced goods.
• What action might a government take to protect domestic producers from dumping?

  The government may intervene by imposing tariffs or other trade barriers.
• What specific measure does China use to prevent dumping of stainless steel tubes?

  China places tariffs on stainless steel tubes from the EU and Japan.
• What is the purpose of tariffs in the context of dumping?

  Tariffs are used to increase the price of imported goods to protect domestic producers.
• How does the intervention of a government help domestic producers facing dumping?

  Government intervention helps by leveling the playing field against firms willing to incur losses.