US companies adversely affected by unfair imports may seek a number of relief measures, including antidumping (AD) duties. The Department of Commerce (Commerce) classifies China as a non-market economy (NME) and uses a special methodology that is commonly believed to produce AD duty rates that are higher than those applied to market economies. Commerce may stop applying its NME methodology if it finds that China warrants designation as a market economy.
In this report on Eliminating Nonmarket Economy Methodology Would Lower Antidumping Duties for Some Chinese Companies, the US Government Accountability Office (1)explains the NME methodology, (2)analyzes AD duties applied to China and compares them with duties applied to market economies, (3)explains circumstances in which the US would stop applying its NME methodology to China and evaluates the potential impact of such a step. Click here for the Full report

Source: US Consulate General, Hong Kong