Anti-dumping

Measures applied when goods are found to be priced below production cost when exported to a foreign market, which normally leads to the imposition of extra tariffs on the products deemed to be dumped.

But the US still headed the league for imposing duties after investigations taking such action 21 times during the period, up from eight in the same period of 2000.

WTO rules allow the body's 144 member countries to circumvent free trade rules and impose anti-dumping tariffs after an investigation is carried out on whether dumping is taking place.

Not all investigations lead to extra tariffs.

India leads

India launched 51 investigations from July to December last year, 30 more than it had during the same period in 2000, of which 20 led to duty increases on those goods.

The US, once the champion of WTO anti-dumping actions, initiated 35 in the second half of last year against 38 in the same period a year earlier.

WTO figures showed both countries well ahead of the third placed Argentina, with 16 actions, and the European Union, in fourth place with 15.

A total of 25 actions were started against Chinese goods, while Brazil, Taiwan, Thailand and the US are facing nine actions each.

Rules of trade

Traditionally, dumping was used by exporters to break into a new foreign markets and undercut local producers in the hope of forcing them out of business.

A foreign producer can then raise prices to make a profit, especially if they become a monopoly supplier.

Under WTO rules, an investigation has to show that domestic producers are being harmed by the imports.

Anti-dumping actions can be challenged through the WTO's dispute settlement system and if found unjustified, must be withdrawn.

Developing countries have often accused the US and other WTO members of abusing anti-dumping actions to keep out goods competing with domestic products.