High School

In 2012, the United States imposed antidumping and countervailing duties totaling 24% and 36%, respectively, on imports of solar panels from two groups of Chinese solar panel exporters. Which of the following describes the process that led to these duties?

I. The U.S. Department of Commerce determined that China was dumping and subsidizing solar panels in the U.S. market.

II. The U.S. International Trade Commission determined that Chinese solar panel imports caused material injury to U.S. solar panel producers.

III. The World Trade Organization determined that China was dumping and subsidizing solar panels in the U.S. market.

a. I and II
b. I and III
c. II and III
d. I, II, and III

Answer :

The U.S. Department of Commerce determined that China was dumping and subsidizing solar panels in the U.S. market and The U.S. International Trade Commission determined that Chinese solar panel imports caused material injury to U.S. solar panel producers described the process that led to these duties. So the correct option is a.

The U.S. Department of Commerce and the U.S. International Trade Commission, but not the World Trade Organization, made decisions that resulted in the imposition of antidumping and countervailing penalties on solar panels from China.

The U.S. Department of Commerce found that China was undercutting and dumping solar panels on the American market, which supported the imposition of antidumping taxes.

The U.S. International Trade Commission also found that these imports were seriously harming domestic manufacturers of solar panels, which supported the imposition of countervailing charges. So the correct option is a.

Learn more about Countervailing Duties here:

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