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ANNUAL REPORT

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116<br />

Countries rely on AD and CVD cases against China to protect<br />

themselves from the influx of government-subsidized goods imported<br />

below market value. Globally, between 1995 and 2014, 1,052<br />

AD cases were initiated against China—759 of which resulted in<br />

the imposition of AD duties—the most of any country and over 700<br />

cases more than were initiated against South Korea, the secondhighest<br />

AD recipient (see Figure 7). 218 During the same period, 90<br />

CVD cases were initiated against China, also the most of any country.<br />

219 AD and CVD cases against China are becoming increasingly<br />

frequent, with the United States launching a total of 48 AD and<br />

CVD investigations in the first nine months of 2016, 28 of which<br />

involved Chinese goods (for a complete list of U.S. AD and CVD<br />

cases filed against China in 2016, see Addendum II, ‘‘AD and CVD<br />

Investigations Initiated by the United States Against China,<br />

2016’’). 220 Unsurprisingly, Chinese industries with excess capacity<br />

are the most common targets of trade remedy investigations, with<br />

80 percent of the world’s AD and CVD cases against China concentrated<br />

in base metals, chemicals, machinery and equipment,<br />

textiles, rubber, plastics, stone, cement, and glass. 221 Although the<br />

Department of Commerce has the authority to self-initiate AD and<br />

CVD cases, it has done so only once since 1991. 222<br />

Figure 7: Top Ten Economies by AD Actions Received, 1995–2014<br />

Source: Rui Fan, ‘‘China’s Excess Capacity: Drivers and Implications,’’ Stewart and Stewart,<br />

June 2015, 12.<br />

dkrause on DSKHT7XVN1PROD with USCC<br />

Status of Deliberations<br />

At a panel on China’s MES during the Commission’s February<br />

hearing on ‘‘China’s Economic Realities and Implications for the<br />

United States,’’ the majority of expert witnesses testified that<br />

granting China MES would limit countries’ ability to restore fair<br />

pricing in the market. 223 The debate over China’s MES revolves<br />

around two questions: whether China is entitled to automatic con-<br />

VerDate Sep 11 2014 12:16 Nov 02, 2016 Jkt 020587 PO 00000 Frm 00026 Fmt 6601 Sfmt 6601 G:\GSDD\USCC\2016\FINAL\06_C1_C2_M.XXX 06_C1_C2_M<br />

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