Dumping

In some countries, the cost of manufacturing is very low due to the low cost of raw material, manpower and government subsidies. These countries are able to export their products at a very low cost.

The manufacturers in countries which import these cheap products are not able to compete, as a result of which the industry is destroyed. The manufacturers association will lobby the government to impose an anti dumping duty, an import tax, which makes the imports prohibitively expensive and protect the local industry.

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