Countervailing Duties
Countervailing Duties (CVDs) are tariffs imposed on imported goods that benefit from foreign government subsidies, giving them an unfair market advantage.
These duties protect domestic industries by neutralizing the price advantage created by subsidies. CVDs are applied after an investigation confirms that the subsidies cause harm to domestic producers.
Proper enforcement of Countervailing Duties ensures fair competition and supports local economies by balancing trade conditions.
Back to Glossary