Risk analysis: introduction
Many ADD measures are specifically intended to prevent cheap imports from countries with lower material and labour costs, e.g. the Far East and Eastern Europe, from damaging EU industry. For this reason, goods from these regions often attract high rates of ADD/CVD.
The ‘free at frontier price’ for such goods is often considerably lower than equivalent goods produced in the EU. As such, the risk of deliberate mis-description/undervaluation/misclassification to a commodity code with a lower or NIL rate of ADD/CVD must be regarded as high.