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To: energyplay who wrote (66425)7/19/2005 3:36:26 PM
From: Elroy Jetson  Read Replies (1) | Respond to of 74559
 
Perhaps in some cases China is not dumping. But they are selling below their cost in a broad range of industries from farming to manufacturing.

In many cases, China is not selling under the cost of production, their costs are so low they can make a profit.

China is subsidizing most industries with loans from State owned banks which will certainly never be repaid, and many firms are essentially bankrupt. Selling your goods at a loss is a dubious strategy at best unless you can eliminate your global competitors then raise your prices sufficiently to turn a profit.
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