PHNOM PENH, March 24 (Xinhua) -- The Council of Ministers of Cambodia on Friday approved a draft law on anti-dumping, which was designed to shield domestic producers from the impact of dumping by foreign exporters, a spokesman said.
The approval was made during a weekly cabinet meeting, presided over by Prime Minister Samdech Techo Hun Sen, the spokesman for the Council of Ministers, Phay Siphan wrote on his Facebook page.
"The draft law on anti-dumping is aimed at protecting domestic producers from the impact of dumping by foreign exporters," he said, adding that it would ensure a fair competition atmosphere between domestic producers and foreign producers.
The law will allow the government to raise tariffs or restrict imports to counteract the dumpers.
"Dumping" is a form of predatory pricing, where foreign exporters sell goods below costs into a country with an aim of driving domestic producers out of business. Once the domestic producers go bankrupt, the dumpers can increase prices and recoup their losses.
The draft legislation needs to be adopted by the National Assembly and finally reviewed by the Senate before being submitted to King Norodom Sihamoni for promulgation.