AD vs CVD: what's the difference?
Anti-dumping duty (AD) and countervailing duty (CVD) are both extra import taxes. They sound the same, they stack on the same shipment, but they punish different things. Here is the short version.
In one line each
AD punishes a foreign company for selling too cheap.
CVDcancels out a foreign government's subsidy.
Side by side
| Anti-Dumping (AD) | Countervailing (CVD) | |
|---|---|---|
| Who is at fault | The foreign company | The foreign government |
| What it fixes | Selling below fair value | Unfair subsidies (cash, tax breaks, cheap loans) |
| Plain version | "You priced it too low." | "Your government cheated." |
| Rate is based on | Dumping margin (price gap) | Subsidy amount |
| Stacks on normal duty? | Yes | Yes |
| Decided by | Commerce Dept sets rate · ITC votes on injury | |
A concrete example
AD example. A Chinese steelmaker sells steel in the US at $300 a ton when the fair value is $500. Commerce finds that dumping. The AD duty closes the $200 gap.
CVD example. The Chinese government gives its steelmakers a $50 a ton cash subsidy, letting them undercut US producers. Commerce counts that subsidy. The CVD duty cancels the $50.
Same product, same country, sometimes both at once. The importer pays both.
Why the distinction matters to you
For most importers the practical difference is small. Both show up the same way: an extra charge on your shipment, often after the goods arrive. Both are case-specific, so they do not appear in the HTS schedule. Both can be huge.
The reason to know the difference is mostly so you can read order listings correctly. A product might appear under an AD order, a CVD order, or both. If you only search for one, you miss the other.
Check your product for both
The checker covers AD and CVD orders together. Type a product name, see everything that applies. Free, no signup.
Check my product →Common questions
Can a product have both AD and CVD at the same time?
Yes, and it happens often. Many investigations find both dumping and subsidization on the same product from the same country. In that case the importer pays normal duty, plus AD, plus CVD, all on the same shipment.
Which one is more common?
Roughly two thirds of US trade-remedy orders are anti-dumping (AD) and one third are countervailing (CVD). The exact mix shifts as new cases are filed, but AD cases outnumber CVD cases in most years.
Are AD and CVD rates set the same way?
The process is similar (Commerce investigates, ITC votes on injury) but the rate calculation differs. An AD rate measures how far below fair value the product was sold. A CVD rate measures the size of the foreign subsidy. So the numbers mean different things even though both are expressed as a percentage.
Do other countries use AD and CVD too?
Yes. The EU, India, Brazil, Canada, Australia and many others run their own anti-dumping and countervailing systems under WTO rules. This page covers the US system specifically.
How do I check which one applies to my product?
Look up active orders by product name or HTS code. Each order is labeled AD or CVD (or both). The free checker at cvdar.com/tools/adcvd-checker covers 1,200+ active US orders.