This paper studies within-firm input reallocation, resulting from trade protection on imported raw materials inputs used in firm-level production. Indian antidumping cases show that firms significantly lower their use of protected inputs from abroad, relative to other inputs in response to import protection. We develop a firm-level input-output correspondence, to identify outputs produced with protected inputs and find significant output losses relative to sales of other outputs. For India this corresponds to an aggregate annual output loss of up to 10% of Indian manufacturing output growth. The paper contributes to the misallocation debate by providing micro-foundations underlying more aggregate misallocations.

The expansion of global supply chains (GSCs) has increasingly disconnected the location of jobs from the demand supporting them, both geographically and in terms of sector. Using data from the World Input–Output Database, the authors examine these linkages across 40 countries over the period 1995–2013, expanding on earlier analysis published by the ILO, and provide evidence of the number of GSC‐related jobs in terms of job location–export destination combinations. Their findings point to changing patterns in demand and supply of GSC‐related jobs, increasing the role of China as a demand generator, reinforcing production linkages between emerging economies and increasing the number of service jobs dependent on manufacturing GSCs.

This paper evaluates the European Union's antidumping (AD) policy from 1995-2009 with a special focus on the 2008-9 crisis. Combining product-level data on AD cases with detailed import data, we fail to find clear signs of a major trade policy change since the outbreak of the crisis. Our findings suggest that the EU largely remained on its pre-crisis path of AD policy with an increasing share of products and more industries covered by AD measures. Moreover, EU AD policy has increasingly focused on China and other lower middle income countries as targets.Further findings suggest that the EU is more likely to impose protection against countries and country-industries that are similar in their product mix. Country-product combinations subject to a preferential tariff are also more likely to be targeted. In terms of product characteristics, we observe that especially the shares of consumer goods and differentiated goods covered by EU AD measures have increased rapidly, remaining at a relatively high level also during the crisis. The patterns we reveal do not appear to be driven by a few outlying countries but are also similar when considering imports of individual EU member states.

No abstract