What best defines the term Dumping Margin in relation to antidumping duty?

The term "Dumping Margin" is best defined as the difference between the price at which a product is sold in a foreign market and the price at which it is sold in the U.S. market. This definition highlights the practice of dumping, where foreign producers sell goods at a lower price in the exporting market compared to their domestic market, often with the intent to gain market share or harm competition in the importing country.

In this context, the dumping margin is critical for determining whether antidumping duties should be imposed. By calculating the difference between the export price in the foreign market and the fair value or selling price in the U.S., authorities can assess whether the imported goods are being sold unfairly low, which could justify additional duties to level the playing field for domestic producers.

The other options do not capture the full scope of the dumping margin. For instance, while production cost and export price are elements involved in the pricing strategy, they do not specifically address the comparison aspect that defines dumping. The difference in market prices, while related, does not specifically focus on the U.S. selling price in relation to the foreign price, which is essential for establishing the antidumping margin.

Thus, the definition that encompasses the price comparison between the foreign market and the