In 2014, the United States imposed tariffs on nine different steel-producing countries because:

• A. It aimed to retaliate against trade restrictions imposed by those countries.
• B. It wanted to increase government revenue from steel imports.
• C. It sought to encourage domestic consumers to purchase more imported steel.
• D. It determined that these countries were dumping steel at unfairly low prices.

Answer: (D)

Verified step by step guidance

1. Understand the concept of tariffs: Tariffs are taxes imposed by a government on imported goods, which can serve multiple purposes such as protecting domestic industries, generating government revenue, or retaliating against unfair trade practices.
2. Recognize the context of dumping: Dumping occurs when a country exports a product at a price lower than its normal value, often below the cost of production, to gain market share and harm domestic producers in the importing country.
3. Analyze the reasons for imposing tariffs: Tariffs can be used to retaliate against trade restrictions, increase government revenue, or protect domestic industries by making imported goods more expensive.
4. Evaluate the given options in the problem: The United States imposed tariffs on steel-producing countries not to encourage more imports or simply to increase revenue, but because it determined that these countries were dumping steel at unfairly low prices.
5. Conclude that the primary motivation for the tariffs was to counteract dumping, which is considered an unfair trade practice, thereby protecting domestic steel producers from unfair competition.