RESTRICTEDWORLD TRADE
ORGANIZATIONG/ADP/Q1/TUR/3
G/SCM/Q1/TUR/3
16 October 2000
(00-4252)
Committee on Anti-Dumping Practices
Committee on Subsidies and Countervailing MeasuresOriginal:  English
NOTIFICATION OF LAWS AND REGULATIONS UNDER
ARTICLES 18.5 AND 32.6 OF THE AGREEMENTS
Questions Posed by the UNITED STATES
Regarding the Notification of TURKEY1
The following communication, dated 13 October 2000, has been received from the Permanent
Mission of the United States.
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1. Turkey’s notification includes three documents: (1) Law No. 3577 on the Prevention of
Unfair Competition in Imports (“Unfair Competition Law”); (2) Decree on the Prevention of UnfairCompetition in Imports (“Unfair Competition Decree”); and (3) Regulation on the Prevention of
Unfair Competition in Imports (“Unfair Competition Regulation”).  Please describe the relative status
of the Unfair Competition Law, Unfair Competition Decree, and Unfair Competition Regulation
under the Turkish legal system?  Are the Unfair Competition Law, Unfair Competition Decree, and
Unfair Competition Regulation all binding upon the Turkish anti-dumping and countervailing duty
authorities?  In the event of a conflict, which document(s) prevail(s)?
2. Article 15 of Law 3577, as amended, states that the “provisions of the Agreement on
Implementation of Article VI of GATT 1994 and Agreement on Subsidies and Countervailing
Measures shall be followed in cases where this Law does not contain any relevant provision.”
(a) For those provisions contained in Article VI of GATT 1994, but not expressed in the
Law, Decree, or Regulation, please clarify under what legal authority Turkey will
fulfil its obligations.
(b) As an example, neither the Law, Decree, nor Regulation provide for judicial review,
as required under Article 13 of the AD Agreement and Article 23 of the SCMAgreement.  Please clarify how Turkey will satisfy the requirements set forth in these
provisions of the Agreements.
3. Addendum 1 to the Unfair Competition Law provides several grounds for termination of an
anti-dumping or countervailing duty investigation by  the Board of Evaluation of Unfair Competition
in Imports.  One such grounds
 is “where the complaint has become futile”.  Can Turkey explain the
meaning of this provision?
4. The first paragraph of Article 6 of the Unfair Competition Decree, concerning imposition of
retroactive duties in anti-dumping investigations, states that retroactive duties are to be imposed only
                                                     
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when, among other things, “the remedial effects of the definitive measure to be applied are
undermined by reason of dumped imports realized in a relatively short period of time and at a quantity
likely to cause injury.”
(a) Is this provision consistent with the requirement in Article 10.6(ii) of the AD
Agreement that the injury must be one that is likely to seriously  undermine the
remedial effect of the order?
(b) Is this provision consistent with the requirement in Article 10.6(ii) of the AD
Agreement that the injury must be one caused by “massive dumped imports”?
5. Does Turkey permit analysis of material injury on a regional industry basis, as authorized by
Article 4.1(ii) of the AD Agreement and Article 16.2 of the SCM Agreement?
6. Article 25 of the Unfair Competition Regulation states that its provisions requiring
information to be furnished to interested party representatives “shall only be applicable for the
documents to be provided by the parties to the investigation”.
(a) In their investigations, do the Turkish anti-dumping and countervailing duty
authorities generate factual information on their own, or do they rely exclusively on
information provided to them by parties to the investigation?
(b) If the Turkish anti-dumping and countervailing duty authorities generate factual
information on their own, how is the limitation in Article 25 on what information
shall be furnished to interested parties consis tent with the requirements of Articles 6.4
and 6.9 of the AD Agreement and Articles 12.3 and 12.8 of the SCM Agreement?
7. Does Turkey offer interested parties access to confidential information pursuant to the type of
protective orders discussed in footnote 17 to Article 6.5 of the AD Agreement and footnote 42 to
Article 12.4 of the SCM Agreement?
8. Article 25 of the Regulation permits parties to the proceeding only to have access to non-
confidential documents, and expressly prohibits  parties from obtaining or examining documents
“prepared by the Directorate General for internal purposes”.  Please clarify the meaning of the term
“for internal purposes” and explain the general parameters of the prohibition against access to such
information.  In particular, please clarify whether the prohibition would include any document
generated by the Directorate General in conducting any relevant investigation or review under Article
VI of the GATT 1994.
9. Article 31 of the Unfair Competition Regulation states that notices to initiate anti-dumping or
countervailing duty investigations and to undertake provisional or definitive measures will “contain
information on the product concerned, exporting country, the country of export or origin, and due
regard being paid to the confidentiality, findings  and determinations reached in the investigation.”
(a) Does this mean that the Turkish authorities issue some “findings” or “determinations”
in addition to what is published in the notice?  If so, are there any requirements as to
the contents of such findings or determinations?
(b) With respect to initiation notices, how does Article 31 satisfy the requirements of
paragraphs (iii) and (iv) of Article 12.1.1 of the AD Agreement and paragraphs (iii)
and (iv) of Article 22.2 of the SCM Agreement?G/ADP/Q1/TUR/3
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(c) With respect to notices of imposition of provisional duties, how does Article 31
satisfy the requirements of Article 12.2.1 of the AD Agreement and Article 22.4 of
the SCM Agreement, particularly with re spect to the requirement that the notice
contains “sufficiently detailed explanation for the preliminary determinations on theexistence of [subsidy or dumping] and injury?”
(d) With respect to notices of imposition of definitive measures, how does Article 31
satisfy the requirements of Article 12.2.2 of the AD Agreement and Article 22.5 of
the SCM Agreement, particularly with re spect to the requirement that the notice
contain “all relevant information on the matters of fact and law and reasons which
have led to the impositions
 of final measures” and the reasons for the acceptance or
rejection of relevant arguments or claims made by the exporters and importers?
10. Please clarify what procedures Turkey contemplates to satisfy its obligation under Article
6.1.3 of the Agreement to provide “the full text of the written application” to the known exporters.
11. Please clarify how normal value under Article 2e(2) of Law No. 3577, as amended by Law
No. 4412, will be calculated.  Article 2e(2) states that “[w]hen there are no sales of the like product in
the domestic market . . or where such sales do not permit a proper comparison, normal value shall be
... the price calculated on the basis of cost of production ... plus a reasonable amount for profit”.  By
contrast, Article 2.2 of the Agreement also requires the addition of a “reasonable amount foradministrative, selling, and general costs”.  While the requirement to include an amount for
administrative, selling, and general costs is contained in the Regulation at Article 19(c), it is not
contained in the Law,
 or the Decree.  Moreover, the Regulation elsewhere refers only to profit, but not
to administrative, selling, and general costs.  See the Regulation at Article 5.  Please clarify whether,
in situations addressed by Article 2e(2), Turkey will include an amount for administrative, selling, and
general costs.
12. Please clarify whether Turkey’s law provides for a determination of an individual margin of
dumping for each known exporter or producer as provided under Article 6.10 of the AD Agreement.
13. Please clarify whether, in determining normal value, Article 5 of the Regulation establishes a
preference for a price based upon cost of production ( i.e., constructed value) over a price based upon
sales to third-country markets.
14. Please clarify under what circumstances the Directorate General would initiate an
examination ex officio  under Article 4 of Law No. 3577 and Article 20 of the Regulation.
15. Please clarify the term “registration” as referenced in Article 11 of the Decree concerning the
prevention of circumvention.
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