WORLD TRADE  
ORGANIZATION  G/SCM/N/1/CHN/1/Suppl.3
20 October 2004 
 (04-4454) 
Committee on Subsidies  
and Countervailing Measures Original:   English 
 
 
 
NOTIFICATION OF LAWS AND REGULATIONS UNDER 
ARTICLE 32.6 OF THE AGREEMENT 
 
PEOPLE'S REPUBLIC OF CHINA 
 
Supplement  
   The following communication, dated 18 October 2004, is being circulated at the request of 
the Delegation of the People's Republic of China. 
 
_______________ 
 
  With reference to Article 32.6 of the Agre ement on Subsidies and Countervailing Measures, I 
have the honour to notify the Committee on Subs idies and Countervailing Measures the following 
regulations:  Regulations of the People's Repub lic of China on Countervailing Measures - English 
translation, which is authentic only in Chinese,  is attached for reference by WTO Members. G/SCM/N/1/CHN/1/Suppl.3 
Page 2  
 
 Regulations of the People’s Republic  of China on Countervailing Measures 
 
(Promulgated by Decree No. 329 of the State Council of the People’s Republic of China on 
26 November 2001, and revised in accordance with  the Decision of the State Council on Amending 
the Regulations of the People’s Republic of China on Countervailing Measures promulgated on 
31 March 2004) 
 
Chapter I General Provisions 
 
 Article 1   These Regulations are formulated in accordance with the relevant provisions of the 
Foreign Trade Law of the People’s Republic of Chin a for the purpose of maintaining the foreign trade 
order and fair competition.   Article 2   Where an import to which a subsidy is granted causes material injury or threat of 
material injury to an established domestic industry,  or causes material retardation of the establishment 
of such an industry, a countervailing investiga tion shall be initiated a nd countervailing measures 
applied in accordance with the provisions of these Regulations.  
Chapter II Subsidy and Injury 
 
 Article 3   The term “subsidy” means a financial cont ribution or any form of income or price 
support which is provided by the government or any public body of an exporting country (region) and 
which will benefit the recipients.   The government or any public body of an  exporting country (region) is hereinafter 
collectively referred to as the government of an exporting country (region). 
 
 The term “financial contribution” in Pa ragraph 1 of this Article shall include: 
 (1) the government of an exporting country (region) di rectly provides funds in the form of grants, 
loans, or equity infusion, etc., or potentially di rectly transfers funds or liabilities in the form 
of loan guarantees or otherwise; 
(2) the government of an exporting country (region) forgoes or does not collect revenue that is 
otherwise due; 
(3) the government of an exporting country (region)  provides goods or services other than general 
infrastructure, or purchases goods; and 
(4) the government of an exporting country (region)  carries out the above-mentioned functions by 
making payments to a funding mechanism, or entr usts or directs a private body to carry out 
the above-mentioned functions. 
  Article 4   A subsidy subject to countervailing in vestigation and countervailing measures 
under these Regulations must be specific.  
 A subsidy falling under one of the fo llowing circumstances shall be specific: 
 (1) the subsidy received by certain enterprises  or industries explicitly specified by the 
government of an exporting country (region);    
(2) the subsidy received by certain enterprises or industries explicitly provided for in laws and 
regulations of an exporting country (region); 
(3) the subsidy received by enterprises or industries located within a designated specific area; 
(4) the subsidy contingent upon export performance, including any of those illustrated in the List 
of Export Subsidies annexed to these Regulations; or  
(5) the subsidy contingent upon the use of domestic over imports.  G/SCM/N/1/CHN/1/Suppl.3 
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  In determining the specificity of a subsidy,  such factors as the number of subsidized 
enterprises, the amount, proportion, length of time, and form of the subsidy received by enterprises 
shall also be considered.   Article 5   The Ministry of Commerce shall be responsible for the investigation and 
determination of a subsidy. 
  Article 6   The amount of a subsidy to an import sh all be calculated according to the following 
methods by distinguishing among differing cases:  
(1) where the subsidy is granted in the form of a grant, the amount of the subsidy shall be 
calculated on the basis of the actual amount received by an enterprise;     
(2) where the subsidy is granted in the form of a loan, the amount of the subsidy shall be 
calculated on the basis of the difference between  the amount of interest an enterprise should 
pay on a loan in the ordinary commercial lo an conditions and the amount of interest the 
enterprise pays on this loan;        
(3) where the subsidy is granted in the form of a loan guarantee, the amount of the subsidy shall 
be calculated on the basis of the difference be tween the amount of interest an enterprise 
should pay on a commercial loan without such guarantee and the amount of interest the enterprise actually pays on a loan guaranteed;       
(4) where the subsidy is granted in the form of an equity infusion, the amount of the subsidy shall 
be calculated on the basis of the actual amount of  the capital an enterprise receives;       
(5) where the subsidy is granted in the form of th e provision of goods or services, the amount of 
the subsidy shall be calculated on the basis of th e difference between the price of the goods or 
services at normal market price and the price that an enterprise actually pays; 
(6) where the subsidy is granted in the form of purchase of goods, the amount of the subsidy shall 
be calculated on the basis of the difference betw een the actual price the government pays and 
the normal market price of the goods; and 
(7) where the subsidy is granted in the form of fo rgoing or not collecting due revenue, the amount 
of the subsidy shall be calculated on the basi s of the difference between the amount payable 
under law and the actual amount an enterprise pays. 
 
 The amount of subsidies granted in forms ot her than those enumerated in the preceding 
paragraph shall be calculated in a fair and reasonable way.   Article 7   The term “injury” means material injury or threat of material injury caused by a 
subsidy to an established domestic industry or mate rial retardation of the establishment of such a 
domestic industry. 
  The Ministry of Commerce shall be responsible  for the investigation and determination of 
injury. The countervailing investigation of inju ry to a domestic industry involving agricultural 
products shall be conducted by the Ministry of Comme rce jointly with the Ministry of Agriculture.  
 
 Article 8   The following factors shall be examined in  the determination of injury caused by a 
subsidy to a domestic industry:  (1) the effects on trade likely to arise from the subsidy; 
(2) whether the volume of subsidized imports, incl uding the volume of subsidized imports either 
in absolute terms or relative to the producti on or consumption of a like domestic product, has 
been increasing significantly, or the possibility of a significant increase in subsidized imports; 
(3) the effects of subsidized imports on prices, including the price undercutting by the subsidized 
imports, or the significant suppressing or depressi ng effects on the price of a like domestic 
product, etc.; G/SCM/N/1/CHN/1/Suppl.3 
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 (4) the consequent impact of the subsidized impor ts on the relevant economic factors and indices 
of the domestic industry; 
(5) the production capacity or export capacity of the exporting country (region) or the country 
(region) of origin, and inventories of  the product under investigation; and 
(6) other factors that may cause or have caused injury to a domestic industry. 
 
 The determination of a threat of material in jury shall be based on facts and not merely on 
allegation, conjecture or remote possibility.   When determining the injury caused by a subsid y to a domestic industry, the determination 
shall be based on positive evidence, and the injuries ca used by factors other than subsidy must not be 
attributed to the subsidy.   Article 9   Where the subsidized imports from more than one country (region) simultaneously 
satisfy the following requirements, the effects of such subsidized imports on a domestic industry may 
be cumulatively assessed: 
 (1) the amount of subsidization established in re lation to the subsidized imports from each 
country (region) is not de minimis , and the volume of such imports from each country is not 
negligible; and 
(2) a cumulative assessment of the effects of the subsidized imports is appropriate in light of the 
conditions of competition between the subsidi zed imports and the conditions of competition 
between the subsidized imports and the like domestic product. 
  A subsidy is  de minimis  if the amount of the subsidy is less than one per cent of the value of a 
product; however, with respect to the subsidized  imports from a developing country (region), the 
subsidy is de minimis  if the amount of the subsidy is less than  two per cent of the value of a product. 
  Article 10   The effect of the subsidized imports shall be assessed in relation to the separate 
identification of the domestic production of the like product. If such separate identification of that 
production is not possible, the effect of the subsidi zed imports shall be assessed by the examination of 
the production of the narrowest group or range of  products, including the like domestic product. 
 
 Article 11   The term “domestic industry” means th e domestic producers as a whole of the like 
products within the People’s Republic of China or  those of them whose collective output of the 
products constitutes a major proportion of the tota l production of those products, except that when 
domestic producers are related to the exporters or  importers or are themselves importers of the 
subsidized products or like products. 
  In exceptional circumstances, the producers within a regional domestic market may be 
regarded as a separate industry if the producers within such market sell all or almost all of the like 
products in that market, and the demand in that ma rket is not to any subs tantial degree supplied by 
domestic producers of the like products  located in other domestic regions. 
 
 Article 12   The term “like product” means the produc t that is identical to the subsidized 
import, or in the absence of such a product, anot her product that has charact eristics closely resembling 
the subsidized import.  
Chapter III Countervailing Investigation 
 
 Article 13   Any domestic industry, natural person, legal person or rele vant organization on 
behalf of the domestic industry (hereinafter collect ively referred to as “the applicant”) may make a  G/SCM/N/1/CHN/1/Suppl.3 
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 written application to the Ministry of Commerce fo r a countervailing investigation in accordance with 
the provisions of these Regulations.   Article 14   The application shall contain the following information: 
 
(1) the name, address and relevant information of the applicant;  
(2) a complete description of the import in questio n, including the name of the product, the 
exporting country (region) or the country (region)  of origin concerned, and the identity of 
known exporters or producers, etc.; 
(3) a description of the volume and value of  domestic production of the like product; 
(4) the effect of the volume and price of the im port in question on the domestic industry; and 
(5) other information that the appli cant considers necessary to provide. 
  Article 15   The application shall be sup ported by the following evidence: 
 
(1) existence of a subsidy to the import in question; 
(2) injury caused to a domestic industry; and 
(3) existence of a causal link between  the subsidy and the injury. 
  Article 16   The Ministry of Commerce shall, within 60 days from the date of receipt of the 
application and relevant evidence submitted by the applicant, examine whether the application is 
made by or on behalf of the domestic industry, th e contents of the application and the evidence 
attached thereto, and shall decide whether or not to initiate an investigation. In special circumstances, 
the examination period may be extended.  
 Prior to the decision to initiate an investigation, the government of the country (region) the 
product of which may be subject to such investiga tion shall be invited for consultation regarding the 
subsidy in question.   Article 17   An application shall be considered to have been made by or on behalf of the 
domestic industry and a countervailing investigation ma y be initiated, if the application is supported 
by those domestic producers whose collective output  constitutes more than 50 per cent of the total 
production of the like product produced by that portion of the domestic industry expressing either 
support for or opposition to the application. Howeve r, no investigation shall be initiated when the 
output of those domestic producers expressly supporting the application accounts for less than 25 per cent of total production of the like domestic product. 
 
 Article 18   If, in special circumstances, the Mini stry of Commerce decides to initiate an 
investigation without having received any written a pplication for a countervailing investigation, it 
shall proceed only if it has sufficient evidence of the existence of a subsidy, injury and causal link to 
justify the initiation of an investigation.  
 Article 19   The Ministry of Commerce shall publish the decision to initiate an investigation 
and notify the applicant, the known exporters, impor ters and other interested organizations and 
individuals (hereinafter collectively referred to as “t he interested parties”), and the government of the 
exporting country (region).  
 As soon as the decision to initiate an investigation is published, the Ministry of Commerce 
shall provide the full text of the written applicati on to the known exporters and the government of the 
exporting country (region).  G/SCM/N/1/CHN/1/Suppl.3 
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  Article 20   The Ministry of Commerce may conduct investigation and collect information 
from the interested parties by, among others, sendi ng questionnaires, using samples, holding public 
hearings and making on-the-spot verification.   The Ministry of Commerce shall provide oppor tunities for the interested parties and the 
government of an interested country (region) to present their views and supporting arguments. 
  The Ministry of Commerce may send its staff members to the country (region) concerned to 
carry out investigation if it deems necessary to do  so, unless the country (region) concerned object to 
such an investigation. 
 
 Article 21   The interested parties and the government of an interested country (region) shall 
provide authentic information and relevant documenta tion to the Ministry of Commerce in the process 
of the investigation. In the event that any interested party or the government of any interested country 
(region) does not provide authentic information a nd relevant documentation, or does not provide 
necessary information within a reasonable time lim it, or significantly impedes the investigation in 
other ways, the Ministry of Commerce may make determ inations on the basis of the facts available.   
  Article 22   The interested parties and the government  of an interested country (region) may 
request the Ministry of Commerce to treat the in formation they provide as confidential if they 
consider that any disclosure of such inform ation would create significantly adverse effect. 
 
 The Ministry of Commerce shall treat the info rmation provided by the interested parties and 
the government of the interested country (region) as confidential if it considers that the request for 
confidentiality is justifiable, and shall require the interested parties and the government of the 
interested country (region) to provid e non-confidential summaries thereof.  
 
 No confidential information shall be disclosed  without permission of the interested parties 
and the government of the interested country (region) providing it.   Article 23   The Ministry of Commerce shall allow the applicant, the interested parties and the 
government of an interested country (region) to have access to the information relevant to the 
investigation, provided that the information is not treated as confidential. 
  Article 24   Throughout the period of an investigation, the government of the country (region) 
the products of which are the subject of the investig ation shall be afforded a reasonable opportunity to 
continue consultations. The consultations sha ll not prevent the Ministry of Commerce from 
conducting investigations and adopt ing countervailing measures in accordance with the provisions of 
these Regulations.   Article 25   The Ministry of Commerce shall, on the basis of its findings, make a preliminary 
determination on subsidization a nd injury, as well as on whether there exists a causal link between 
subsidization and injury. The preliminary determ ination shall be published by the Ministry of 
Commerce.   
  Article 26   In cases where a preliminary determinatio n on subsidization, injury and the causal 
link between the two is affirmative, the Ministry of Commerce shall conduct further investigations on 
the subsidization and its amount, the injury and its degree, and, on the basis of its findings, make a 
final determination. The final determination sh all be published by the Ministry of Commerce. 
  Before the final determination is made, th e Ministry of Commerce shall inform all known 
interested parties and the government of the inter ested country (region) of the essential facts on which 
the final determination is based.  G/SCM/N/1/CHN/1/Suppl.3 
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  Article 27   A countervailing investigation shall be co ncluded within 12 months from the date 
of publication of the decision to initiate the investig ation, and such period may be extended in special 
circumstances, but in no case shall the extension be more than six months.   Article 28   In any one of the following circumstan ces, a countervailing investigation shall be 
terminated and such termination shall be published by the Ministry of Commerce: 
 (1) the application has been withdrawn by the applicant; 
(2) there is no sufficient evidence of  the existence of a subsidy, injury or causal link between 
them; 
(3) the amount of the subsidy is de minimis ; 
(4) the actual or potential volume of the subsidized imports or the injury is negligible; 
(5) an agreement has been reached with the govern ment of the country (region) concerned after 
consultations, and therefore the countervaili ng investigation is no longer necessary; or 
(6) other circumstances that the Ministry of Commerce considers not appropriate to continue the 
countervailing investigation. 
  If the product under investigation imported from one  or some of the countries (regions) falls 
into one of the circumstances set forth in Item (2),  (3), (4) or (5) of the preceding paragraph, the 
countervailing investigation on such  product shall be terminated. 
 
Chapter IV Countervailing Measures 
 
Section 1 Provisional Measures 
  Article 29   Provisional countervailing measures may be applied if the preliminary 
determination establishes the existence of a subs idy and the injury caused by the subsidy to a 
domestic industry.   Provisional countervailing measures shall take the form of provisional countervailing duties 
guaranteed by deposits or bonds.  
 Article 30   The proposal applying provisional c ountervailing measures shall be put forward 
by the Ministry of Commerce, and, on the b asis of such a proposal, the State Council Tariff 
Commission shall make a decision which shall be published by the Ministry of Commerce.  The 
Customs shall implement the decision from the ef fective date set forth in the public notice. 
 
 Article 31   The period for applying provisional countervailing measures shall not exceed 
four months from the effective da te set forth in the public notice regarding the decision on provisional 
countervailing measures.   No provisional countervailing measures shall be  applied within 60 days from the date of 
publication of the decision to initiate  the countervailing investigation. 
 
Section 2 Undertakings 
  Article 32   During the period of a countervailing investigation, if the government of an 
exporting country (region) proposes an  undertaking to eliminate or limit a subsidy or take other 
relevant measures, or if an exporter proposes an un dertaking to revise its prices, the Ministry of 
Commerce shall give it full consideration.   The Ministry of Commerce may suggest price undertakings to an exporter or the government 
of the exporting country (region). G/SCM/N/1/CHN/1/Suppl.3 
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  The Ministry of Commerce shall not force an exporter to enter into any undertaking. 
  Article 33   The fact that an exporter or the government of an exporting country (region) does 
not offer undertakings, or does not accept any sugg estion regarding price undertakings, shall in no 
way prejudice the investigation and determina tion of a countervailing case. The Ministry of 
Commerce has the right to determine that a threat of injury is more likely to be realized if the exporter 
continues subsidizing the imports.   Article 34   If considering that an undertaking is acceptable and in the public interest, the 
Ministry of Commerce may decide to suspend or terminate the countervailing investigation without 
applying provisional countervailing measures or  imposing countervailing duties. The decision to 
suspend or terminate the countervailing investig ation shall be published by the Ministry of 
Commerce. 
 
 If the Ministry of Commerce does not accept an undertaking, it shall provide the reasons 
therefore to the exporter concerned.  
 Undertakings shall not be sought or accepte d unless the Ministry of Commerce has made a 
preliminary affirmative determination of subsidizati on and injury caused by such subsidization.  In 
cases where an exporter enters into an undertaking without consent of the government of its own 
country (region), the Ministry of Commerce sha ll not seek or accept such an undertaking. 
  Article 35   After the suspension or termination of an investigation according to the provisions 
of Paragraph 1, Article 34 of these Regulations, the Ministry of Commerce shall continue the 
investigation of subsidization and injury upon the re quest of the government of an exporting country 
(region), or may do so if it deems necessary. 
 
 On the basis of the findings of  the investigation, the undertaki ng shall automatically lapse if a 
negative determination is ma de on subsidization or injury, or shall remain in force if the determination 
on both subsidization and injury is affirmative. 
 
 Article 36   The Ministry of Commerce may require the exporter or the government of an 
exporting country (region) from whom an undertak ing has been accepted to provide periodically 
information and documentation relevant to the fu lfilment of such an undertaking, and make 
verification on such information and documentation. 
  Article 37   In case of violation of an undertaking, the Ministry of Commerce may decide to 
resume the countervailing investigation immediat ely in accordance with the provisions of these 
Regulations, or, on the basis of the best information available, decide to apply provisional countervailing measures and levy c ountervailing duties retroactively on products imported not more 
than 90 days prior to the application of such pr ovisional countervailing measures, except the products 
imported before the violation of the undertaking.   
Section 3 Countervailing Duties 
  Article 38  If the efforts made to complete consu ltations produce no positive results, and a 
final determination establishes the existence of subs idy and injury caused by the subsidy to a domestic 
industry, a countervailing duty may be imposed. Imposition and collection of countervailing duties 
shall be in the public interest. 
  Article 39   The proposal imposing a countervailing duty shall be put forward by the Ministry 
of Commerce, and, on the basis of such a proposal , the State Council Tariff Commission shall make a  G/SCM/N/1/CHN/1/Suppl.3 
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 decision which shall be published by the Ministry  of Commerce. The Customs shall implement the 
decision from the effective date set  forth in the public notice. 
  Article 40   Countervailing duties shall be imposed on  products imported afte r the date of the 
publication of the final determination, with the exce ption of circumstances set forth in Articles 37, 44 
and 45 of these Regulations. 
  Article 41   Countervailing duties shall be paid by importers of subsidized imports. 
  Article 42   Countervailing duties shall be determined  separately on the basis of the amount of 
subsidy each exporter has received. Where it is necessary to impose a countervailing duty on the 
subsidized imports of an exporter who has not been actually investigated, an expedited review shall be 
conducted and a countervailing duty applicable to th e exporter shall be determined in a reasonable 
way.  
 Article 43   No countervailing duties shall be levied in excess of the amount of a subsidy 
established in a final determination.   Article 44   In cases where a final determination estab lishes the existence of a material injury, 
and provisional countervailing measures have been  applied prior to the final determination, 
countervailing duties may be levied retroactiv ely for the period during which provisional 
countervailing measures have been applied. 
  In cases where a final determination establishes the existence of a threat of material injury, 
and provisional countervailing measur es have been applied in the s ituation that the absence of such 
provisional countervailing measures would have led to a determin ation of material injury, 
countervailing duties may be levied retroactiv ely for the period during which provisional 
countervailing measures have been applied.   If the countervailing duty determined in a fi nal determination is higher than the amount 
guaranteed by the deposits or bonds, the difference sha ll not be collected; if the duty is less than the 
amount guaranteed by the deposits or bonds , the excess amount shall be refunded. 
 
 Article 45   When the following three circumstan ces exist simultaneously, a countervailing 
duty may, if necessary, be retroactively levied on products imported not more than 90 days prior to 
the date of application of provisional countervailing measures: 
 
(1) the subsidized imports increase massively during a short period of time; 
(2) such increase has caused injury that is difficult to repair to a domestic industry; and 
(3) such products have benefited from the subsidy. 
 
 Article 46   Where a final determination decides not to levy a countervailing duty, or does not 
decide a retroactive levy of a countervailing dut y, any deposits made during the period of the 
application of provisional countervailing measur es shall be refunded a nd any bonds released. 
 
Chapter V Duration and Review of Countervailing Duties and Undertakings 
 
 Article 47   The period for the levy of a counterva iling duty and fulfilment of an undertaking 
shall not exceed five years. Ho wever, the period for the levy of the countervailing duty may be 
extended as appropriate if, as a result of review, it is determined that the termination of the countervailing duty would be likely to lead to conti nuation or recurrence of subsidization and injury. 
 G/SCM/N/1/CHN/1/Suppl.3 
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  Article 48   After a countervailing duty has taken effect, the Ministry of Commerce may 
decide on justifiable grounds to review the need  for the continued imposition of the countervailing 
duty; such a review may also be conducted, prov ided that a reasonable period of time has elapsed, 
upon request by the interested parties and on the basis of examination of the relevant evidence 
submitted by the interested parties. 
 
 After an undertaking has taken effect, the Mi nistry of Commerce may, on justifiable grounds, 
decide to review the need for the continued fulfilmen t of the undertaking; such a review may also be 
conducted, provided that a reasonabl e period of time has elapsed, upon request by the interested 
parties and on the basis of examination of the rele vant evidence submitted by the interested parties. 
 
 Article 49   On the basis of the findings of a review, the Ministry of Commerce shall, in 
accordance with the provisions of these Regulations , make a proposal on the retention, revision, or 
termination of a countervailing duty, and the State Council Tariff Commission shall, in light of the 
proposal made by the Ministry of Commerce, ma ke a decision which shall be published by the 
Ministry of Commerce. Meanwhile, the Ministry of  Commerce may make a decision on the retention, 
revision or termination of an unde rtaking and publish such decision in accordance with the provisions 
of these Regulations.   Article 50   The review proceedings shall be con ducted with reference to the relevant 
provisions of these Regulations on countervailing investigation. 
 
 Any review shall be concluded w ithin 12 months of the date of decision of initiation of such a 
review.   Article 51   During the period of review, the revi ew proceedings shall not impede the 
application of countervailing measures. 
 
Chapter VI Supplementary Provisions 
 
 Article 52  Where any party is not satisfied with a final determination ma de under Article 26 
of these Regulations, or not satisfied with a deci sion on whether or not to impose a countervailing 
duty or a decision on retroactive imposition of a dut y, which is made under Chapter IV of these 
Regulations, or not satisfied with the review fi ndings made under Chapter V of these Regulations, it 
may, in accordance with the law, apply for administ rative reconsideration or file a lawsuit in the 
people’s court.  
 Article 53   A public notice issued under these Regulations shall contain, inter alia , important 
information, facts, reasons, basis, findings and conclusions, etc.   Article 54   The Ministry of Commerce may take appropriate measures to prevent the 
circumvention of countervailing measures.  
 Article 55   Where any country (region) discriminatorily applies countervailing measures on 
the exports from the People’s Republic of China, th e People’s Republic of China may, on the basis of 
the actual situations, take corresponding measures against that country (region). 
  Article 56   The Ministry of Commerce shall be resp onsible for foreign-related consultation, 
notification and dispute settlement concerning countervailing activities. 
  Article 57   The Ministry of Commerce may, in accordance with these Regulations, formulate 
specific implementing measures.  G/SCM/N/1/CHN/1/Suppl.3 
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  Article 58   These Regulations shall be effective as  of 1 January 2002.  The provisions on 
countervailing measures contained in the Regula tions of the People’s Republic of China on  
Anti-dumping and Anti-subsidy promulgated by the State Council on 25 March 1997 shall be 
repealed simultaneously.  
Annex 
 
List of Export Subsidies 
 1. The provision of direct subsidies by the government of an exporting country (region) to an 
enterprise or industry contingent upon export performance. 
2. Foreign currency retention schemes or any similar practices which involve a bonus on 
exports. 
3. Internal transport or freight charges on exports , provided for or approved by the government 
of an exporting country (region), on term s more favourable than for domestic goods. 
4. The provision of goods or services by the govern ment of an exporting country (region) either 
directly or indirectly to the production of exports, on terms more favourable than for provision of like 
goods or services to the production of domes tic goods, except for special circumstances. 
5. The full or partial remission, exemption or deferral of direct taxes or social welfare charges 
specifically related to exports which have been paid or are payable by enterprises. 
6. The deductions directly related to exports or export performance, over and above those 
granted in respect to domestic production, in the calculation of the base on which direct taxes are 
charged. 
7. The remission, exemption or reimbursement, in  respect of the production and distribution of 
exports, of indirect taxes in excess of those levied in respect of the productio n and distribution of like 
domestic products. 
8. The remission, exemption, reimbursement or defe rral of prior-stage cumulative indirect taxes 
on goods or services used in the production of e xports in excess of the remission, exemption, 
reimbursement or deferral of like prior-stage cumu lative indirect taxes on goods or services used in 
the production of like domestic product, except for special circumstances. 
9. The remission, exemption or reimbursement of import charges on imported inputs for the 
production of exports in excess of those levied on such inputs when they are imported, except for 
special circumstances.  
10. The provision by the government of an exporti ng country (region) of export credit guarantee 
or insurance programmes, of insurance or guaran tee programmes against increases in the cost of 
exported products or of exchange  risk programmes at premium rates which are inadequate to cover 
the long-term operating costs and losses of the programmes. 
11. The grant by the government of an exporting country (region) of export credits at rates below 
those which are actually paid for the employment of such funds, or the payment by it of all or part of the costs incurred by exporters or financial instituti ons in obtaining credits, in order that that could 
attain advantages in the field of export cr edits terms, except for special circumstances. 
12. Any other charges on the public acc ount constituting an export subsidy. 
 
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