RESTRICTED
WORLD TRADE G/ADP/Q1/EEC/13
G/SCM/Q1/EEC/13
ORGANIZATION 8April 1998
(98-1438)
Original: English Committee onAnti-Dumping Practices
Committee onSubsidies andCountervailing Measures
NOTIFICATION OFLAWS AND REGULATIONS UNDER
ARTICLES 18.5AND 32.6OFTHE AGREEMENTS
Questions from theUNITED STATES
totheEUROPEAN COMMUNITIES1
Thefollowingcommunication,dated6April1998,hasbeenreceivedfromthePermanentMission
oftheUnited States.
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1. Article 8(5)ofCouncil Regulation (EC)No.2026/97 of6October 1997onprotection against
subsidized imports from countries notmembers oftheEuropean Community (EC) (“theSubsidies
Regulation ”)listsseveral economic factors thattheECwillconsider inexamining theimpact of
subsidized imports ontheCommunity industry. Thefirstfactor listed is“thefactthatanindustry
isstillintheprocess ofrecovering from theeffects ofpastsubsidization ordumping. ”
(a) Thisfactor, unlike mostofthefactors listed inArticle 8(5)oftheSubsides Regulation,
isnotoneexpressly referenced inArticle 15.4oftheWTO Agreement onSubsidies
andCountervailing Measures (“SCM Agreement ”).What istheEC’srationale for
considering thisfactor, especially asitconcerns pastdumping?
(b) Would thisrationale alsosupport theEC’sexamination ofcurrent dumping asan
economic factor toconsider inexamining theimpact ofsubsidized imports onthe
Community industry? Does theECengage insuchanexamination?
2. HowdoestheECdefine theterm“interested parties ”usedinArticle 10(14) oftheSubsidies
Regulation? Subsequent provisions oftheSubsidies Regulation suggest divergent definitions ofthis
term. Forexample, Article 11(7) suggests thatthegovernment oftheexporting country, users, and
consumer organizations areconsidered “interested parties, ”butArticle 11(6) suggests thattheseentities
arenotconsidered “interested parties ”.
3. How doestheECimplement therequirement ofArticle 22.5oftheSCM Agreement thata
public notice ofconclusion ofaninvestigation inthecaseofanaffirmative determination contain or
makeavailablethroughaseparatereport,amongotherthings,“thereasonsfortheacceptanceorrejection
ofrelevant arguments orclaims made byinterested Members andbytheexporters andimporters ”?
1G/ADP/N/1/EEC/2 andG/SCM/N/1/EEC/2
./.G/ADP/Q1/EEC/13
G/SCM/Q1/EEC/13
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Article 24(2) oftheSubsidies Regulation doesnotexpressly require thatregulations imposing definitive
countervailing duties address sucharguments orclaims.
4. HowdoestheECimplement therequirement ofArticle 23oftheSCM Agreement concerning
theavailability ofjudicial review? TheSubsidies Regulation doesnotappear tocontain anyprovision
concerning review ofcountervailing dutydeterminations.
5. How doestheECconstrue theterm“essential factsandconsiderations ”usedinArticle 30
oftheSubsidies Regulation?
6. Howaretheprovisions ofArticle 30(3) oftheSubsidies Regulation, insofarastheyindicate
that“essential factsandconsiderations ”willbedisclosed toparties onlywhen theymake awritten
request ataspecific time, consistent withtherequirements ofArticle 12.8oftheSCM Agreement?
7. Howisinformation thatparties submit pursuant toArticle 31(2) oftheSubsidies Regulation
“made available totheother parties ”?Must these parties make arequest fortheinformation pursuant
toArticle 11(7) oftheSubsidies Regulation?
UndertakingsArticle13oftheEURegulation(CVD)addressesundertakingstoterminateinvestigations.
Article 13.5requires theinvestigation tobeterminated ifthere isnoobjection bytheAdvisory
Committee; however, Article 13.6states thattheEUwillnormally complete aninvestigation after
anundertaking isaccepted, andthattheundertaking shalllapse ifthere isanegative determination
ofdumping orinjury.
8. Please explain howArticles 13.5and13.6operate together. Ifanundertaking isaccepted by
theEU,isthepresumption thattheinvestigation willbeterminated orthatitwillbecompleted?
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