RESTRICTED
WORLD TRADE G/ADP/AHG/W/40
16April 1998
ORGANIZATION(98-1513)
Original: Spanish Committee onAnti-Dumping Practices
AdHocGroup onImplementation
TOPIC 6*-ARTICLE 6.2"HEARINGS"
TOPIC 1*-ARTICLE 6.5"TREATMENT OFCONFIDENTIAL INFORMATION"
TOPIC 7*-ARTICLE 6.9"PROVISION OFESSENTIAL FACTS"
Paper byArgentina
Thefollowingcommunication,dated6April1998,hasbeenreceivedfromthePermanentMission
ofArgentina.
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Comments byArgentina fortheAdHocGroup onImplementation
INTRODUCTION
Argentine legislation provides forprotection mechanisms against unfair trading practices in
Law24.425, which incorporates theUruguay Round Agreements intodomestic law,andDecree
No.2121/94.
Inthisconnection,theArgentineGovernmenthasintroducedabifurcatedsystemofinvestigation:
through Decree 766/94 itcreated theNational Commission forForeign Trade (CNCE), which is
responsible forexamining andregulating matters connected withthedetermination ofinjury todomestic
industry asaresult ofimports under conditions ofunfair competition, while theUndersecretariat for
Foreign Trade (SSCE) isresponsible forthedetermination ofdumping orsubsidies.
Finally, theDepartment ofIndustry, Trade andMining isthecompetent authority forinitiating
investigations andtheMinistry oftheEconomy andPublic Works andServices decides onthe
implementation ofprovisional ordefinitive measures andthetermination ofinvestigations.
A. Hearings
During thecourse ofaninvestigation andpriortothefinaldetermination ofinjury bytheBoard
oftheCNCE, Decree 766/94 (Article 18),inconformity withArticle 6.2oftheAgreement, provides
opportunities forconvening hearings withtheparticipation oftheinterested parties. Theprocedure
isregulated byResolution CNCE/DR/002/96.
*Seedocument G/ADP/W/401 fordescriptions oftopics.G/ADP/AHG/W/40
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Prior totheholding ofsuchhearings, thetechnical staffoftheCommission organizes meetings
withtheinterested parties inorder toexchange views ontheinvestigation, andprovides synoptic tables
ofthemain indicators tobediscussed during thehearing.
Thepurpose ofthehearings istoquestion theparties (domestic producers, importers and
exporters) onissues thatariseduring theproceedings toenable theparties toquestion orrebut the
information, dataandevidence submitted withrespect tothematter under investigation. Thequestion
ofwhether hearings aretobepublic ornotisdecided bytheCNCE when itconvenes them.
Thedecision bytheCNCE toconvene ahearing must include:
(a) Identification oftheinvestigation under way;
(b) nature ofthehearing;
(c) purpose;
(d) designation ofauthorities;
(e) date, timeandplace;
(f) prerequisites forattending andparticipating.
Accredited parties inthecasemustbenotified atleast15daysinadvance andinformed that
failure toappear willnotadversely affect thedefence oftheirinterests.
Theconvocation ismade atleast20daysinadvance, andispublished intheOfficial Journal
inaccordance withtheabove-mentioned content requirements.
Interested parties mustcommunicate theirintention toparticipate inthehearing atleastfour
daysinadvance,andmustestablishlegalpersonality(whereappropriate).Twodayspriortothehearing,
theinterested parties areinformed ofthetimeallotted fortheirstatements.
Thehearing isheldinthepresence oftheChairman oftheCNCE andatleasttwomembers
oftheBoard.
Upon conclusion ofthehearing, theparticipants signanofficial record containing:
(a) Alistoftheparties (registered inadvance andhaving established theiridentity and
legalpersonality);
(b) arecord ofeachofthestatements made;
(c) thetechnical means employed forrecording theofficial record, tobeincluded asan
annex totheofficial record inasealed envelope afteracopythereof hasbeenmade;
(d) thesignature oftheChairman andofallthose attending.
Theabove listisnotexhaustive, anddepends onthespecific characteristics ofeachhearing.G/ADP/AHG/W/40
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Itisimportant topoint outthatwhatever thenature ofthehearing (i.e.whether itispublic
ornot),theprovisions onconfidential information included inthefilemustbestrictly complied with.
Thepartieshaveaperiodoffiveworkingdaysfollowingtheconclusionofthehearingtoprovide,
inwriting, theinformation supplied orally during thehearing forsuchinformation tobetaken into
account inthefinaldetermination, andtopresent theirfinalcomments.
B. Confidential Information
During investigations ofinjury todomestic industry conducted before theCNCE inconnection
withapplications fortheintroduction ofanti-dumping andcountervailing duties andsafeguard measures,
anyparty submitting information whose disclosure theyconsider could beharmful orcould provide
acompetitor withasignificant advantage mayrequest confidential treatment.
B.1 Legal framework
Thelawsgoverning confidential treatment attheinternational andnational levels are:
- Agreement onImplementation ofArticle VIoftheGeneral Agreement onTariffs and
Trade 1994;
Articles 6.5,6.5.1 and6.5.2;
- Agreement onSubsidies andCountervailing Measures
Articles 12.4, 12.4.1 and12.4.2;
- Agreement onSafeguards
Articles 3.2
- Decree 2121/94
Articles 45and46
- Decree 1059/96
Articles 3,4,5and6
B.2 Requirements
Under theprovisions inforce, theapplication forconfidential treatment must include:
(a) Clearidentificationoftheinformationforwhichconfidentialityisrequestedbyindicating
"CONFIDENTIAL" intheupper right-hand corner ofeachpage;
(b) justification oftheneedforsuchtreatment;
(c) non-confidential summary permitting areasonable understanding ofthecontent ofthe
information supplied asconfidential, forinclusion inthefile.
Iftheinformation forwhich confidentiality hasbeenrequested cannot besummarized, thelaw
requires thattheapplicant should soindicate, explaining thereasons whythiscannot bedone.G/ADP/AHG/W/40
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B.3 Procedure
TheCNCE hasfiveworking daysfrom thedayfollowing thereceipt oftherequest for
confidentiality todecide whether ornottogrant suchtreatment, forwhich purpose itmustdetermine
whether thementioned requirements havebeenmet. Until confidential treatment hasbeengranted,
theinformation inquestion isremoved fromthefileandkeptinasealed envelope towhich onlythe
technical personnel assigned totheinvestigation haveaccess.
Should confidential treatment notbegranted, theparty thatsupplied theinformation may
withdraw itatanytime, inwhich casethesaidinformation cannot betaken intoaccount inthe
investigation.If,ontheotherhand,theapplicantwithdrawstherequest,theinformationmaybeincluded
inthefile.
Requests forconfidentiality aremade upon submission oftheinformation.
B.4 Confidential information inthetechnical reports anddeterminations oftheCNCE
Argentine legislation doesnotprovide forasystem ofaccess toconfidential information for
thelegalcounsel oftheparties. Suchinformation isavailable onlytothepartybywhich itwasfurnished
andtotheimplementing authority.
Thisiswhythenon-confidential summaries must provide asufficiently clear description of
thedocumentation which isinaccessible forreasons ofconfidentiality.
These non-confidential summaries areincluded inthefile.Thus, infilesinwhich confidential
information hasbeensupplied andused, therearetwoversions ofthetechnical report andoftheofficial
records containing thedeterminations: onethatisconfidential andisnotincluded inthefile,circulated
onlywithin theCNCE, andtheother thatisincluded inthepublic file,inwhich theconfidential
information isreplaced byasterisks.
B.5 Confidential information andhearings
TheCNCE isresponsible, inaccordance with alloftheconfidentiality provisions, for
safeguarding confidential information during thehearings conducted under itsauspices. Article 13
ofResolution 02/96 stipulates that: "The hearings, whatever theirnature, shallbeconducted instrict
compliance withtherulesconcerning confidential information contained inthefileoftheinvestigation
concerned. Thus, theCNCE mayonlyconsult summaries oftheconfidential information provided
bytheparties".
B.6 Information forwhich theCNCE generally grants confidential treatment ifsuchtreatment is
requested bytheparties
- Coststructure;
- listofcustomers;
- discounts andconditions ofpayment;
- determination oftheprice atthepoint ofsale;
- stocks;G/ADP/AHG/W/40
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- monthly sales;
- production processes.
C. Article 6.9"Provision ofEssential Facts"
C.1 Introduction
Article 6.9oftheAnti-Dumping Agreement stipulates that"Theauthorities shall, before afinal
determination ismade, inform allinterested parties oftheessential factsunder consideration which
formthebasisforthedecision whether toapply definitive measures. Suchdisclosure should takeplace
insufficient timefortheparties todefend theirinterests."
C.2 National Commission forForeign Trade (CNCE)
Throughout theinjury investigation, theinterested parties mayfollow theproceedings andmake
anycomments withrespect tothedocumentation pertaining tothecaseorfurnish anyevidence they
consider appropriate.
Similarly, thetechnical staffmayholdmeetings withtheparties inorder toexchange views
ontheproduct, itscharacteristics, itsapplications, etc.,thenational andinternational markets andany
other relevant matters.
During thefinalstage, before theCommission issues itsconclusion withrespect toinjury to
thedomestic industry, ahearing isheld.
Prior tothehearing, thetechnical staffoftheCommission meets withtheparties (producers,
importers andothers) andprovides them withsynoptic tables ofthemain economic indicators used
toassessdamagetotheindustry:production,sales,marketshare,installedcapacity,stocks,employment,
salaries, growth, investment, etc.,sothattheymayexamine thedata, make suchcomments asthey
deem appropriate andpresent theircounter-arguments astheyconsider necessary during thehearing.
Thepresentation ofthisessential datainthesynoptic tabledoesnotconstitute ananalysis ofthemerits
ofthecase, nordoesitanticipate thefinalconclusions oftheCommission, since theconclusions may
change inresponse tothesubmissions oftheparties during thehearing ortoadditional dataobtained
bytheimplementing authority.
Theparties aregiven amaximum offiveworking daysfollowing theconclusion ofthehearing
toprovide awritten version oftheiroralsubmissions made during thehearing andtomake theirfinal
comments onthecase.
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