G/SCM/N/1/BRA/2/Suppl.22  
 
5 August 2022  
(22-5850) Page: 1/38 
Committee on Subsidies and Countervailing Measures  Original: English  
 
NOTIFICATION OF LAWS AND REGULATIONS UNDER  
ARTICLE 32.6 OF THE AGREEMENT  
BRAZIL 
Supplement  
The following notification, dated and received on 2 9 July 2022, is being circulated at the request of 
the delegation of Brazil.  
 
 
_______________  
FEDERAL OFFICIAL GAZETTE  
Published: 19 October, 2021 | Issue: 197 | Section: 1 | Page: 25  
Department: Acts of the Executive Power  
DECREE NO. 10839 , OF 18 OCTOBER 2021  
Regulates the administrative procedures relating to 
the investigation of subsidies and the application of 
countervailing measures.  
THE PRESIDENT OF THE REPUBLIC, in the exercise of the duties and powers conferred 
by article  84, subparagraphs IV and VI, of the Brazilian Federal Constitution , and taking into account 
the provisions of the Agreement on Subsidies and Countervailing Me asures, the Agreement on 
Agriculture and the General Agreement on Tariffs and Trade – GATT/1994, approved 
by Legislative  Decree No. 30, of 15 Dece mber, 1994 , and enacted by Decree No. 1.355, of 
30 December, 1994 , and of Law No. 9.019, of 30 March, 1995 , under the section governing the 
application of the measures provided for in the Agreement on Subsidies and Countervailing 
Measures,  
HEREBY DECREES:  
Article 1 This Decree regulates the administrative procedures relating to the investigation of 
subsidies and the application of countervailing measures.  
CHAPTER I  
PRINCIPLES AND ATTRIBUTIONS  
Article 2. Countervailing measures may be applied when imports subject to direct or indirect 
subsidies cause injury to the domestic industry.  
Paragraph 1 The co untervailing measures referred to in the Caput will be applied pursuant to 
investigations initiated and conducted in accordance with the provisions of this Decree.  
Paragraph 2 No imported product shall be simultaneously subject to an anti -dumping duty 
and a countervailing measure to neutralize the same situation of dumping or export subsidy.  G/SCM/N/1/BRA/2/Suppl.22  
 
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  Article 3 Based on the recommendations of SDCOM, the Chamber of Foreign Trade shall render 
decisions on:  
I - applying or extending the duration of provisional or defini tive countervailing measures;  
II - accepting or extending the duration of price undertakings;  
III - the retroactive collection of definitive countervailing duties;  
IV - extending the scope of definitive countervailing duties;  
V - the form of application of  countervailing duties  and their alterations;  
VI - suspending investigations against producers or exporters for which price undertakings 
have been accepted, pursuant to the provisions of article 63; and  
VII - suspending the imposition of countervailing duties in the case provided for in article 106.  
Article 4 Under exceptional circumstances, the Chamber of Foreign Trade may, for reasons of 
public interest:  
I - suspend the enforcement of a definitive countervailing duty or undertaking in fo rce; 
II - not impose provisional countervailing measures; or  
III - accept an undertaking or apply a definitive countervailing duty in an amount other than 
that recommended, subject to Paragraph 4 of article 63 and the Caput of article 74.  
Paragraph 1 In th e cases provided for in subparagraphs I and III of the Caput , if the act of 
suspension or alteration does not expressly establish the term, the suspension or alteration will 
remain in force for the remaining effective period of the countervailing measure.  
Paragraph 2 In the case provided for in subparagraph I of the Caput , the act of suspension 
may expressly establish the automatic reapplication of countervailing duties or undertakings at the 
end of the suspension period established.  
Paragraph 3 The counter vailing duties or undertakings suspended as provided for in 
subparagraph I of the Caput : 
I - may be reapplied at any time by decision of the Chamber of Foreign Trade; or  
II - if not reapplied within the period established in the Caput  of article 108, will be 
automatically terminated after the end of their effective period.  
Paragraph 4 National interested parties, industrial sectors that use the product under 
investigation and consumers whose interests are adversely affected may provide information 
deemed relevant regarding the effects of imposing countervailing measures.  
Paragraph 5 The guidelines on public interest analysis referred to in this article shall be 
established by the Chamber of Foreign Trade.  
Paragraph 6 The decisions of the Chamber of Foreign Trade, including those based on cases 
of public interest, shall  set forth the reasons and grounds for such decisions . 
Article 5 It falls to SECEX to:  
I - initiate investig ations of subsidies;  
II - conclude investigations without applying countervailing measures in the cases provided 
for in subparagraphs I, II and III of the Caput  of article 70;  
III - extend the deadline for completion of the investigations ;  
IV - conclude and set aside an investigation without a decision on the merits, by request of 
the applicant or in the case provided for in subparagraph IV of the Caput  of article 70;  
V - initiate a review of the definitive countervailing duty or undertaking ; and  
VI - terminate the countervailing measure in the cases of review provided for in Section II of 
Chapter IX.  
Article 6 As the investigating authority, SDCOM  shall have the attribution of conducting the 
administrative procedure provided for in this Decr ee. G/SCM/N/1/BRA/2/Suppl.22  
 
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  CHAPTER II  
DEFINITIONS  
Article 7 For the purposes of this Decree:  
I - exporting country means the country, of origin or of export, where the subsidy is granted;  
II - like product means a product which is identical, i.e. alike in all respects to the pro duct 
under investigation, or in the absence of such a product, another product which, although not alike 
in all respects, has characteristics closely resembling those of the product under investigation.  
III - subsidized product means a product that benefit s from a subsidy;  
IV - granting authority means a government or public body in the territory of the exporting 
country that grants subsidies, at all levels, national or subnational; and  
V - country means a foreign country or political subdivision, dependent  territory, or possession 
of a foreign country.  
Paragraph 1 The concept of country referred to in subparagraph V of the Caput  may 
encompass the association, in a customs union, of two or more foreign countries or political 
subdivisions, dependent territori es or possessions of countries.  
Paragraph 2 If the country of origin and the country of export grant subsidies to the same 
product, both may be simultaneously investigated.  
Paragraph 3 In the event that the products are exported to Brazil through an intermediary 
country, the procedures mentioned in this Decree may be applied and the transactions may be 
considered as occurring between the country of origin and Brazil.  
Paragraph 4 The likeness of the products will be evaluated on the basis of objective criteria, 
including:  
I - raw materials;  
II - chemical composition;  
III - physical characteristics;  
IV - technical standards and specifications;  
V - production process;  
VI - uses and applications;  
VII - degree of substitutability;  
VIII - distribution channels; and  
IX - consumer preferences and habits.  
Paragraph 5 The objective criteria referred to in Paragraph 4 constitute an illustrative  list and 
none of them, on its own or together, can necessarily give decisive guidance.  
Article 8 For t he purposes of this Decree, except when otherwise provided, the parties shall 
be deemed to be related or associated if:  
I - one of them occupies a position of responsibility or a management post in a company held 
by the other;  
II - the parties are legally recognized as business associates;  
III - the parties consist of an employer and an employee;  
IV - any person, directly or indirectly, holds, controls or owns five percent or more of the 
voting shares or bonds of both parties;  
V - one of the parties, direct ly or indirectly, controls the other, including through shareholders' 
agreement;  
VI - both parties are, directly or indirectly, controlled by a third person;  
VII - both parties directly or indirectly control a third party;  
VIII - both parties are members o f the same family; or  G/SCM/N/1/BRA/2/Suppl.22  
 
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  IX - the parties maintain a relationship of economic, financial or technological dependence 
with customers, suppliers or lenders, that configures operational control.  
Section I  
Subsidies  
Article 9 For the purposes of this Decree, a subsidy shall be deemed to exist when a benefit 
is conferred as a result of:  
I - a financial contribution by a government or public body within the territory of the exporting 
country, henceforth “government”, in cases where:  
a) the government practice involves the direct transfer of funds (grants, loans, equity infusion, 
among others) or potential direct transfers of funds or obligations (loan guarantees, among others);  
b) the government revenue otherwise due (tax incentives, among o thers) is foregone or not 
collected, not being deemed as subsidies the exemptions, in favor of products destined for export, 
from duties or taxes born by the like product when destined for domestic consumption, nor the 
return or remission of such duties or  taxes in amounts not in excess of those which have accrued, 
in accordance with Article XVI of the General Agreement on Tariffs and Trade, dealt with in 
the Decree No. 93962, of 22 January 1987 , and Annexes I through III to the World Trade 
Organization Agreement on Subsidies and Countervailing Measures;  
c) a government provides goods or services other than general infrastructure, or purchases 
goods;  
d) a government makes payments to a funding mechanism to provide a financial contribution, 
or entrust or directs a private body to provide a financial contribution referred to in items "a" to "c", 
which would normally be the vested in the government, and the pr actice does not significantly differ 
from the practices normally followed by governments; or  
II - there is, in the exporting country, any form of income or price support that, directly or 
indirectly, contributes to increase exports or reduce imports of any  product.  
Section II  
Specificity  
Article 10. In order to determine whether a subsidy, pursuant to article 9, is specific to an 
enterprise or industry, or to a group of enterprises or industries, hereinafter referred to as “certain 
enterprises”, in the juri sdiction of the granting authority, the following principles shall apply:  
I - where the granting authority, or the legislation pursuant to which the granting authority 
operates, explicitly limits access to a subsidy to certain enterprises, such subsidy sha ll be specific;  
II - where the granting authority, or the legislation pursuant to which the granting authority 
operates, establishes objective criteria or conditions governing the eligibility for, and the amount of, 
a subsidy, specificity shall not exist, provided that the eligibility is automatic and that such criteria 
and conditions spelled out in law, regulation or other official document are strictly adhered to, so as 
to be capable of verification; and  
III - if, nothwithstanding any appearance of non -specificity resulting from the application of 
subparagraphs I and II, there are reasons to believe that the subsidy under analysis in fact specific, 
the following factors may be considered:    
a) use of a subsidy programme  by a limited number of certain enterprises;  
b) predominant use of a subsidy programme by certain enterprises;  
c) the granting of disproportionately large amounts of subsidy to certain enterprises; and  
d) the manner in which the granting authority exercise d its discretion in the decision to grant 
a subsidy, considering information on the frequency with which applications for a subsidy are refused 
or approved and on the reasons for such decisions.  
Paragraph 1 The objective conditions or criteria referred to in subparagraph II of the Caput  
mean criteria or conditions which are neutral, which do not favour certain enterprises over others, 
and which are economic in nature and horizontal in application, such as number of employees or 
size of enterprise . G/SCM/N/1/BRA/2/Suppl.22  
 
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  Paragraph  2 For the purposes of subparagraph III of the Caput , account shall be taken of the 
extent of diversification of economic activities within the jurisdiction of the granting authority, as 
well as of the length of time during which the subsidy programme was in operation.  
Article 11 Subsidies which are limited to an enterprise or an industry, or a group of enterprises 
or industries, located within a designated geographic region within the jurisdiction of the granting 
authority shall be considered specific.  
Sole Paragraph The setting or change of generally applicable tax rates by all levels of 
government entitled to do so will not be deemed to be a specific subsidy.  
Article 12 Any determination of subsidy specificity under the provision of this Section shall be 
clearly substantiated on the basis of positive evidence.  
Section III  
Prohibited subsidies  
Article 13 Except as provided in the Agreement on Agriculture of the World Trade Organization, 
the following subsidies shall be prohibited:  
I - subsidies contingent, in law or in fact, whether solely or as one of several other conditions, 
upon export performance, including those  illustrated in Annex I to the Agreement on Subsidies and 
Countervailing Measures of the World Trade Organization, subject to the provisions of Annexes II 
and III of said Agreement; and  
II - subsidies contingent, whether solely or as one of several other conditions, upon the use 
of domestic over imported goods.  
Paragraph 1 De facto subsidies will occur under the terms of subparagraph  I of the Caput  
when the facts demonstrate that the granting of a subsidy, without having been made legally 
contingent upon export performance, is in fact tied to actual ou anticipated exportation ou export 
gainings.  
Paragraph 2 The de facto granting of a subsidy to enterprises that export shall not, for that 
reason alone, be considered an export subsidy.  
Paragraph 3 Any subsidy falling under the definition of prohibited subsidies shall be deemed 
to be specific.  
Section IV  
Countervailable subsidies  
Article 14 The subsidy will be countervailable and subject to countervailing measures if 
deemed specific pursuant to Section II or Section III of this chapter.  
CHAPTER III  
CALCULATION OF THE AMOUNT OF A COUNTERVAILABLE SUBSIDY  
Article 15 The amou nt of subsidies will be calculated by volume or by value of sales of the 
subsidized product, based on the benefit conferred during the investigation period of subsidy referred 
to in Paragraph 1 of article 43  
Article 16 For the purposes of this Decree, the following will not be considered benefits:  
I - government provision of equity capital , unless the investment decision can be regarded as 
inconsistent with the usual investment practices of private investors in the territory of the exporting 
country, includ ing for the provision of risk capital;  
II - a loan by the government, unless there is a difference between the amount that the firm 
receiving the loan  pays on the government loan and the amount that the firm would pay on a 
comparable commercial loan which the firm could actually obtain in the market;  
III - a loan guarantee by the government, unless there is a difference between the amount 
that the firm receiving the guarantee pays on the loan and the amount the firm would pay on a 
comparable commercial loan  without the government guarantee; or  
IV - the provision of goods and services or purchase of goods by the government, except if 
the provision is made for less than adequate remuneration or if the purchase is made for more than G/SCM/N/1/BRA/2/Suppl.22  
 
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  adequate remuneration, in wh ich case the adequacy of remuneration shall be determined in relation 
to prevailing market conditions for the good or service in question in the country of provision or 
purchase, including price, quality, availability, marketability, transportation and oth er conditions of 
purchase or sale.  
Paragraph 1 In the case provided for in subparagraph II of the Caput , the benefit shall be the 
difference between the two amounts.  
Paragraph 2 In the case provided for in subparagraph III of the Caput, the benefit shall be the 
difference between the two amounts, adjusted for any difference in fees.  
Article 17 In determining the amount of subsidies, the following elements may be deducted 
from their value:  
I - expenses necessarily incurred to qualify or to obtain the subsidy; and  
II - taxes levied on the export of the product to Brazil specifically intended to offset the 
subsidy.  
Sole Paragraph. Any claimed deduction must be justified.  
Article 18 For purposes of calculating the amount, the subsidy will normally be cons idered:  
I - recurring - when it is related to current production or sales and its effects are observed 
immediately, so that, in general, the amount must be fully attributed to the period in which the 
benefit is conferred; or  
II - non-recurring - when it is  granted exceptionally or with irregular frequency and its effects 
are related to future production or sales (e.g. may be related to the acquisition of fixed assets), 
lasting for a period longer than the period in which the benefit is conferred, so that, i n general, the 
amount must be allocated over the periods in which the occurrence of such benefits is observed.  
Article 19 Pursuant to chapter II, upstream subsidies will be understood as any countervailable 
subsidies that:  
I - are granted by a government to the inputs used in the manufacture or production of the 
investigated subsidized product in the exporting country; and  
II - confer a benefit on the investigated subsidized product.  
Sole Paragraph. Only upstream subsidies that have a significan t effect on the manufacturing 
or production cost of the investigated subsidized product will be investigated.  
Article 20 Preferably, an individual subsidy amount will be determined for each known 
producer or exporter of the subsidized product.  
Article 21 If the number of exporters, producers, importers, transactions or types of the 
product under investigation is so large as to render impracticable the determination referred to in 
article  20, individual determination may be limited to:  
I - a statistically va lid sample that includes a reasonable number of interested parties, 
transactions or types of products , based on the information available at the time of selection; or  
II - selection of those producers or exporters who account for the largest percentage of t he 
volume of exports from the exporting country which can be reasonably investigated . 
Paragraph 1 The selection referred to in subparagraph II of the Caput shall include the 
producers or exporters who, listed in decreasing order of volume, account for the largest export 
volumes to Brazil . 
Paragraph 2 In the case provided for in subparagraph II of the Caput , those producers or 
exporters who request their exclusion from the selection after confirming their participation or who 
fail to respond to the quest ionnaire may have the amount of the countervailable subsidy calculated 
on the basis of the best information available.  
Paragraph 3 SDCOM may include, at its discretion, another producer or exporter in the 
selection provided for in subparagraph II of the Caput. 
Paragraph 4 Any selection of producers or exporters, importers, transactions or types of 
product made pursuant to the Caput  shall, preferably, be accomplished after consultation with the 
government of the exporting country, the producers, the exporter s or the importers and the 
obtainment of their consent.  G/SCM/N/1/BRA/2/Suppl.22  
 
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  Paragraph 5 An individual subsidy amount will also be determined for each producer or 
exporter not included in the selection who submits the information referred to in Subsection I of 
Section  IV of ch apter VI in time to be taken into consideration during the investigation.  
Paragraph 6 The provision of Paragraph 5 shall not apply to situations in which the number of 
exporters or producers is so large that the analysis of individual cases would prevent t he completion 
of the investigation within the established time limits.  
Paragraph 7 Any measures to discourage the submission of information as provided for in 
paragraph 5 is prohibited . 
Paragraph 8 For the purposes of determining the individual amount of s ubsidies and of 
applying countervailing duties, different legal entities may be treated as a single producer or exporter 
when it is demonstrated that the structural or trade relationship between such entities or with a 
third entity, is sufficiently close.  
Article 22 Notice of SECEX shall establish a methodology for calculating the amount of 
subsidies referred to in this chapter.  
CHAPTER IV  
DETERMINATION OF INJURY  
Article 23 For the purpose of this Decree, injury shall be interpreted to mean:  
I - the material injury to the domestic industry;  
II - the threat of material injury to the domestic industry; or  
III - the material retardation of the establishment of the domestic industry.  
Article 24 The determination of injury shall be based on evidence and wi ll include the objective 
examination of:  
I - the volume of the imports of the product under investigation;  
II - the effects of the imports of the product under investigation on the prices of the like 
product in the Brazilian market; and  
III - the consequent impact of the imports of the product under investigation on the domestic 
industry.  
Paragraph 1 For the purpose of subparagraph I of the Caput , consideration shall be given to 
whether there has been a significant increase in imports of the produc t under investigation, either 
in absolute terms or relative to production or consumption in Brazil.  
Paragraph 2 For the purpose of subparagraph II of the Caput , the following shall be 
considered:  
I - whether there has been a significant undercutting caused  by the imports of the product 
under investigation when compared to the price of the like product in the Brazilian market;  
II -  whether the effect of such imports is to depress prices to a significant degree ; or 
III -  whether the effect of such imports i s to prevent price increases to a significant degree, 
which otherwise  would have occurred in the absence of such imports.  
Paragraph 3 The examination of the impact of the imports of the product under investigation 
on the domestic industry shall include an evaluation of all relevant economic factors and indices 
having a bearing on the state of the concerned industry, including:  
I - actual or potential decline in:  
a) sales;  
b) profits;  
c) output;  
d) market share;  
e) productivity;  
f) return on investments; and  G/SCM/N/1/BRA/2/Suppl.22  
 
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  g) utilization capacity;  
II - factors affecting domestic prices;  
III - actual or potential negative effects on:  
a) cash flow;  
b) inventories;  
c) employment;  
d) wages;  
e) growth of the domestic industry; and  
f) ability to raise capital or i nvestments; and  
IV – whether there has been an increased burden on government support programmes, in the 
case of agriculture.  
Paragraph 4 None of the factors or economic indices referred to in paragraph 3 can on their 
own or together necessarily give decis ive guidance.  
Article 25 When imports of a product  from more than one country are simultaneously subject 
to investigations whose periods of investigation of subsidy coincide, the effects of such imports may 
be assessed cumulatively if it is demonstrated th at: 
I - the amount of countervailable subsidy established in relation to the imports of the product 
object of the investigation from each country is not de minimis ; 
II - the volume of imports of the product under investigation from each country is not 
negligible; and  
III - the cumulative assessment of the effects of these imports is appropriate in the light of 
the conditions of competition between the imported products and the conditions of competition 
between the imported products and the like product in the Brazilian market.  
Paragraph 1 The amount of countervailable subsidy shall be considered to be de minimis  if 
this amount is less than one percent (1%) ad valorem . 
Paragraph 2 The amount of countervailable subsidy shall be considered to be de minimis  for 
developing countries if this amount does not exceed two percent (2%) ad valorem . 
Paragraph 3 The volume of imports of the product under investigation from a particular 
country shall be regarded as negligible if such volume is found to account f or less than 
three  percent  (3%) of total Brazilian imports of the product under investigation and of the like 
product.  
Paragraph 4 If the group of countries that individually account for less than three  percent  (3%) 
of total Brazilian imports of the product under investigation and of the like product collectivelly 
account for more than seven percent (7%) of total Brazilian imports of the product under 
investigation and of the like product, the volume of subsidize d imports from each country shall not 
be considered negligible.  
Paragraph 5 For developing countries, the volume of imports shall be considered negligible if 
it accounts for less than four percent (4%) of total Brazilian imports of the product under 
invest igation and of the like product, unless those countries that individually account for less than 
four percent percent of such imports collectively account for more than nine percent (9%) of total 
Brazilian imports of the product under investigation and of t he like product.  
Article 26 It must be demonstrated that, through the effects of the subsidy, imports of the 
product under investigation have significantly contributed  to the injury affecting the domestic 
industry.  
Paragraph 1 The demonstration of the cau sal link referred to in the Caput  shall be based on 
the examination:  
I - the relevant evidence submitted; and  
II - any known factors other than the imports of the product under investigation which at the 
same time might be injuring the domestic industry, a nd the injury caused by the factors other than G/SCM/N/1/BRA/2/Suppl.22  
 
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  the imports of the product under investigation must not be attributed to the imports of the product 
object of investigation.  
Paragraph 2 It is necessary to separate and distinguish the effects of imports of th e product 
under investigation from the effects of other possible factors causing injury to the domestic industry.  
Paragraph 3 Other possible causes of injury are understood to be those specifically brought to 
the attention of SDCOM by the interested partie s, provided that they are accompanied by reasonable 
justification and relevant evidence, and any other causes known by SDCOM.  
Paragraph 4 Factors which may be relevant for the purposes of the examination provided for 
in subparagraph II of paragraph 1, inter alia: 
I - the volume and price of imports of non -subsidized products;  
II - the impact of possible import liberalization processes on domestic prices;  
III - contraction in demand or changes in the patterns of consumption;  
IV - trade restrictive practices of domestic and foreign producers;  
V - competition between domestic and foreign producers;  
VI - developments in technology;  
VII - export performance;  
VIII - productivity of the domestic industry; and  
IX - captive consumption.  
Paragraph 5 The effect of the imports of the product under investigation shall be assessed in 
relation to the domestic production of the like product when available data permit the separate 
identification of that production on the basis of criteria such as:  
I – the production process; and 
II – producers' sales and profits.  
Paragraph 6 In the event such separate identification of production is not possible, the effects 
of the imports of the product under investigation shall be assessed by the examination of the 
production of the narrowes t group or range of products, which includes the domestic like product, 
for which the necessary data can be provided.  
Article 27 The determination of threat of material injury to the domestic industry shall be 
based on the possibility of the occurrence of clearly foreseeable and imminent facts.  
Paragraph 1 The expectation as to the occurrence of future events referred to in the Caput  
shall be based on the evidence set forth in the case file and not on unsubstantiated allegations, 
conjectures o r remote possibilities.  
Paragraph 2 The future events referred to in the Caput  must be capable of changing the 
current circumstances, thus creating a situation in which material injury to the domestic industry 
would result from additional imports of the product under investigation.  
Paragraph 3 The assessment of the material injury p rovided for in paragraph 2 shall be based 
on the criteria established in article 24, paragraph 3.  
Paragraph 4 The following factors may be considered when assessing the effect of further 
imports of the product under investigation on the domestic industry r eferred to in paragraph 2, inter 
alia: 
I - the nature of the subsidy and the effects on trade likely to arise therefrom;  
II - the significant rate of increase of the imports of the product under investigation indicating 
the likelihood of a substantial incr ease in these imports;  
III - sufficient spare capacity, or an imminent, substantial increase of the productive capacity 
in the exporter country, indicating the likelihood of a significant increase in exports of the product 
under investigation to Brazil;  G/SCM/N/1/BRA/2/Suppl.22  
 
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  IV - whether imports are entering at prices that will have a significant depressing or 
suppressing effect on domestic prices, and would likely increase significantly the demand for further 
import; and  
V - the existence of inventories of the product under inv estigation.  
Paragraph 5 In the analysis referred to in paragraph 4, subparagraph III, the existence of 
other markets able to absorb any potential increase of exports shall be considered. The existence of 
trade remedy measures in effect or ongoing investiga tions in third countries which could explain the 
redirection of sales of the product to Brazil may also be taken into consideration.  
Paragraph 6 The determination that additional imports of the product under investigation are 
imminent and that, unless a co untervailing measure is applied, material injury to the domestic 
industry would occur must be based on the consideration of the totality of the factors mentioned in 
paragraph 4, with no one of the factors by itself being able to necessarily give decisive g uidance.  
CHAPTER V  
DOMESTIC INDUSTRY  
Article 28 For the purposes of this Decree, except as provided in article 31, domestic industry 
is interpreted as referring to the totality of producers of the domestic like product or the group of 
producers whose colle ctive output of the products constitutes a major proportion of the total 
domestic production of the like product.  
Article 29 The following may be excluded from the concept of domestic industry:  
I - domestic producers associated with or related to foreign p roducers, exporters, or 
importers; and  
II - domestic producers importing the allegedly subsidized product or like product from other 
countries.  
Paragraph 1 For the purpose of subparagraph I of the Caput , domestic producers shall be 
considered associated or related to foreign producers, exporters or importers only in the following 
cases:  
I - one party directly or indirectly controls the other party;  
II - both parties are directly or indirectly controlled by a third party; or  
III - both parties d irectly or indirectly control a third party.  
Paragraph 2 For the purpose of paragraph 1, a party shall be considered to control the other 
when the former possesses legal or operational conditions to restrict or influence the decisions of 
the latter.  
Paragr aph 3 The provisions of subparagraph I of the Caput  shall only result in the exclusion 
of the associated or related producer from the concept of domestic industry if there is reason to 
suspect that the relationship is such as to cause said producer to beha ve differently from producers 
without such relationship would otherwise behave.  
Article 30 In exceptional circumstances in which the Brazilian territory may be divided into 
two or more competitive markets, the domestic industry may be interpreted as referr ing to the group 
of domestic producers from each of those markets separately.  
Paragraph 1 The group of domestic producers on each of the markets referred to above may 
be considered an isolated domestic industry if:  
I - the producers sell all or almost all the production of the like product in the that market; 
and 
II - the demand in that market is not to any in substantial degree supplied  by producers of 
the like product located outside that market.  
Paragraph 2 In the case set forth in paragraph 1, injury may be found to exist even where a 
major portion of the total domestic industry is not injured, provided there is a concentration of 
imports of the product under investigation into an isolated and provided further that these are 
causing injury to su ch isolated market.  G/SCM/N/1/BRA/2/Suppl.22  
 
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  CHAPTER VI  
INVESTIGATION  
Section I  
Application and admissibility  
Article 31 The investigation to determine the existence, the amount and the effect of the 
alleged subsidy shall be requested upon a written application by or on behalf of the domestic 
industry.  
Paragraph 1 For the purpose of this article, domestic industry shall be interpreted as referring 
to all domestic producers of the like product, subject to the provisions of article 29 and article 30.  
Paragraph 2 The applica tion shall be considered to have been made by the domestic industry 
or on its behalf when:  
I - consultations have been held with other domestic producers within the domestic industry 
engaged in producing the like product during the period of investigation of subsidy; and  
II - the application has been supported by those domestic producers whose collective output 
constitutes more than fifty per cent (50%) of the total production of the like product produced by 
the portion of the domestic industry which expres sed either support for or opposition to the 
application in the consultation referred to in subparagraph I of paragraph 2.  
Paragraph 3 The application shall not be considered to have been made "by or on behalf of 
the domestic industry" when domestic produce rs expressly supporting the application account for 
less than twenty -five percent (25%) of total production of the like product produced by the domestic 
industry during the period of investigation of subsidy.  
Paragraph 4 In the case of fragmented industrie s involving an exceptionally large number of 
domestic producers, the degree of support for or opposition to the application may be determined 
by using statistically valid sampling techniques.  
Paragraph 5 A statement of support for or opposition to the appl ication shall only be considered 
when accompanied by information on the volume or value of production and on the volume of sales 
in the domestic market during the period of injury investigation.  
Paragraph 6 The application shall contain all information nee ded to determine the injury to 
the domestic industry related to the domestic producers expressly stating support for the application.  
Paragraph 7 In the case of a fragmented industry involving an exceptionally large number of 
domestic producers, an applica tion containing information on domestic producers accounting for less 
than twenty -five percent (25%) of total production of the like product during the period of 
investigation of subsidy may be accepted.  
Article 32 The application under article 31 shall in clude evidence of the subsidy, and, if 
possible, its amount, injury to the domestic industry and a causal link between the subsidized 
imports and the injury.  
Sole Paragraph. For the purpose of this article, unsubstantiated allegations shall not be 
consider ed as evidence.  
Article 33 Notice of the Secretary of Foreign Trade shall set forth the following elements of the 
application referred to in article 31:  
I - the format in which it shall be presented; and  
II - the information required for its presentation.  
Article 34 Applications that do not meet the requirements set forth in this section, in article  47 
and in the notice of the Secretary of Foreign Trade referred to in article 33 shall not be considered.  
Section II  
Examination of the application  
Article 35 The application filed in accordance with the provisions in section I of this chapter 
shall be examined within twenty (20) days from the date of filing.  G/SCM/N/1/BRA/2/Suppl.22  
 
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  Paragraph 1 Where the application is properly documented and does not require 
supplementary i nformation, the applicant shall be notified of the initiation of the investigation or 
denial of the application within an additional period of forty -five (45) days.  
Paragraph 2 If supplementary information, corrections or adjustments to the application are 
needed, the applicant shall be required to amend it within twenty (20) days from the date of the 
request.  
Paragraph 3 The supplementary information, corrections, or adjustments shall be examined 
within twenty (20) days from the date of rece ipt thereof.  
Paragraph 4 After the examination of the supplementary information, the applicant shall be 
notified of the initiation of the investigation or denial of the application within an additional period 
of forty -five (45) days.  
Paragraph 5 A confiden tial version and a non -confidential version of the application shall be 
filed simultaneously.  
Paragraph 6 Documents filed without the indication of confidential or restricted shall be treated 
as public.  
Article 36. After the application is filed in accorda nce with the provisions of article 35 and in 
any event before the initiation of the investigation, an opportunity for consultations with the 
government of the country whose allegedly subsidized product is being imported into Brazil and 
causing injury to th e domestic industry shall be given.  
Paragraph 1 The consultations referred to in the Caput  shall aim to clarify doubts about the 
information and evidence contained in the application, with a view to arriving at a mutually agreed 
solution.  
Paragraph 2 The g overnments of exporting countries shall be notified and shall have a period 
of five (5) days from the date of acknowledgment of the notification to express interest in carrying 
out consultations, which must take place within thirty (30) days from the date of the notifications.  
Paragraph 3 For the purpose of the initiation of the investigation, only the comments of the 
government of the exporting country filed within five (5) days from the date of the consultations 
referred to in paragraph 2 shall be taken i nto account.  
Article 37. The application shall be examined regarding evidence of the subsidy, injury to the 
domestic industry and a causal link between the subsidized imports and the injury.  
Paragraph 1 The accuracy and adequacy of data and evidence in the  application shall be 
examined on the basis of information from reasonably available sources, with a view to determining 
whether initiation of the investigation is justified.  
Paragraph 2 Applications shall be denied when:  
I - lacking the evidence referred to in the Caput ; 
II - failing to meet the requirements and time -limits set forth in article 35 for interested 
parties; or  
III - requiring substantial supplementary information, corrections or adjustments.  
Article 38. The identification of producers or expo rters, exclusively within the realm of the 
investigation of subsidy for which there is a duly formalized administrative proceeding, regardless 
of whether they are listed in the application, shall be made on the basis of the detailed import data 
provided by  the Special Secretariat of the Federal Revenue of Brazil of the Ministry of Economy, 
pursuant to article 198. paragraph 1, subparagraph II of Law No. 5,172, of October 25th, 1966.  
Section III  
Initiation of the investigation  
Article 39 In exceptional and duly justified circumstances, SECEX may initiate an investigation 
ex officio, provided it has sufficient evidence of the existence of subsidy, injury and a causal link 
between the subsidized imports and the injury.  
Sole Paragraph. Subsidy p rogrammes other than those indicated in the application may be 
investigated.  G/SCM/N/1/BRA/2/Suppl.22  
 
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  Article 40 SECEX shall publish a notice of the initiation of the investigation in the Federal 
Official Gazette and SDCOM shall notify the known interested parties of the initiatio n of the 
investigation.  
Paragraph 1 The following information shall be included in the notice referred to in the Caput : 
I - the countries of the exporters or producers subject to investigation;  
II - the product under investigation;  
III - the date of initiation of the investigation;  
IV - the time -limits for the interested parties to submit statements; and  
V - the information on subsidy programmes, injury to domestic industry and the causal link 
between the subsidized imports and the injury.  
Paragraph 2  The following shall be considered interested parties:  
I - domestic producers of the like product and their representative trade associations;  
II - Brazilian importers who imported the product under investigation during the period of 
investigation of subsi dy and their representative trade associations;  
III - foreign producers or exporters who exported the product under investigation to Brazil 
during the period of the investigation of subsidy and their representative trade associations;  
IV - the government o f the country exporting the product under investigation; and  
V - other domestic or foreign parties affected by the investigation, at the discretion of SDCOM.  
Paragraph 3 A period of twenty (20) days from the date of publication of the notice referred 
to in the Caput  shall be granted for the parties referred to in paragraph 2, subparagraph V, to 
express interest in participating in the investigation.  
Paragraph 4 Upon initiation of the investigation, the full contents of the application which 
originated the i nvestigation shall be sent to all known producers or exporters and to the government 
of the exporting country and attached to the case file.  
Paragraph 5 For the purposes of the obligations established in this Decree, all official 
communications with the go vernment of the exporting country shall be sent to the official 
representation of the exporting country in Brazil.  
Paragraph 6 In the absence of an official representation in Brazil, official communications with 
the government of the exporting country shal l be submitted through the Ministry of Foreign Affairs.  
Article 41 The investigation of subsidy shall not constitute a barrier to customs clearance.  
Article 42 Prior to the determination of initiation of the investigation referred to in this section, 
the application shall not be publicized, except as provided in article 36.  
Section IV  
Fact-Finding Phase  
Article 43 During the investigation, the existence of subsidy, injury to domestic industry and 
causal link between the subsidized imports and the injury  shall be analyzed.  
Paragraph 1 The period of investigation of subsidy:  
I - shall comprise twelve (12) months, preferably ending in March, June, September or 
December;  
II - may coincide with the most recently ended fiscal year and for which consolida ted financial 
data and other reliable accounting data are available in the exporting country; and  
III - in exceptional and duly justified circumstances, it may comprise between six (6) and 
twelve (12) months.  
Paragraph 2 The period of investigation of inju ry shall comprise sixty (60) months, divided 
into five (5) intervals of twelve (12) months ending in March, June, September or December, and 
shall necessarily include the period of investigation of subsidy, where:  G/SCM/N/1/BRA/2/Suppl.22  
 
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  I - the most recent interval shall prefera bly coincide with the period of investigation of subsidy; 
and 
II - the other intervals shall comprise the forty -eight (48) months prior to the most recent 
interval.  
Paragraph 3 In exceptional and duly justified circumstances, the period of investigation of 
injury may comprise between thirty -six (36) and sixty (60) months.  
Paragraph 4 The applicant shall have until the last business day of the fourth month following 
the end of the injury investigation period.  
Paragraph 5 Throughout the fact -finding phase, domestic interested parties, including 
industrial users of the product subject to investigation and the most representative consumer 
organizations of the product subject to investigation, in cases where it is usually sold at retail, may 
provide information deemed relevant on subsidy, injury and the causal link between the subsidized 
imports and the injury.  
Article 44. Throughout the investigation, the governments of exporting countries whose 
products are subject to investigation shall be affor ded the opportunity to continue consultations, 
with a view to clarifying the facts and arriving at mutually agreed solutions.  
Subsection I  
Information  
Article 45 The known interested parties in an investigation shall be notified of the information 
required  for the investigation and shall have ample opportunity to submit any written evidence they 
deem relevant to the investigation.  
Paragraph 1 Difficulties experienced by interested parties, in particular by small companies, 
in providing the requested informa tion shall be taken in due account, and assistance practicable 
shall be provided.  
Paragraph 2 The documents presented by the interested parties shall be attached to the case 
file in chronological order.  
Paragraph 3 The receipt of documents submitted after the due date or noncompliant with the 
applicable rules shall be registered, and the interested party shall be notified of the rejection of the 
attachment of such documents to the case file by SDCOM.  
Article 46 The known producers or exporters, the governme nts of exporting countries, known 
importers and other domestic producers, as defined in article 40, paragraph 2, shall receive 
questionnaires with the indication of the information necessary for the investigation and shall have 
a period of thirty (30) days  from the date of acknowledgment to return such questionnaires, without 
prejudice to the sending of questionnaires to other interested parties.  
Paragraph 1 Upon request and whenever possible, an extension of the time -limit established 
in the Caput  for up to thirty (30) days shall be granted.  
Paragraph 2 Additional information to that provided in the responses to the questionnaires 
may be requested . A period of ten (10) days from the date of acknowledgment of the request shall 
be granted for the interested parties to respond to such request. The period may be extended for a 
further ten (10) days, upon request and when duly justified.  
Paragraph 3 In the event that any interested party refuses access to the necessary 
information, fails to provide such information in a timely manner, or creates obstacles to the 
investigation, the preliminary or final determination shall be based on the best information available, 
in accordance with chapter XV.  
Article 47 All confidential information shall be attached to the confidential case file.  
Paragraph 1 Information identified as confidential by the interested parties shall be treated as 
such, provided the request f or confidentiality is duly justified, in which case the information shall not 
be disclosed without the express authorization of the submitting party.  
Paragraph 2 Interested parties that provide confidential information shall submit restricted 
summaries wit h details as to enable an understanding of the information provided, under penalty of 
disregarding the confidential information.  G/SCM/N/1/BRA/2/Suppl.22  
 
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  Paragraph 3 In the event of impossibility of presenting the summary referred to in 
paragraph  2, the parties must justify it in writing.  
Paragraph 4 The justifications referred to in paragraph 1 and paragraph 3 do not constitute 
confidential information.  
Paragraph 5 Justifications for the confidentiality of documents, data, and information shall not 
be considered adequate if, among  other factors:  
I - such information has a notorious public nature in Brazil or is in the public domain in Brazil 
or abroad; or  
II - such information is related to:  
a) the shareholding structure and the identification of the controlling party;  
b) the corpo rate organization of the group to which the entity belongs;  
c) the volume of production, domestic sales, exports, imports and inventories;  
d) contracts entered into by public deed or filed with a notary public or a commercial registry 
office in Brazil or a broad; and  
e) the equity, financial, and business statements of a publicly -held company, of a company 
equivalent to a publicly -held company, or of companies controlled by publicly -held companies, 
including foreign companies, and their wholly -owned subsidiaries, which must be published or 
disclosed under the applicable corporate or securities market laws.  
Paragraph 6 The restricted summary concerning confidential numerical information shall be 
submitted in numerical format, in the form o f index numbers.  
Paragraph 7 All versions of documents, responses to questionnaires and other statements 
shall be submitted simultaneously for the purpose of meeting the time -limits and requirements 
established in this Decree.  
Paragraph 8 At the discretion  of SDCOM, documents, data, and information submitted as 
confidential shall be disregarded, when the respective confidential treatment may result in restriction 
of the right of other interested parties to a full defense and to an adversarial proceeding.  
Paragraph 9 In the event SDCOM deems the confidentiality request unjustified and the 
submitting interested party refuses to adjust the information submitted as confidential for the 
purpose of its attachment to the non -confidential case file, such information  may be disregarded, 
except where satisfactorily demonstrated by an appropriate source that the information is correct.  
Paragraph 10 The interested party is responsible for the classification of confidentiality of the 
documents submitted, which must be dis played on all pages.  
Paragraph 11 Confidential documents and their restricted versions shall be submitted 
simultaneously.  
Article 48 SDCOM shall verify the accuracy of the information provided by the interested 
parties in the course of the investigations.  
Paragraph 1 On -the-spot investigations may be carried out in the territory of other countries:  
I - in companies, provided that their authorization is obtained and the government of the 
corresponding country is notified and does not raise any objections to the procedure; and  
II - in governments, provided that they are notified and do not raise any objections to the 
procedure.  
Paragraph 2 The procedures referred to in chapter XIV shall be applied to the on -the-spot 
investigations carried out in the territory of the exporting country.  
Paragraph 3.  On -the-spot investigations may be carried out in companies located within the 
national territory, provided that their authorization is obtained.  
Article 49. SDCOM shall take into consideration studies submitted by in terested parties, 
provided that the following conditions are met:  G/SCM/N/1/BRA/2/Suppl.22  
 
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  I - tables and graphs shall include detailed references of the respective sources ofinformation 
and specify the calculations and adjustments used for their preparation, in a way to permit th eir 
reproduction based on the original data;  
II - submissions must indicate the corresponding references and sources used;  
III - statistical and econometric estimates, as well as simulations, shall include all 
methodological information, such as:  
a) the database used, by electronic means, which reports the source of the data and identifies 
the variables and the period to which they refer;  
b) the specification of the computer program used for the estimate;  
c) the justification of the period chosen for the estimate;  
d) the justification for the exclusion of an observation in the sample, if applicable;  
e) the explanation for the assumptions of the econometric analysis or simulation, justifying 
the functional forms adopted;  
f) the explanation of how the pr oposed tests relate to the question raised in the investigation 
to which they refer;  
g) the data provided by the party itself, duly accompanied by a statement of responsibility for 
the veracity of the information provided signed by the respective legal rep resentative;  
h) any and all data, detailed calculations, methodologies, and information, regardless of how 
they were stated, which are necessary for a full understanding and reproduction of the results 
submitted; and  
i) other information, at the discretion  of SDCOM.  
Sole Paragraph. SDCOM may disregard studies with confidential information or those 
submitted in noncompliance with the provisions of this article.  
Subsection II  
Defense  
Article 50 Interested parties shall be assured ample opportunity to defend their interests.  
Article 51 Hearings shall be held, upon request by one or more of the interested parties or by 
the initiative of SDCOM, in order to ensure the right to an adversarial proceeding and ample defense.  
Paragraph 1 Hearings shall be reque sted in writing, within a period of six (6) months from the 
date of initiation of the investigation, and the request shall be accompanied by a list of the specific 
topics to be addressed.  
Paragraph 2 Only requests for hearings involving matters related to the granting of subsidy, 
injury or the causal link between the subsidized imports and the injury  shall be accepted.  
Paragraph 3 The known interested parties shall be notified of the hearing and of the matters 
to be addressed at least thirty (30) days in ad vance.  
Paragraph 4 Attendance at the hearing shall be optional and the absence of any interested 
party shall not be used against such party.  
Paragraph 5 Interested parties shall submit in writing at least ten (10) days in advance, the 
arguments they wish to address and indicate, at least three (3) days in advance, the legal 
representatives who will be attending the hearing, who may present additional information orally at 
the hearing.  
Paragraph 6 The information presented orally during the hearing sha ll only be considered by 
SDCOM if submitted in writing and filed within five (5) days following the hearing, in order to be 
attached to the restricted case file.  
Paragraph 7 If the hearing is recorded, the oral statements made by the interested parties 
may be used by SDCOM in the preparation of its determinations, in which case the interested parties 
shall not be required to submit such statements in writing.  
Paragraph 8 The recordings referred to in paragraph 7 or the respective transcripts shall be 
attach ed to the restricted case file.  G/SCM/N/1/BRA/2/Suppl.22  
 
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  Article 52 At the discretion of SDCOM, the number of representatives per interested party at 
the hearing may be limited.  
Article 53 The hearings shall not affect the time -limits established in this Decree.  
Article 54 All of the interested parties shall be assured the right to procedural follow -up of the 
restricted case file.  
Subsection III  
Final procedures concerning the fact -finding phase  
Article 55 The period for submitting information of the investigation shall be conclude d within 
a period not exceeding one hundred and twenty days (120) from the date of publication of the 
preliminary determination.  
Sole Paragraph. The evidence submitted following the conclusion of the period for submitting 
information shall not be considere d for the purposes of determinations.  
Article 56 The period for submission of statements on the data and the information in the 
restricted case file shall end within twenty (20) days, from the date of conclusion of the period for 
submitting information.  
Article 57 SDCOM shall provide the interested parties a technical note containing the essential 
facts under analysis which are to be considered in the final determination provided for in article 59, 
within thirty (30) days from the date of conclusion of the period for submission of statements 
mentioned in the paragraph above.  
Article 58 Interested parties shall have twenty (20) days from the date of disclosure of the 
technical note to submit their final written statements.  
Sole Paragraph. Upon termination of the period provided for in the Caput, the fact -finding 
phase of the proceeding shall be concluded and subsequent information submissions shall not be 
considered for the purpose of the final determination, which shall include all of the factual and legal 
elements relating to the investigation and the final conclusions regarding the existence of subsidy, 
injury and causal link between the subsidized imports and the injury.  
Article 59 SDCOM shall prepare the final determination on the investigation within twen ty (20) 
days from the date of conclusion of the period referred to in article 58.  
Article 60 Documents submitted after the due date shall not be considered in for the purpose 
of the determinations and may be destroyed after the investigation is closed.  
Section V  
Preliminary determinations and provisional countervailing measures  
Article 61 SDCOM shall prepare the preliminary determination, including all factual and legal 
elements available on the existence of subsidy, injury and the causal link between between the 
subsidized imports and the injury, within one hundred and fifty (15 0) days, counting from the date 
of the initiation of the investigation  
Paragraph 1 The term referred to in the Caput : 
I - cannot be less than sixty (60) days; and  
II - in exceptional circumstances, it may be extended for up to two hundred and ten (210) 
days. 
Paragraph 2 Paragraph 1 shall be applied, among others, when the domestic industry specified 
upon the initiation of the investigation accounts for less than fifty percent (50%) of the production 
of the like product produced by the totality of domestic p roducers during the period of subsidy 
investigation.  
Paragraph 3 Preliminary negative determinations of injury or causal link may provide grounds 
for terminating the investigation, observing the obligation to disclose the technical note containing 
the essential facts referred to in article 57.  
Paragraph 4 SECEX shall publish the preliminary determination in the Federal Official Gazette 
within a period of up to three (3) days from the date of such determination, which shall establish 
the time limits provided for in articles 55 to 59.  G/SCM/N/1/BRA/2/Suppl.22  
 
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  Paragraph 5 Having published the preliminary positive or negative determination of the 
existence of subsidy, injury to domestic industry and the causal link between the subsidized imports 
and the injury, the op inion of SDCOM shall be added to the case file.  
Paragraph 6 The recommendation regarding the application of provisional countervailing 
measures shall be forwarded to the Chamber of Foreign Trade, which shall publish the corresponding 
act immediately after the decision on its application.  
Paragraph 7 Preliminary determinations shall be made based on the evidence submitted within 
a period of sixty (60) days from the date of initiation of the investigation.  
Paragraph 8 Evidence submitted after the period menti oned in Paragraph 7 may be used by 
SDCOM if the respective analysis does not jeopardize the fulfillment of the time limit established in 
the Caput . 
Article 62. Provisional measures may be applied only if:  
I - an investigation has been initiated in accordan ce with the provisions contained in Section  III 
of chapter  VI, the public notice authorizing initiation of the investigation has been published and the 
interested parties have been granted adequate opportunity to submit information and make 
comments;  
II - a preliminary affirmative determination has been made that a subsidy exists and that 
there is injury to a domestic industry caused by subsidized imports; and; and  
III - the Chamber of Foreign Commerce deems such measures necessary to prevent injury 
being c aused during the investigation.  
Paragraph 1 The amount of the provisional countervailing duties shall not exceed the amount 
of subsidy, provisionally calculated, granted to the product under investigation.  
Paragraph 2 Provisional countervailing measures sh all be applied in the form of provisional 
duty, guaranteed by cash deposit or bonds equal to the amount of the provisionally calculated 
amount of subsidization  
Paragraph 3 The guarantees shall be provided by means of cash deposit or bonds.  
Paragraph 4 The Special Secretariat of the Federal Revenue of Brazil of the Ministry of 
Economy shall define the procedures related to the provision of guarantees referred to in 
Paragraph  3. 
Paragraph 5 The Chamber of Foreign Trade shall decide on the application of provi sional 
countervailing measures, which must be published in the Federal Official Gazette, in accordance with 
chapter  XI. 
Paragraph 6 Customs clearance of the products subject to provisional countervailing measures 
shall be contingent on the provision of the  guarantee referred to in Paragraph 3.  
Paragraph 7 The application of provisional countervailing measures referred to in this Section 
shall not exceed four (4) months.  
Section VI  
Undertakings  
Article 63. Proceedings may be suspended without the imposition of provisional countervailing 
measures or definitive duties, if the authorities referred to in article 3 are convinced that the 
undertaking is satisfactory to eliminate the injury to the domestic industry resulting from imports of 
the product un der investigation, in the following cases:  
I - if the government of the exporting country agrees to eliminate or limit the subsidy or take 
other measures concerning its effects; or  
II - if the producers or exporters voluntarily assume an undertaking to revise prices of their 
exports to Brazil.  
Paragraph 1 The undertaking referred to in this article shall be celebrated before SDCOM and 
submitted for approval by the Chamber of Foreign Trade.  
Paragraph 2 The undertaking shall include express authorization for on-the-spot investigation 
by SDCOM and provide for the submission of periodic information for its fulfillment.  G/SCM/N/1/BRA/2/Suppl.22  
 
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  Paragraph 3 The investigation of subsidy, injury to the domestic industry and a causal link 
between the subsidized imports and the injury  may be continued upon request of the producer, 
exporter or government or at the discretion of SDCOM.  
Paragraph 4 Price increases under the undertaking shall not exceed the amount of subsidy 
calculated.  
Paragraph 5 Price increases provided for in  Paragraph 4 shall be equal to or less than the 
determined amount of subsidies, with the sole purpose of eliminating the effects of the imports of 
the product under investigation on the domestic industry.  
Paragraph 6 Producers, exporters or governments sha ll only offer Undertakings or accept 
those offered by SDCOM during the period between the date of publication of the affirmative 
preliminary determination of the existence of subsidy, injury to the domestic industry and the causal 
link between between the subsidized imports and the injury, and the end of the period for submitting 
information.  
Paragraph 7 The government of the exporting country and the exporters shall only offer or 
accept Undertakings offered by SDCOM after the affirmative preliminary determ ination of the 
existence of subsidy and injury caused by it, and, in the case of an undertaking with exporters, after 
obtaining the consent of the government of the exporting country.  
Paragraph 8 The Secretary of Foreign Trade shall publish an act with the  information that must 
be included in Undertaking proposals and the conditions for their presentation.  
Paragraph 9 Producers, exporters or governments shall not be required to offer undertakings 
or be forced to accept adjustments or undertakings offered by  SDCOM.  
Paragraph 10 Undertaking proposals shall not harm the course of the investigation or alter 
the preliminary determination.  
Paragraph 11 SDCOM may refuse to accept any undertakings deemed ineffective or 
impracticable, including reasons of general pol icy. 
Paragraph 12 The decision to refuse acceptance of the undertakings provided for in 
Paragraph  11, shall take into account, among other factors:  
I - the degree of homogeneity of the product;  
II - the number of undertakings offered; and  
III - the existence of association or relationship between the interested parties, in accordance 
with the provisions of article 8, or other reasons of general policy.  
Paragraph 13 Producers, exporters or governments will be informed of the reasons why the 
undertakin g has been rejected and will be given a period of ten days for a written statement.  
Paragraph 14 The analysis of the possibility of approval of the price undertaking shall take 
into account whether the undertaking was offered by the producers or the export ers of the Member 
States of MERCOSUR.  
Paragraph 15 The proposing parties shall make a restricted version of the undertaking 
available to other interested parties.  
Article 64 The Chamber of Foreign Trade shall publish in the Federal Official Gazette the not ice 
approving the undertaking, which must include:  
I - the name of the producers, exporters or governments for which the undertaking shall 
apply;  
II - a description of the product subject to the undertaking; and  
III - the terms of the undertaking.  
Article 65 The producer, the exporter or the government subject to the undertaking shall 
provide, if requested, information related to the fulfillment of the undertaking and allow the on -the-
spot investigation of relevant data, under penalty of being considered vi olated the terms of the 
undertaking.  
Article 66 If evidence of the violation of the price undertaking emerges, the producer or the 
exporter shall be given the opportunity to submit comments thereon.  G/SCM/N/1/BRA/2/Suppl.22  
 
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  Article 67 Where the violation of the undertaking is veri fied, SDCOM shall notify the producer, 
exporter or government in question and the Chamber of Foreign Trade shall publish in the Federal 
Official Gazette a notice on the resumption of the investigation and on the immediate application of 
provisional duties or on the application of definitive duties.  
Sole Paragraph. The interested parties shall be notified of the termination of the undertaking 
and of the provisional or definitive countervailing duties applied.  
Section VII  
Conclusion of the investigation  
Article 68 The investigation shall be concluded within twelve months from the date of initiation 
of the investigation.  
Sole Paragraph. In exceptional circumstances, the deadline for completing the investigation 
referred to in the Caput  may be  extended by up to six (6) months.  
Article 69 The applicant may, at any time and upon justification, request the termination of 
the investigation.  
Paragraph 1 Where the request is granted, the proceeding shall be filed and SECEX shall 
publish in the Federa l Official Gazette a notice announcing the termination of the investigation 
without a decision on the merits.  
Paragraph 2 When an investigation is terminated by request of the applicant, a new application 
on the same product shall only be examined if fille d no sooner than twelve (12) months following 
the termination of the investigation.  
Article 70 The investigation shall be terminated without the imposition of duties where:  
I - there is a negative determination of the existence of a subsidy, injury to the domestic 
industry or causal link between the subsidized imports and the injury;  
II - the amount of subsidy is  de minimis ; 
III - the actual or potential volume of imports of the product subject to the investigation, 
pursuant Paragraph 3, Paragraph 4 and Par agraph 5 of article 25, or the injury to the domestic 
industry is negligible; or  
IV - the analysis of merit is impaired due to the inaccuracy or inadequacy of the timely 
information provided by the domestic industry.  
Paragraph 1 Where the investigation is terminated based on a negative determination, 
pursuant to the provisions of subparagraph I of the Caput , a new application on the same product 
shall only be examined if filed no sooner than twelve (12) months following the conclusion of the 
investigation.  
Paragraph 2 In exceptional cases and upon justification, the period referred to in Paragraph 1 
may be reduced to six (6) months.  
Article 71 SDCOM shall only recommend the imposition of countervailing duties when it has 
reached a final affirmative determina tion of the existence of subsidy, injury to the domestic industry 
and a causal link between the subsidized imports and the injury  . 
Article 72 Where a undertaking has been approved, followed by continuation of the 
investigation, if SDCOM reaches a:  
I – negative determination of the existence of a subsidy, injury to the domestic industry or 
causal link between the subsidized imports and the injury, the investigation shall be terminated and 
the undertaking shall be automatically extinct, except where such negative determination is 
substantially due to the existence of the undertaking. In such cases, the undertaking may be 
maintained for a reasonable period and the Chamber of Foreign Trade shall publish the corresponding 
notice; or  
II – affirmative determina tion of the existence of subsidy, injury to the domestic industry and 
causal link between the subsidized imports and the injury, the investigation shall be concluded and 
the imposition of the definitive duty suspended while the undertaking remains in effec t. G/SCM/N/1/BRA/2/Suppl.22  
 
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  Article 73 The Chamber of Foreign Trade shall decide on the application of definitive 
countervailing duties, which shall be published in the Federal Official Gazette, pursuant to the 
provisions of chapter XI.  
CHAPTER VII  
IMPOSITION AND COLLECTION OF COU NTERVAILING DUTIES  
Section I  
Imposition  
Article 74 For the purpose of this decree, countervailing duty shall be understood as the 
monetary amount equal to or less than the amount of subsidies determined.  
Paragraph 1 Except in the cases provided for in paragraph 2 and the decisions of the Chamber 
of Foreign Trade under article 4, the countervailing duty applied may be less than the amount of 
subsidies determined where such amount is sufficient to remove the injury to the domestic industry 
caused by impor ts of the product subject to investigation.  
Paragraph 2 The amount of countervailing duty shall necessarily correspond to the amount of 
subsidies in the following cases:  
I - producers or exporters whose amount of subsidies has been calculated on the basis of the 
best available information or whose countervailing duty was imposed in accordance with article 76;  
II - affirmative redeterminations in respect of subparagraph II of the Caput  of article 150; 
and 
III - reviews:  
a) by changed circumstances strictly i nvolving the calculation of the subsidy amount, under 
subsection I of section II of chapter IX;  
b) that are expedited, under subsection I of section III of chapter IX; or  
c) anti -circumvention, under subsection II of section III of chapter IX, provided the  
countervailing duty in force has been applied on the basis of the subsidy amount.  
Paragraph 3 The countervailing duty shall be applied in the form of ad valorem  or specific 
rates, fixed or variable, or by the combination of both.  
Paragraph 4 The ad valore m rate shall be applied on the customs value of the goods, on a 
Cost, Insurance & Freight - CIF basis.  
Paragraph 5 The specific rate, fixed or variable, shall be established in foreign currency and 
converted into national currency, as provided for in the l egislation.  
Article 75 The imposition of countervailing measures in force may be extended to imported 
products from third countries, as well as to imported parts, pieces and components of the product 
subject to the countervailing measure, where trade pract ices are found to undermine the 
effectiveness of the countervailing measures in force, in accordance with the anti -circumvention 
review set forth in subsection II of section III of chapter IX.  
Article 76 In situations where it has been determined that the analysis of individual cases 
would result in an unreasonable burden for SDCOM or would prevent the conclusion of the 
investigation within the established time -limits, pursuant to article 21, individual countervailing 
duties in the same amount shall be impo sed to all known producers or exporters who, although not 
included in the sampling selection, have submitted the information required.  
Paragraph 1 The individual countervailing duties in the same amount referred to in the Caput  
shall be calculated on the b asis of the weighted average of the amount of subsidies calculated for 
producers or exporters included in the sampling selection carried out under article 21.  
Paragraph 2 The calculation of the amount of subsidies referred to in the Caput  shall not take 
into account zero, de minimis  nor amounts fully calculated on the basis of the best information 
available.  
Paragraph 3 In the case provided for in article 21, paragraph 5, an individual countervailing 
duty calculated based on the data reported by the corresp onding producers or exporters shall be 
applied, with the exception of the provisions of article 46, paragraph 3.  G/SCM/N/1/BRA/2/Suppl.22  
 
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  Paragraph 4 The countervailing duties calculated in accordance with paragraph 3 shall not be 
used in the calculation of the countervailing duty  to be applied to producers or exporters not included 
in the sampling selection referred to in paragraph 1.  
Article 77 For producers or exporters whose countervailing duties are not applied under the 
provisions of article 74 or article 76, countervailing d uties calculated on the basis of the best available 
information shall be applied.  
Article 78 For the purpose of article 30, countervailing duties shall be collected only for imports 
of the product subject to investigation if destined for final consumption in the market considered in 
the definition of isolated domestic industry.  
Section II  
Collection or enforcement  
Article 79 Irrespective of any tax obligations relative to the imported product subject to 
investigation, provisional countervailing duties guaranteed by deposit or bond and definitive 
countervailing duties shall be collected from such product where a prel iminary or final affirmative 
determination has been made and all other requirementsfor the application of duties have been met.  
Article 80 No guarantees shall be required nor duties shall be applied to imports of products 
subject to the undertakings referr ed to in article 63.  
Section III  
Retroactive collection  
Article 81 Except in the cases provided for in this section, provisional and definitive 
countervailing measures shall only be applied to imported products which enter for consumption 
from the date of publication of the notice setting forth the decisions referred to in article 62, 
paragraph  5, and article 73.  
Article 82 Countervailing duties may be applied retroactively only in cases of a final affirmative 
determination of material injury to the dome stic industry.  
Sole Paragraph. In the event of a final affirmative determination of threat of material injury 
to the domestic industry, the retroactive application of countervailing duties shall only occur when 
it is demonstated that the effect of the subs idized imports would, in the absence of the provisional 
measures, have led to a affirmative determination of material injury to the domestic industry.  
Article 83 The amount of the provisional duty guaranteed by deposit or bond shall be refunded, 
reimbursed  or terminated in an expedited manner, in the following cases of:  
I - a final affimative determination of threat of material injury to the domestic industry;  
II - material retardation to the establishment of the domestic industry; or  
III - final negative d etermination of the existence of a subsidy, injury to the domestic industry 
or a causal link between the subsidized imports and the injury.  
Article 84 If the amount of the definitive duty is higher than the amount of the provisionally 
guaranteed duty, the difference shall not be collected.  
Article 85 If the amount of the definitive duty is less than the amount of the provisionally 
guaranteed duty, the conversion of the guarantee shall be adjusted.  
Article 86 Definitive countervailing duties may only be levi ed on imports of the subsidized 
product whose bill of lading date is up to ninety (90) days prior to the date of application of the 
provisional countervailing measures, and provided that the injury is caused by massive imports of 
the subsidized product in a relatively short period of time, which, in light of the timing and the 
volume of the subsidized imports and other circumstances, such as a rapid build -up of inventories 
of the imported product , is likely to seriously undermine the remedial effect of the  definitive 
countervailing duty to be applied.  
Paragraph 1 No duties shall be levied on imports whose bill of lading date is prior to the date 
of the initiation of the investigation or to the violation of the undertaking.  
Paragraph 2 The importers involved  shall be granted a non -extendable period of ten (10) days 
to submit comments on the countervailing measure.  G/SCM/N/1/BRA/2/Suppl.22  
 
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  Article 87 The matters of fact and law which have led to the retroactive collection of definitive 
countervailing duties shall be included in the de cision of the Chamber of Foreign Trade ordering the 
retroactive collection of definitive duties.  
CHAPTER VIII  
DURATION OF COUNTERVAILING DUTY AND UNDERTAKINGS  
Article 88 Countervailing duties and undertakings shall remain in force only to the extent 
necessary to counteract subsidization which is causing injury.  
Article 89 Any definitive countervailing duty shall be terminated on a date not later than 
five years from the date of its imposition or from the conclusion of the most recent review that has 
covered the subsidization, the injury to the domestic industry and the causal link between the 
subsidized imports and the injury, as established in section II of chapter IX.  
CHAPTER IX  
REVIEW OF COUNTERVAILING DUTIES AND UNDERTAKINGS  
Section I  
Applicable pr inciples and provisions  
Article 90 The reviews of the countervailing duties and undertakings set forth in this chapter 
shall comply with, as appropriate:  
I - the provisions of chapters I to IV and chapters XI to XV; and  
II - the principles, time-limits and procedures established in chapter VI.  
Sole Paragraph. The provisions of article 69 may apply to the reviews referred to in section II 
of this chapter.  
Article 91 The reviews mentioned in this chapter shall be requested by means of a written  
application, grounded in evidence, submitted by the interested parties.  
Paragraph 1 SDCOM may conduct, at its discretion and provided that it is duly justified, the 
review proceedings referred to in this chapter simultaneously or in combination.  
Paragraph  2 Except as otherwise provided for in this chapter, interested parties shall be 
considered those listed in article 40, paragraph 2.  
Article 92 SDCOM shall notify interested parties of the initiation of the review under this 
chapter.  
Article 93 Interested parties shall be granted ample opportunity to submit written evidence 
deemed relevant to the review.  
Article 94 Except as otherwise provided for in this chapter, the period of review shall be 
established in accordance with article 43.  
Article 95 As a resul t of the review, the countervailing duty may:  
I - be terminated or continued in accordance with the provisions of subsection II of section II 
of chapter  IX; or  
II - be terminated, continued or modified in accordance with the provisions of subsection I of 
section  II and subsection I of section III of chapter IX.  
Article 96 Notice of the Secretary of Foreign Trade shall provide for the application model to 
be adopted for the reviews under this chapter.  
Article 97 The provisions of this chapter shall apply to reviews of undertakings.  G/SCM/N/1/BRA/2/Suppl.22  
 
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  Section II  
Reviews relating to the imposition of the duty  
Subsection I  
Review of Duties Based on Changed Circumstances  
Article 98 At the request of any interested party to the original investigation or to the last 
review of the countervailing duty in which the existence of subsidy, injury and causal link between 
the subsidized imports and the injury has been investigated w ho submits a written application with 
evidence indicating a change in the circumstances which justified the imposition of the countervailing 
duty, SDCOM may initiate a review under this subsection, provided that a period of at least one (1) 
year has elapse d, since the imposition, modificaton, extension of the duration, or extension of the 
scope of a definitive countervailing duty.  
Paragraph 1 The change in the circumstances referred to in the Caput  must be significant and 
lasting.  
Paragraph 2 The change in the circumstances referred to in the Caput  shall not constitute 
factors such as mere oscillations or fluctuations inherent to the market.  
Paragraph 3 In exceptional circumstances, a review may be initiated under this subsection 
within a period shorter than  that referred to in the Caput , provided that it is duly justified.  
Article 99 Based on the determination established by SDCOM:  
I - the countervailing duty may be terminated where:  
a) countervailable subsidy; or  
b) injury  
Is considered unlikely to continue  or resume; and  
II - the countervailing duty may be modified if:  
a) it is found to be insufficient or excessive for the purpose of neutralizing the effects of the 
subsidy; or  
b) it is found to be insufficient to neutralize the injury to the domestic industry caused by the 
imports of the product subject to the duty.  
Article 100 In the cases set forth in "a" of subparagraphs I and II of the Caput  of article 99, 
the analysis shall be based on objective examination of all relevant factors, such a s: 
I - the existence of a countervailable subsidy while the countervailing measure was in force;  
II - the imposition or termination of countervailing measures on the like product by other 
countries during the review period; and  
III - government plans, publ ic policies and other relevant documents or instruments on the 
granting of subsidies.  
Paragraph 1 Applications that involve the calculation of a new amount of subsidies shall 
include, among other information, evidence of the modification of the programme r elated to the 
subsidies granted during the review period.  
Paragraph 2 The duty levied as a result of the review of changed circumstances shall not 
exceed the new amount of subsidies calculated for the review period.  
Article 101 In the cases set forth in "b " of subparagraphs I and II of the Caput  of article 99, 
the analysis shall be based on objective examination of all relevant factors, such as:  
I - the state of the domestic industry during the time the definitive duty was in force;  
II - the volume of imports of the product subject to the duty during the time the duty was in 
force and the likely trend of such imports, in absolute terms and relative to the production or 
consumption of the like product in the Brazilian domestic market;  
III - the likely pr ice of imports of the product subject to the duty and its likely effect thereof 
on the prices of the like product in the Brazilian domestic market;  G/SCM/N/1/BRA/2/Suppl.22  
 
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  IV - the likely impact of imports of the product subject to the duty on the domestic industry, 
as assessed o n the basis of all the relevant economic factors and indices defined in article 24, 
paragraph  2 and paragraph 3;  
V - changes in market conditions in the exporting country, in Brazil or in third markets, 
including changes in supply and demand for the like p roduct, due, for example, to the imposition of 
trade remedy measures by other countries; and  
VI - the likely effect of factors other than the imports of the product subject to the duty on 
the domestic industry, such as:  
a) volume and price of imports not s ubject to the countervailing duty;  
b) impact of import liberalization processes on domestic prices;  
c) contraction in demand or change in consumption patterns;  
d) trade restrictive practices of domestic and foreign producers and competition between 
them;  
e) developments in technology;  
f) export performance;  
g) productivity of domestic industry;  
h) captive consumption; and  
i) import or resale of the imported product by the domestic industry.  
Article 102. The review of the duty based on the change of circumst ances shall be concluded 
within twelve  (12) months from the date of its initiation.  
Paragraph 1 In exceptional circumstances, the time -limite for reviewing the duty referred to 
in the Caput  may be extended for up to three (3) months.  
Paragraph 2 In the cou rse of the review, the duties shall remain in force and unaltered.  
Subsection II  
Sunset review  
Article 103 By means of a sunset review under this subsection, the time period for imposition 
of the countervailing duty referred to in article 88 may be extended for an equal time period, if it is 
determined that the termination of the countervailing duty would highly likely lead to a continuation 
or recurrence of subsidization and injury arising therefrom.  
Article 104 The determination as to whether the t ermination of the duty would most likely lead 
to the continuation or recurrence of the granting of countervailable subsidy shall be based on an 
objective examination of all relevant factors, including those set forth in the Caput  of article 100, 
subparagra phs I to III.  
Article 105 The determination as to whether the termination of the duty will most likely lead 
to the continuation or recurrence of the injury shall be based on an objective examination of all 
relevant factors, including those set forth in article 101.  
Article 106 In the event of doubt as to the likely future evolution of imports of the product 
subject to the countervailing duty, SDCOM may recommend the extension of the countervailing duty 
with the immediate suspension of its imposition.  
Sole Paragraph. The collection of the countervailing duty shall be immediately resumed if the 
increase in the volume of imports is such as to lead to the recurrence of the injury.  
Article 107 The sunset review shall be requested by or on behalf of the domesti c industry, by 
means of a substantiated written application containing evidence that the termination of the 
countervailing duty would most likely lead to the continuation or recurrence of the granting of 
countervailable subsidy and the injury arising there from.  
Article 108 The sunset review application shall be filed at least four (4) months prior to the 
expiry of the countervailing duty referred to in article 89, under penalty of the application being 
considered untimely.  G/SCM/N/1/BRA/2/Suppl.22  
 
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  Sole Paragraph. The decision on wh ether to initiate the review shall be published prior to the 
expiry of the countervailing duty.  
Article 109 The review shall be concluded within a period of twelve (12) months from the date 
of its initiation.  
Paragraph 1 In exceptional circumstances, the t ime-limit for the conclusion of the review 
referred to in the Caput  may be extended for up to three (3) months.  
Paragraph 2 In the course of the review, the duties shall remain in force and unaltered.  
Section III  
Reviews relating to the scope and collectio n of the duty  
Subsection I  
Expedited review  
Article 110 When the product is subject to a countervailing duty, the producer or the exporter 
that has not been individually investigated for a reason other than a refusal to cooperate with the 
investigation may  request, by means of a reasoned written application, the review of such duty, for 
the purpose of determining its individual subsidy amount.  
Article 111 SDCOM shall have two (2) months to determine whether the application is properly 
documented and, if in case of an affirmative determination, so SECEX shall publish an notice in the 
Federal Official Gazette to inform the initiation of the review.  
Article 112 SDCOM may request the petitioner to provide additional information to be 
forwarded within a non -exten dable period of five (5) days,  from the date of acknowledgment of the 
request.  
Sole Paragraph. If the petitioner or the government of the exporting country refuses access 
to the necessary information, fails to provide such information in a timely manner, or creates 
obstacles to the review, SECEX will terminate the review without determining individual subsidy 
amount for the petitioner.  
Article 113 The period for submitting information of the review shall be concluded within a 
period no longer than ninety d ays from the date of initiation of the review.  
Sole Paragraph. The evidence submitted following the conclusion of the period for submitting 
information shall not be attached to the case file.  
Article 114 The reviews referred to in this subsection shall be completed within a period 
of seven  (7) months from the date of initiation of the reviews.  
Subsection II  
Anti-circumvention review  
Article 115 The scope of a countervailing measure may be extended by an anti -circumvention 
review for the following imports:  
I - parts, pieces or components originating in or from  the country subject to a countervailing 
measure, destined for manufacturing in Brazil of the product subject to the countervailing measure;  
II - a product from third countries whose manufactu re, using parts, pieces or components 
originating in or from the country subject to the countervailing measure results in the product subject 
to the countervailing measure; or  
III - a product originating in or from the country subject to the countervailing  measure 
containing marginal modifications in relation to the product subject to the countervailing measure, 
but that do not alter the final use or purpose of the product subjecte to the coutervailing measure.  
Article 116 For the purposes of this Decree, c ircumvention is considered to be a trade practice 
aimed at frustrating the effectiveness of a countervailing measure in force through the introduction 
of the imports provided for in article 115 into the national territory.  
Article 117 Subject to the provis ions of article 115, the existence of circumvention shall be 
determined by the combined examination of information relating to:  
I - countries of exports of the products or parts, pieces or components;  G/SCM/N/1/BRA/2/Suppl.22  
 
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  II - producers or exporters from the countries referred  to in subparagraph I; or  
III - Brazilian importers of parts, pieces or components.  
Paragraph 1 Examination of the information in the exporting country of the products or parts, 
pieces or components referred to in the Caput  shall encompass the countries in  question as a whole, 
for the purpose of determining whether:  
I - by virtue of changes in the trade flows from theses countries following initiation of the 
original investigation or review, the effectiveness of the  countervailing measure in force is being  
thwarted, as assessed in terms of the price and imported quantity of the product subject to the 
review; and  
II - the changes in the trade flows from these countries following the initiation of the original 
investigation or review are the result of a proce ss, activity or practice for which there is no economic 
basis or justification other than to thwart the effectiveness of the countervailing measure in force.  
Paragraph 2 The analysis of the information on the the producers, exporters or importers 
referred to in the Caput  shall encompass producers, exporters or importers individually, for the 
purpose of determining whether:  
I - in the case of subparagraph I of the Caput  of article 115:  
a) the resale, in Brazil, of the product subject to the countervailing me asure manufactured 
with parts, pieces or components originating in or from the country subject to the countervailing 
measure occurred at prices below the export price determined for the product subject to the 
countervailing measure, plus the amount of subs idies;  
b) the parts, pieces or components originating in or from the country subject to the 
countervailing measure are not used for purposes other than the manufacture of the product subject 
to the countervailing measure;  
c) manufacturing began or increase d in Brazil following the initiation of the investigation which 
resulted in the application of a countervailing measure; and  
d) the parts, pieces or components originating in or from the country subject to the 
countervailing measure represent sixty percent  (60%) or more of the total value of parts, pieces or 
components of the product manufactured in Brazil;  
II - in caseof subparagraph II of the Caput  of article 115:  
a) the export of the product to Brazil occurred at pricesbelow the export price determined f or 
the product subject to the countervailing measure, plus the amount of subsidies;  
b) the export of the product to Brazil corresponded to a significant proportion of the total sales 
of the producer or exporter;  
c) the exports of the product to Brazil began or substantially increased following the initiation 
of the investigation which resulted in the application of a countervailing measure; and  
d) the parts, pieces or components originating in or from the country subject to the 
countervailing mea sure account for sixty percent (60%) or more of the total value of parts, pieces 
or components of the product exported to Brazil; and  
III - in case of subparagraph III of the Caput  of article 115:  
a) the export of the product containing marginal modificati ons to  Brazil occurred at prices 
below the export price determined for the product subject to the countervailing measure, plus the 
amount of subsidies;  
b) the export of the product containing marginal modifications to  Brazil corresponded to a 
significant  proportion of the total sales of the producer or exporter; and  
c) the export of the product containing marginal modifications to Brazil began or substantially 
increased following the initiation of the investigation which resulted in the application of a 
countervailing measure.  
Paragraph 3 The circumvention shall not be considered to occur when the added value in the 
manufacturing operations provided for in subparagraph I of the Caput  of article 115 is 
above  thirty -five percent (35%) of the manufacturing co st of the product.  
Paragraph 4 For the purposes of Paragraph 3, the manufacturing cost will shall not include:  G/SCM/N/1/BRA/2/Suppl.22  
 
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  I - depreciation costs;  
II - packaging costs; and  
III - costs or expenses not directly related to the manufacture of the product.  
Article 118 The anti -circumvention review shall be based on the  investigation which resulted 
in the application or extension of the countervailing measure.  
Article 119 The anti -circumvention review may be requested:  
I - by means of a written application by a interest ed party in the original investigation;  
II - by means of a written application by the interested party in the last review of the 
countervailing measure, in the event that the duration of the countervailing measure has already 
been extended; or  
III - in exc eptional circumstances, on the initiativeof SECEX.  
Article 120 For the purposes of the anti -circumvention review, the interested parties in an 
anti-circumvention review shall include:  
I - the Brazilian producers of the like product to the product ot subjec t to a countervailing 
measure or their representative trade association;  
II - the government of the exporting country of the products referred to in subparagraphs II 
and III of the Caput  of article 115;  
III - the producers or exporters of the products refe rred to in subparagraphs II and III of the 
Caput  of article 115;  
IV - the Brazilian importers of the parts, pieces or components referred to in subparagraph I 
of the Caput  of article 115;  
V - the companies responsible for the manufacture of the parts, pieces or components referred 
to in subparagraph I of the Caput  of article 115; and  
VI - other domestic or foreign parties which may be affected by the anti -circumvention review, 
at the discre tion of SDCOM.  
Article 121 SDCOM may send questionnaires to the interested parties, which shall be granted 
a period of twenty (20) days following the acknowledgment of the distribution of such questionnaires 
to return them.  
Sole Paragraph. Upon request a t en (10) day extension of the time limit provided for in the 
Caput  may be granted.  
Article 122 The review shall be concluded within a period of six (6) months from the date of 
publication of the notice of initiation the investigation.  
Sole Paragraph. In exc eptional circumstances, the time limit referred to in the Caput  may be 
extended for up to three months.  
Article 123. The extension of the scope of a countervailing measure shall be subject to 
individual determination for each known producer, exporter or im porter of the product subject to 
the anti -circumvention review.  
Paragraph 1 If the number of producers, exporters or importers is so large as to make  the 
determination referred to in the Caput  impracticable, the individual determination may be limited 
to: 
I - in the case of subparagraph I of the Caput  of article 115, a selection of importers accouting 
for the larges percentage that can be reasonably investigated, of the volume of imports of parts, 
pieces or components originating in or from the country sub ject to the countervailing measure whose 
manufacture results in a like product r to the product subject to the countervailing measure; or  
II - in the cases of subparagraphs II and III of the Caput  of article 115, a selection of the 
producers or the exporte rs accouting for the largest percentage of the volume of exports from the 
exporting country, which can be reasonably investigated.  G/SCM/N/1/BRA/2/Suppl.22  
 
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  Paragraph 2 The selection provided for in Paragraph 1 shall include the producers, exporters 
or importers which, listed in de scending order of volume, account for the largest export volumes, in 
the case of producers or exporters, or import volumes, in the case of importers to f Brazil.  
Article 124 The scope of the countervailing duties shall be extended to all producers, exporte rs 
or importers included in the selection provided for in article 123 which have submitted the requested 
data and in respect of which SDCOM has reached a final affirmative determination of circumvention 
practices.  
Paragraph 1 The value of the extended coun tervailing duty privided for in the Caput  shall 
consist of:  
I - in the case of subparagraphs I and II of the Caput  of article 115, the weighted average of 
the amounts of subsidies calculated for producers or exporters for which individual subsidies have 
been calculated, disregarding those that are null, de minimis  or fully calculated based on the best 
available information; or  
II - in case of subparagraph III of the Caput  of article 115, on the countervailing duty applied 
to the producer or exporter identified in the investigation that culminated in the application or 
extension of the countervailing measure.  
Paragraph 2 In the case of subparagraph I of the Caput  of article  115, the countervailing duty 
on the parts, pieces or components shall be extended in the form of an ad valorem  rate. 
Paragraph 3 Producers, exporters or importers for whom a negative final determination has 
been reached shall be individually identified in  the notice that makes the conclusion of the review 
public and the application of the countervailing duties in force shall not be extended to them.  
Paragraph 4 In the case of an affirmative final determination for the producer or exporter for 
which there i s a undertaking in force, the undertaking shall be considered violated.  
Article 125 For known importers not included in the selection referred to in article 123 and 
who have imported the parts, pieces or components into Brazil, during the period of review,  as 
provided for in subparagraph I of the Caput  of article 115, the anti -circumvention review shall be 
suspended and the application of countervailing duties shall not be extended.  
Article 126 For producers or exporters not included in the selection referr ed to in article 123 
and who have exported to Brazil the products referred to in subparagraphs II and III of the Caput  
of article  115 during the period of review, the review shall be suspended and the application of 
countervailing duties shall not be extended.  
Article 127 If there is evidence that the producers, exporters or importers referred to in 
article  125 and article 126 are engaged in circumvention, SDCOM may, based on reasoned request 
or ex officio, resume the review.  
Paragraph 1 SECEX shall pu blish a notice in the Federal Official Gazette to determine the 
resumption of the review.  
Paragraph 2 In the case provided for in Paragraph 4 of article 124, CAMEX shall publish a 
notice in the Federal Official Gazette as to resumption of the review.  
Article 128 For unknown producers, exporters or importers or those who, although included 
in the selection, fail to provided the data requested, the scope fo the countervailing duty shall be 
extended based on the best available information, pursuant to Paragrap h 3 of the article 46.  
Paragraph 1 Importers not engaged in importing parts, pieces or components referred to in 
subparagraph I of the Caput  of article 115 into Brazil, during the period of the anti -circumvention 
review, may request their exclusion from th e extended countervailing measure based on the 
provisions of this Subsection.  
Paragraph 2 Producers or exporters not engaged in exporting the products referred to in 
subparagraphs  II and III of the Caput  of article 115, to Brazil, during the period of the anti-
circumvention review may request an expedited review, based on the provisions of Subsection I of 
this Section.  
Article 129 The countervailing measure not extended to importers shall be contingent on 
maintenance of the same suppliers identified in the review period.  
Article 130 The importer referred to in Paragraph 1 of article 128 shall submit sufficient factual 
and legal elements to demonstrate that:  G/SCM/N/1/BRA/2/Suppl.22  
 
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  I – it does not maintain relationship or association, pursuant to the provisions of article 8, with 
the interested parties in the anti -circumvention review which resulted in the extension of the scope 
of the countervailing measure;  
II - it did not import into Brazil the parts, pieces or components referred to in subparagraph I 
of the Caput  of article 115 d uring the anti -circumvention review period; and  
III - the manufacturing operations referred to in subparagraph I of the Caput  of article 115 
resulted in an added value of at least thirty -five percent (35%), calculated on the basis of the total 
manufacturin g cost of the product, pursuant to Paragraph 3 and Paragraph 4 of article 117.  
Article 131 The countervailing duty extended based on anti -circumvention reviews shall be 
subject to sunset reviews of the countervailing duty that gave rise to the anti -circumv ention review.  
Article 132 The provisions of Sections V and VI of chapter VI shall not apply to anti -
circumvention reviews.  
Article 133 When the countervailing duty that gave rise to the anti -circumvention review or 
the possible extension of the applicatio n of such duty is terminated:  
I - the countervailing duty extended based on anti -circumvention reviews shall be terminated; 
and 
II - suspended anti -circumvention reviews shall be terminated.  
Subsection III  
Reimbursement review  
Article 134 The importer of the product subject to the countervailing duty may request 
reimbursement forf definitive countervailing duties paid, if it is demonstrated that the amount of 
subsidies determined for the reimbursement review period is less than the duty in force.  
Article 135 The reimbursement review shall be requested by the interested importer through 
a reasoned written application based on evidence that the amount of countervailing duties paid was 
greater than that which would have been due had the duty been calculated on the basis on the 
amount of subsidies calculated for the period of review.  
Paragraph 1 Mere allegations shall not be considered sufficient to meet the requirements 
established in this Subsection.  
Paragraph 2 For the purposes of this subsection, the following are considered interested 
parties in a reimbursement review:  
I - the applicant for the reimbursement review;  
II - the government of the exporting country; and  
III - the producers or exporters to which an individual counter vailing duty has been applied.  
Article 136 The period of review shall normally comprehend twelve (12) months.  
Paragraph 1 The period of review referred to in the Caput  shall not be less than six (6) 
months.  
Paragraph 2 The end of the period shall  necessar ily correspond to the date of the last import 
during the period in which the reimbursement is claimed and in which countervailing duties have 
been paid.  
Article 137 The application referred to in article 135 shall be filed within four (4) months from 
the last day of the period of review.  
Paragraph 1 The petition shall only be considered properly documented if it contains accurate 
information on the amount to be reimbursed and is accompanied by the original or certified copiesof 
all customs documentation rel atetive to the payment of the due countervailing duties.  
Paragraph 2 The application shall contain evidence relative to the subsidy granted and the 
export price to Brazil of the producer or exporter for which the individual amount of subsidies has 
been det ermined.  
Paragraph 3 If the importer is related or associated with the producer or the exporter, such 
importer shall present the resale price of the product imported into  the Brazilian domestic market.  G/SCM/N/1/BRA/2/Suppl.22  
 
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  Article 138 The amount of subsidies calculated for th e review period shall serve exclusively to 
calculate the possible reimbursement of countervailing duty paid in an amount above the amount of 
subsidies calculated for the period of review.  
Sole Paragraph. The reimbursement review shall be concluded within a  period of ten (10) 
months from the date of its initiation.  
Article 139 In the case of a final affirmative determination, SDCOM shall notify the Special 
Secretariat of the Federal Revenue of Brazil of the Ministry of Economy of the amount of subsidies 
determined for the period of the reimbursement review.  
Paragraph 1 The Special Secretariat of the Federal Revenue of Brazil of the Ministry of 
Economy shall be responsable for the respective reimbursement.  
Paragraph 2 The reimbursement referred to in Paragraph 1 shall be executed, in general, 
within a period of ninety (90) days from the date of publication of the notice of conclusion of the 
review.  
CHAPTER X  
ASSESSMENT OF SCOPE AND REDETERMINATION  
Section I  
Assessment of Scope  
Article 140 The intereste d parties designated in paragraph 2 of article 40, in addition to other 
importers, may request that SDCOM proceed to an assessment of scope for the purpose of 
determining whether a product is subject to a countervailing measure in force.  
Sole Paragraph If SDCOM deems an assessment of scope as necessary for determining 
whether a product is subject to a countervailing measure in force, it may initiate an assessment of 
scope ex officio.  
Article 141 The assessment of scope referred to in article 14 0 shall be requested by through 
a reasoned written application containing:  
I - a detailed description of the product to be assessed and the pertinent evidence, including 
the product´s technical characteristics, uses and its tariff classification under the Mercosur Common 
Nomenclature - MCN; and  
II - a detailed explanation, accompanied by the pertinent evidence of the reasons for the 
applicant´s conclusion that the product is, or is not, subject to a countervailing measure in force.  
Article 142 If the applic ation has been properly documented SECEX shall publish an notice in 
the Federal Official Gazette to inform about the initiation of the assessment of scope.  
Sole Paragraph. The notice referred to in the Caput  shall contain:  
I - a detailed description of the product submitted for assessment of scope and of the product 
subject to the countervailing measure; and  
II - the basis for SDCOM conclusion that assessment is necessary.  
Article 143 A period of twenty (20) days shall be granted, counting  from the date of publication 
of the notice referred to in article 142, so that interested parties can qualify and file written 
statements or submit evidence and request a hearing in order to clarify aspects related to the scope 
of the countervailing measu re. 
Paragraph 1 The provisions of paragraph 4, paragraph 7 and Paragraph 8 of article 51 applies 
to the hearing referred to in the Caput . 
Paragraph 2 The information presented orally during the hearing shall only be considered by 
SDCOM if reproduced in wri ting and filed within five days, from the date of the hearing, so that they 
can be attached to the case file.  
Article 144 In the case of conclusion based only on the information contained in the application 
and the comments presented within the period esta blished in the Caput  of article 143, SDCOM shall 
prepare a final determination, within sixty days, counted from the date of publication of the notice 
referred to in the article 142  G/SCM/N/1/BRA/2/Suppl.22  
 
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  Article 145 If it is not possible to reach a conclusion based only on the i nformation contained 
in the application and comments presented within the period established in article 143, SDCOM shall 
prepare the final determination within one hundred and twenty (120) days, counting from the date 
of publication of the notice referred to in article 142.  
Sole Paragraph. The comments of the interested parties shall be presented within ninety days, 
counting from the date of initiation of the assessment of scope.  
Article 146 The assessment of SDCOM shall be based on the evidence provided to  define the 
product subject to the countervailing measure.  
Article 147 SECEX shall forward the final conclusion to the Chamber of Foreign Trade for 
approval and publication of the notice containing the result of the assessment of scope.  
Article 148 The res ults and conclusions of the assessments of scope may be utilized by SDCOM 
to prepare investigations or reviews initiated under this Decree.  
Sole Paragraph. The assessment conducted under this Section shall be interpretative and shall 
not modify the scope c ountervailing measures in force.  
Article 149 The provisions of this Section applies to antidumping  and countervailing 
measures applied to the same product subject to assessment of scope.  
Section II  
Regarding the redetermination  
Article 150 The domestic pro ducers of the like product or the representative trade association 
may request that SDCOM proceed to a redetermination.  
Paragraph 1 The redetermination shall be carried out to determine whether the effectiveness 
of the countervailing measure has been compr omised:  
I - by virtue of the manner in which the measure was applied; or  
II - as a result of the fact that the export price decreased, remained unchanged or increased 
in an amount less than expected uppon application, modification, extension of the duration or 
extension of the scope of a countervailing measure.  
Paragraph 2 The redetermination shall be requested by a reasoned written application.  
Paragraph 3 Exceptionally SDCOM may initiate a redetermination ex officio.  
Article 151 In the case of subparagraph I of the Caput  of article 150, the application shall 
contain a detailed explanation and the pertinente evidence which led the applicant to conclude that 
a redetermination is necessary.  
Paragraph 1 The application of a countervailing measure may only be altered by virtue  of a 
redetermination one (1) time every five (5) years.  
Paragraph 2 The rules set foth in Paragraph 1 apply to measures which have had their duration 
extended through a review under chapter IX.  
Paragraph 3 The adjustment of the form of application shall n ot exceed the amount of 
subsidies determined in the original investigation or in the most recent review.  
Article 152 In the case of subparagraph II of the Caput  of article 150, the application shall 
contain a detailed explanation, pertinente evidence which  led the applicant to conclude that a 
redetermination is necessary.  
Paragraph 1 Applications submitted pusuant to this article shall only be accepted if the 
countervailing measure has been applied in an amount less than the amount of subsidies.  
Paragraph 2  Throughout the course of the redetermination, exporters, foreign producers, 
importers, governments of exporting countries and domestic producers shall be given adequate 
opportunity to clarify aspects related to export prices.  
Article 153 A redetermination  shall only be initiated nine (9) months following the date of the 
application, modification, extensión of the duration or extension of the scope of a countervailing 
measure.  G/SCM/N/1/BRA/2/Suppl.22  
 
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  Paragraph 1 SECEX shall publish in the Federal Official Gazette a notice initiati ng the 
redetermination.  
Paragraph 2 A redetermination shall be concluded within three (3) months from  the date of 
its initiation.  
Article 154 In the case of subparagraph II of the Caput  of article 150, if SDCOM concludes 
that the application of a counterv ailing duty should have resulted in changes to the prices in question 
which did not occur, it shall recommend that the Chamber of Foreign Trade ajust the countervailing 
measure in force.  
Article 155 The affirmative determinations on the absorption of dutie s referred to 
in subparagraph  II of the Caput  of article 150 constitute significant evidence that the termination 
of the duty shall result in the continuation or recurrence of the granting of subsidies.  
CHAPTER XI  
DISCLOSURE  
Article 156 The notices arising from the decisions issued by the authorities referred to in 
article  3 and article 5 shall be published in the Federal Official Gazette and shall contain detailed 
information on the conclusions regarding the factual and legal elements presented.  
Article 157 The notices referred to in article 156 concerning the initiation of an investigation 
shall contain:  
I - the name of the exporting country or countries and the product subject to the investigation;  
II - the date of inititation of the investigation;  
III - the basis on which the practice or practices of granting subsidy is alleged in the 
application;  
IV - a summary of the facts on which the allegation of injury is based;  
V - the address to which statements by interested parties should be directed to; and 
VI - the time limits and regulations for the statements by the interested parties.  
Article 158 The notices provided for in article 156 on the imposition of provisional 
countervailing measures shall contain:  
I - sufficient detailon preliminary determina tions reached on the existence of subsidy, injury 
and the causal link between the subsidized imports and the injury;  
II - the factual and legal elements on which acceptance or denial of the arguments presented 
by the interested parties was based;  
III - the names of the producers or exporters to which the provisional countervailing measures 
shall be applied;  
IV - the detailed description of the product that subject to the provisional countervailing 
measure;  
V - the amount of subsidies calculated and a ful l explanation of the reasons for the calculation 
methodology used to calculate them;  
VI - the data on the principal parameters deemed necessary for the determination of injury 
and the causal link; and  
VII - the factual and legal elements leading to prelimi nary affirmative determination of the 
existence of subsidy, injury and causal link between the subsidized imports and the injury.  
Sole Paragraph. In the case of subparagraph III of the Caput , when the number of producers 
or exporters is especially large, t he producers or exporters shall be identified by the country in which 
they are located.  
Article 159 The notices referred to in article 156 concerning the imposition of definitive 
countervailing measures or the approval of a compromise shall contain:  
I - the relevant information on the factual and legal elements and on the reasons on which 
the final affirmative determination was based; and  G/SCM/N/1/BRA/2/Suppl.22  
 
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  II - the information required in subparagraphs III to VI of the Caput  of article 158 and the 
reasons for the acceptance or denial of the arguments presented by the interested parties.  
Article 160 The notices referred to in article 156 on the termination or suspension of an 
investigation following the acceptance of an undert aking shall include the transcription of the non -
confidential part of the undertaking.  
Article 161 The provisions of this chapter apply, as the case may be, to the initiation and to 
the termination of the reviews set forth in chapter IX.  
Article 162 The no tification obligations arising from the application of the provisions of this 
Decree may be fulfilled by disclosing the electronic address where the notices referred to in this 
chapter shall be made available.  
Article 163 Where the investigations encompass  interested parties from one or more Member 
States of MERCOSUR, copies of the notifications shall be made available in advance, in electronic 
media, to the respective investigating authorities in the member countries by electronic medium.  
Article 164 The e lectronic versions of the notices provided for in this chapter shall be available 
for consultation on the Ministry of Economy's website.  
CHAPTER XII  
THE FORM OF PROCEDURAL ACTS AN TERMS  
Article 165 The procedural acts and terms do not depend on any special  format, but the 
interested parties must observe the instructions of this Decree and those issued by SECEX when 
preparing applications and documents in general, otherwise they shall not be appended to the case 
file. 
Paragraph 1 Observance shall be required  only of instructions that have become public prior 
to the initiation of the proceedings or that shall have been specified in the communication to the 
part involved.  
Paragraph 2 The procedural acts are considered public in nature.  
Paragraph 3 The right to consult the restricted case file and verify the status of the 
investigation shall be limited to the interested parties and their legal representatives, in accordancec 
with the provisions on the confidentiality rulling internal government information and do cuments.  
Paragraph 4 The designation of a legal representative shall be duly signed by a individual with 
the requisite powers to this end, pursuant to the articles of association of the legal entity.  
CHAPTER XIII  
DECISION -MAKING PROCESS AND APPEAL  
Article 166 Preliminary or final affirmative or negative determinationson the investigations and 
on the reviews shall be based on an opinion issued by SDCOM.  
Article 167 Of the decisions referred to in article 166, an appeal shall be lodged, without 
suspensive effect, within a non -extendable period of ten (10) days, from the date of publication in 
the Official Gazette of the notice that made the decision public.  
Paragraph 1 The appeal shall be addressed to the authority that issued the decision.  
Parag raph 2 If the appealed authority does not reconsider its decision, it will forward the 
appeal to the Council of Trade Strategy of the Chamber of Foreign Trade, which shall decide it as 
the final instance.  
Article 168 Appeals without accompanying the reason s that support them or presented out of 
time shall not be considered.  
Article 169 In the event of reconsideration of the decision, the Executive Secretariat of the 
Chamber of Foreign Commerce shall request the Special Secretariat of the Federal Revenue of Brazil 
of the Ministry of Economy to proceed the reimbursement of improperly collected amounts.  G/SCM/N/1/BRA/2/Suppl.22  
 
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  CHAPTER XIV  
ON-THE-SPOT INVESTIGATIONS  
Article 170 Upon the initiation SDCOM shall notify the foreign producers or exporters, domestic 
producers, selected impor ters and the governments of the exporting countries its intention to 
conduct on -the-spot investigations and of the recommended dates for execution of such 
investigations.  
Paragraph 1 The communication provided for in the Caput  shall be formally issued with the 
following advance of the recommended date for the investigation:  
I - thirty (30) days, in the case of foreign producers or exporters, governments of exporting 
countries and importers; and  
II - twenty (20) days, in the cas e of domestic producers.  
Paragraph 2 Within two (2) days from the date of acknowledgment of the notification referred 
to in Paragraph 1, the foreign producer or the exporter, the domestic producer, the government of 
the exporting country or the importer sh all submit express written consent for the investigation.  
Paragraph 3 The absence of a timely response from the foreign producer, exporter or importer 
shall give rise to the application of the provisions of chapter XV.  
Paragraph 4 The absence of a timely r esponse from the companies that constitute the 
domestic industry may give rise to the termination of the investigation without a decision on the 
merits.  
Paragraph 5 Except for the provisions of paragraph 7, changes to the data to be subject to 
the investig ation following the issuance of the notification referred to in paragraph 1 shall not be 
permitted.  
Paragraph 6 SDCOM shall issue an on -the-spot investigation script and specify the information 
to be requested and examined at the on-the-spot investigation,  in addition to the documents which 
must be submitted within:  
I - twenty (20) days prior to the investigation, in the case of foreign producers or exporters, 
governments of exporting countries and importers; or  
II - ten (10) days prior to the investigation , in the case of domestic producers.  
Paragraph 7 Prior to the initiation of the inverifigation, the interested parties shall be given 
the opportunity to submit clarification in respect of the information previously submitted to the 
investigation team.  
Paragraph 8 The analysis of SDCOM regarding the specific clarification referred to in 
Paragraph  7 shall be included in the on -the-spot investigation report, access to which shall be 
provided to the verified party within a period of fifteen (15) days, from the final date of the 
authorization of departure from the country of the official that participated in the investigation team.  
Paragraph 9 The on-the-spot investigation reports shall be attached to the respective case 
file. 
Paragraph 10 Upon obtainment of cons ent of the foreign producer or exporter referred to in 
Paragraph 2, the government of the exporting country shall be immediately notified of:  
I - the names and addresses of the producers or exporters to be investigated; and  
II - the dates agreed for the on -the-spot investigations.  
Paragraph 11 Under exceptional circumstances, if the inclusion of non -govermental experts in 
the on -the-spot investigation is needed, such experts and the government of the exporting country 
shall be notified thereof.  
Paragraph 12 The deadlines provided for in Paragraph 1, Paragraph 6 and Paragraph 8 do not 
apply to the procedures referred to in section I of chapter X.  
Article 171 The  vestigation of foreign producers or exporters shall be conducted following 
submission of the questionnaire, except:  
I - if the producer or exporter agrees otherwise; and  G/SCM/N/1/BRA/2/Suppl.22  
 
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  II - if the government of the exporting country is notified of the investigation in advance and 
raises no objection.  
Article 172 Investigations aimed at explaining the ques tionnaire referred to in article 46 may 
be conducted at the request of the foreign producer of the exporter and shall only occur if SDCOM 
notifies the government of the exporting country and such government raises no objection to the 
investigation.  
Article  173 Replies to requests for information or questions that are put by authorities or firms 
of the exporting country that are essential to a successful on -the-spot investigation should, 
whenever possible, be submitted before the visit is made.  
CHAPTER XV  
BEST INFORMATION AVAILABLE  
Article 174  Upon initiation of the investigation, the interested parties shall be notified of the 
data and information required for the fact -finding phase of the process, as well as of the manner in 
which that information should be structured and the time periods for submitting it . 
Sole Paragraph. The interested parties shall be notified that SDCOM may  prepare a preliminary 
or a final determination on the basis of the facts available, including those contained in the 
application f or the initiation of the investigation , if the requested data and information,  duly 
accompanied by the respective evidence , are not submitted or are submitted after the established 
time-limit. 
Article 175 When preparing its determinations, SDCOM shall take  into account the verifiable 
information timely and appropriately submitted . 
Sole Paragraph  If data in electronic media are required, the interested party that does not 
maintain computerized accounting or for which the submission of data in electronic medi a represents 
an unduly extra burden and would entail unreasonable additional cost and difficulties, shall be 
dispensed from submitting the information in question in an electronic media . 
Article 176 If SDCOM does not accept data or information it shall:  
I - notify the interested party of the reasons therefore; and  
II - establish time limits for the interested party to  provide further explanations , in a way to 
ensure that the investigation is not jeopardized . 
Sole Paragraph. If the explanations submitted are  not considered satisfactory, the reasons for 
the rejection shall be given in the pertinent decision or determination . 
Article 177 If SDCOM uses information from secondary sources to prepare its determinations, 
including those provided in the applications,  such information shall, to the extent possible , be 
compared with information from independent sources or from other interested parties.  
Article 178 The information must be submitted in the form of a written document whenever 
SDCOM does not have the specific means for processing the information received in a computer 
language that is incompatible with its operating systems.  
Article 179 The interested party shall be responsible for cooperating with the investigation and 
providing all of the requested d ata and information.  
Sole Paragraph. In the event of non -compliance with the provision of the Caput , the interested 
party will assume the respective liabilities for any omissions.  
CHAPTER XVI  
FINAL PROVISIONS  
Article 180 The time limits provided for in thi s Decree shall be counted continuously, including 
the respective due dates.  
Sole Paragraph. If the time limit ends on a non -business day or on a day with shortened 
business hours, it shall be extended to the next full business day.  G/SCM/N/1/BRA/2/Suppl.22  
 
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  Article 181 It shall be assumed that exporters or foreign producers and governments have 
knowledge of the questionnaire sent by SDCOM within a period of ten days following the respective 
date of postage or transmission.  
Article 182 Counting of time limits shall begin on the first business day after publication of the 
notice or, when applicable, the issuance of the respective correspondence.  
Article 183 The periods calculated in months shall be counted from a date to a same date.  
Sole Paragraph. If in the month of expiry d oes not include a day equivalent to that of the start 
month, the last day of the end month shall be used.  
Article 184 The applications for extension of the duration, when allowed, shall only be 
considered if submitted prior to  the expiry of the original ti me limit.  
Sole Paragraph. In the case provided for in the Caput , the first day of the extension shall be 
the day following the expiry of the original time date.  
Article 185 The total time limit shall be the original time limit plus the extension, counted  
consecutively . 
Article 186 The content of all opinions, determinations and recommendations of SDCOM shall 
not be disclosed until the disclosure requirements established in this Decree have been fulfilled.  
Paragraph 1 Once the disclosure requirements have been fulfilled, the documents referred to 
in the Caput  shall be attached to the case file.  
Paragraph 2 The confidentiality obligations provided for  in this Decree shall be extended to 
the authorities involv ed in the decision -making processes relating to the application of countervailing 
measures.  
Paragraph 3 The authorities involved in the decision -making process shall have access, 
through the opinions of SDCOM, to all confidential information submitted by i nterested parties in 
subsidy investigations conducted under this Decree.  
Article 187. The products subject to countervailing measures shall be subject to detailed 
statistical follow -up and intelligence efforts  between SECEX and the Special Secretariat of t he Federal 
Revenue of Brazil of the Ministry of Economy, so as to assure the effectiveness of the countervailing 
measures in force.  
Article 188 For the purpose  of this Decree, requests for changes to the Mercosur Common 
Nomenclature may be submitted to its  appropriate body.  
Article 189 SDCOM may extend the time limits provided for in this Decree, for one equal 
period, except in the cases in which this Decree specifically provides for such extension or prohibits 
it. 
Article 190 SECEX, the Special Secretariat  of the Federal Revenue of Brazil of the Ministry of 
Economy and the Chamber of Foreign Trade may issue complementary rules and regulations to this 
Decree, within the scope of their attributions.  
Article 191 In cases in which Brazil has been authorized by the Dispute Settlement Body of 
the World Trade Organization to suspend concessions or other obligations provided for in World 
Trade Organization Agreements,  the provisions of this Decree may, by decision of the Chamber of 
Foreign Trade, be disregarded in w hole or in part.  
Article 192 The applications for investigations and reviews filed until the entry into force of 
this Decree shall be covered under Decree No. 1751, of 19 December 1995.  
Article 193 Decree No. 1751, of 19 December 1995 is hereby revoked.  G/SCM/N/1/BRA/2/Suppl.22  
 
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  Article 194 This Decree shall enter into force one hundred and twenty days after the date of 
its publication.  
 
Brasilia, 18 October 2021; 200th of Independence and 133rd of the Republic.  
JAIR MESSIAS BOLSONARO  
Carlos Alberto Franco França  
Paulo Guedes  
 
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