G/ADP/Q1/LAO/2  
G/SCM/Q1/LAO/2  
G/SG/Q1/LAO/2  
 
26 October 2020  
(20-7494) Page: 1/9 
Committee on Anti -Dumping Practices  
Committee on Subsidies and Countervailing Measures  
Committee on Safeguards  Original: English  
 
 
NOTIFICATION OF LAWS AND REGULATIONS UNDER  
ARTICLES 18.5, 32.6 AND 12.6 OF THE AGREEMENTS  
REPLIES TO QUESTIONS1 POSED BY THE UNITED STATES REGARDING  
THE NOTIFICATION OF LAO PEOPLE'S DEMOCRATIC REPUBLIC2 
The following communication, dated 2 6 October 2020, is being circulated at the request of the 
delegation of Lao People 's Democratic Republic . 
 
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Antidumping and Countervailing Measures  
Part 1 Chapter 1 General Provisions  
Question 1  
Article 5.2 of the Law on Anti -Dumping and Countervailing Measures  (hereinafter 
"AD/CVD Law") indicates that AD and CVD measures shall follow the principles of 
transparency, objectivity, and fairness. Please describe the approach or practices Lao will 
take to ensure that its AD and CVD  actions reflect these principles. For example, how will 
case documents and evidence be shared with all interested parties? What processes are 
in place to ensure decision -making is transparent?  
Reply : 
Currently Lao PDR is in t he process of establishing the rights and responsibility for the Investigating 
Authority according to Article 36 and 37 of the Law on Anti -Dumping and Countervailing Measures 
and Article 37 of the Law on Safeguard. After such establishment, it is expected that the information 
of Trade Remedy documents will be posted in dedicated website or other methods that are in 
accordance with the infrastructure of the investing authority. In order to ensure decision making is 
transparent, the investigating authority sh all verify and confirm that production volume of a party 
who supports the investigation and a party who does not support thereof represent fifty (50) percent 
of domestic production volume of like products and oppose collectively. However, the party who 
supports the investigation shall have the production volume more than twenty -five (25) percent of 
the total production volume of like products of applicant, supporter, opposer and neutral collectively. 
Please referred to Article 27 of the Law. Please also ref er to Answer 6 below for the transparency.  
 
1 G/ADP/Q1/LAO/1 - G/SCM/Q1/LAO/1 - G/SG/Q1/LAO/1 . 
2 G/ADP/N/1/LAO/2  - G/SCM/N/1/LAO/1 and G/SG/N/1/LAO/2 (dated 19 December 2019). For the sake 
of efficiency, the United States suggests that committee review for questions 1 -3 and 5 -21 be conducted in the 
Committee on Anti -Dumping Practices, while committee review for question 4 and questions 22 -33 be 
conducted in the Committee on Subsidies and Countervailing Measures and Committee on Safeguards, 
respectively.  G/ADP/Q1/LAO/2 • G/SCM/Q1/LAO/2 • G/SG/Q1/LAO/2  
 
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  Part 2 Chapter 1 Dumping  
Question 2 
Article 11 of the AD/CVD Law lists three methods for comparing normal value and export 
price. Are these listed in order of priority, or are other factors used to determine which  
method will be used to compare normal value and export price?  
Reply : 
The three methods listed in the AD/CVD Law does not come in order of priority. Method 1 and 2 can 
be used interchangeably. As for method 3, it can only be used when the export price is d ifferent 
between buyers, region, period of export, the comparison shall be made between a weighted average 
price and an export price of each commercial transaction.  
Question 3 
Please provide or identify the specific regulation which determines the formula alluded to 
in Article  11 of AD/CVD Law or explain the expected timeframe for having this regulation 
in place.  
Reply : 
There is a specific regulation which determines the formula alluded to in Article 11 of AD/CVD Law 
named "Guidance on the Implementation on  Article 10, 11 and 15 on the Law on AD/CVD, 
No. 0464/MOIC.DFPT, dated 12 May 2020 ". Lao PDR is welcomed the technical assistance for 
translation of this Guidance.  
Part 2 Chapter 2: Subsidy:  
Question 4 
Under Article 16.3 of the AD/CVD Law, you state that the benefit provided "in the form of 
equity infusion shall be calculated from the amount of actual capital that an enterprise 
received from selling shares to a government." Please provide an explanation as to how 
this language complies with Article  14(a) of the Agreement on Subsidies and 
Countervailing Measures which states that a "government provision of equity capital shall 
not be considered as conferring a benefit, unless the investment decision can be regarded 
as inconsistent with the usual investm ent practice (including for the provision of risk 
capital) of private investors in the territory of that Member".  
Reply : 
Please refer to Article 15 of the AD/CVD Law which is calculation of amount of subsidization that is 
considered as specificity.  
Part IV  Chapter 1 Investigation and Investigating Authorities:  
Question 5  
Does the AD/CVD Law authorize the government to initiate an investigation in the absence 
of a petition from the domestic industry? If so, are the evidentiary requirements for 
initiation the same as those that apply in an investigation initiated based on a petition or 
application?  
Reply : 
Please refer to Article 24.1 and Article 25 which stated that the causes of investigation on injury 
from dumping or subsidy can be from "a disc overy of information or evidence of injury to a domestic G/ADP/Q1/LAO/2 • G/SCM/Q1/LAO/2 • G/SG/Q1/LAO/2  
 
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  industry by the investigating authorities " and the requirements for initiation can be found in 
Article  25 "Discovery of Information and Evidence by Investigating Authorities.  
Question 6  
Please explai n whether the government of the exporting country will be notified of an 
application prior to initiation, consistent with Article 5.5 of the Agreement on the 
Implementation of Article VI of the General Agreement on Tariffs and Trade 1994 
(hereinafter "WTO Antidumping Agreement"), which requires that the authorities notify 
the government of the exporting Member concerned after receipt of a properly 
documented application and before proceeding to initiate an investigation.  
Reply : 
Please refer to Article 30.1 of the AC/CVD Law which stated that after the Minister has issued the 
Decision on Investigation, the exporting country, the applicant, the WTO and the interested parties 
will be notified.  
Question 7  
How will the parties on the investigating co mmittee be selected under Article 29 of the 
Law? Is there any requirement that these individuals avoid conflicts of interest with 
parties involved in the investigation?  
Reply : 
The selection of the parties on the investigating committee can be found in Arti cle 36 and the 
requirement of these individuals to avoid conflicts of interest with parties involved in the 
investigation can be found in Article 56.  
Question 8  
What information will be requested in questionnaires under Article 30 Paragraph 1 
Subpart 3 of the AD/CVD Law? How much time will be given to the parties to respond to 
initial questionnaires?  
Reply : 
Together with the process of establishing the Investigating Authority as specified in question 1, 
Lao PDR is in the process of formulating the questionn aire form that will take into account some 
samples of international best practices as well as timeframe to be given to the parties to respond to 
initial questionnaires.  
Question 9  
Under Article 31 of the AD/CVD Law, is the Minister of Industry and Commerce  permitted 
to consider anything other than the reported results of the investigation in making their 
recommendation to the government? Will there be any process by which interested 
parties may challenge the decision of the Minister and Government or any pe riod to 
comment on the Minister's recommendation? Finally, will this decision be released to 
interested parties and the public?  
Reply : 
The Ministry of Industry and Commerce will base whether or not to apply AD/CVD measure on the 
result of the report of the  investigating authorities. There will be process  where interested parties 
may provide comments on the reports of Investigating Authority. Please also refer to Article 52 of 
the AD/CVD.  G/ADP/Q1/LAO/2 • G/SCM/Q1/LAO/2 • G/SG/Q1/LAO/2  
 
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  Question 10  
Can a cancellation of an investigation under Article 33 of the AD/CVD Law be issued at 
any point in the investigation process?  
Reply : 
Please refer to Article 33.2 and Article 33.3 which stated that the cancellation of investigation can 
be issued at any point if "there is no evidence to proof the casu al link of dumping or subsidy and 
injury of domestic industry " or if "the investigation findings are not consistent with condition defined 
in Article 22 of AD/CVD law.  
Question 11  
Article 33, Paragraph 1, Subpoint 4 allows for the cancellation of an invest igation for any 
"other reasons as determined by the Government." Can you clarify what these reasons 
might be or provide some examples? Does this allow for cancellation based on the public 
interest?  
Reply : 
Yes. Other reasons may include the public interests . 
Question 12  
Regarding Article 34 of the AD/CVD Law, what repercussions, if any, are there for parties 
which disclose confidential information without authorization in the course of an 
investigation?  
Reply : 
Please refer to Article 67 which specified the m easures against violators.  
Question 13  
Please explain how interested parties are able to access the non -confidential information 
provided to the investigating authority.  
Reply : 
Please refer to Article 30 of the AD/CVD Law and together with the answer to Question 1; after the 
establishment of Investing Authority, it is expected that the information of Trade Remedy documents 
will be posted in dedicated website or other methods that are in accordance with the infrastructure 
of the investing authority.  
Part V  Chapter 2 Application of Provisional Measures  
Question 14  
Will the notification of provisional measures as described under Article 41 of the AD/CVD 
Law comply with the requirements of Article 12.2.1 of the WTO Antidumping Agreement, 
which requires a publi c notice that sets forth or makes available sufficiently detailed 
explanations for the preliminary determinations on dumping and injury, the names of 
suppliers or countries involved, a description of the product sufficient for customs 
purposes, margins and  a full explanation of methodology, considerations relevant to the 
injury determination, and the main reasons for the determination?  G/ADP/Q1/LAO/2 • G/SCM/Q1/LAO/2 • G/SG/Q1/LAO/2  
 
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  Reply : 
Please refer to Article 30 and the details of notification process will be elaborated in the subsequent 
implementing  legislation. Lao PDR is welcomed the technical assistance for this development.  
Question 15  
Please explain the procedures for interested parties to request an agreement which would 
eliminate dumping or subsidy duties under Articles 44 and 45 of the AD/CVD  Law?  
Reply : 
Please refer to Article 44.1 which indicates that the "Ministry of Industry and Commerce may reach 
the agreement with exporters in which exporters agree to increase the price of dumped products or 
cease exporting at dumped prices. " 
Question 16  
Can an Agreement under Articles 44 and 45 of the AD/CVD Law be established at any time 
during an investigation? If not, please explain when such an agreement may be 
established. Please also explain whether such an agreement may be established after 
measur es have been imposed.  
Reply : 
Yes. Please also refer to the answer for Question 15.  
Part V Chapter 3 Application of General Measures  
Question 17  
Is the National Assembly empowered under Article 47 of the AD/CVD Law to modify the 
proposed measure in any way before voting to implement it?  
Reply : 
The National Assembly may approve the purposed measure. The tariff rate enforced in general 
measures is only imposed to remove injury and shall be equal to or lower than margin of dumping 
or amount of subsidy of exporters; unless otherwise there is an agreement on elimination of dumping 
and subsidy as stipulated in Article 44 and 45.  
Question 18  
What must be included in an acceptable application for refund under article 50 of the 
AD/CVD Law and will this refund in clude any interest payments for the period of time 
money was withheld? Does the result of a refund review revise the duty rate in effect?  
Reply : 
The exporters of investigated products may request for refund, where it can be demonstrated that 
the margin of dumping or amount of subsidy has been eliminated or reduced to a level which is 
below the level of duty in effect. The refund shall normally be made within three (3) months after 
the date on which the refund was authorized. In case the refund cannot be mad e within three 
(3) months, the investigating committee shall provide reasons of the delay.  
Question 19  
Please explain whether the administering authority can revise the applicable rate of duty 
as the result of an expiry review or if the result of an expiry review is limited to continuing 
(or allowing to expire) duties at the existing rate.  G/ADP/Q1/LAO/2 • G/SCM/Q1/LAO/2 • G/SG/Q1/LAO/2  
 
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  Reply : 
Please refer to Article 49 Review of the Application of General Measures . 
Question 20  
Should a party request consideration of decisions made according to Art icles 47, 49, or 50 
of the AD/CVD Law, what Court or administrative body would hear the case? What 
constitutes a complete and acceptable application for consideration to the court under 
Article 52 of the AD/CVD Law?  
Reply : 
Please refer to Article 52, the L ao people’s Court dealing with economic or commercial issues.  
Part VII Chapter 1 Administration of Anti -dumping and Countervailing Activities  
Question 21  
Articles 59 and 60 of the AD/CVD Law indicate that provincial and municipal authorities 
have certain investigative and implementational rights and duties that overlap with the 
national authorities' rights and duties. Please explain whether certain rights duties are 
reserved to provincial and municipal authorities. Also please clarify whether the p rovincial 
and municipal authorities will play any role in the investigation of dumping or 
countervailing activities.  
Reply : 
Please refer to Article 59.3 and Article 59.4, the provincial and municipal authorities will be 
responsible for facilitating and coo perating with the Investigating Authority and committee to 
implement anti -dumping and countervailing activities. In addition, they may receive 
recommendations and notices on anti -dumping and countervailing activities from relevant sectors, 
and report to th e Ministry of Industry and Commerce for consideration. Moreover, Article 60.4, these 
authorities will also facilitate and cooperate with the investigating authorities and committee 
regarding injury from dumping and subsidy.  
Safeguards  
Question 22  
With rega rd to Article 5 of the Law on Safeguards, please clarify the order of precedence 
of the manner in which the Law on Safeguards would be applied? That is, if there are 
conflicts between the Law on Safeguards, other federal policies and laws and the 
internati onal agreements to which Lao DPR is a party, which authority holds precedent?  
Reply : 
Refer to Law on Treaties and Conventions, Ref. No. 18/NA, dated 08 May 2017, Article  
Question 23  
Article 9 of the Law on Safeguards indicates that details related to the e ight listed injury 
factors and the degree of serious injury are defined in specific regulations. Please identify 
the referenced regulations and confirm that they will be notified to the WTO Committee 
on Safeguards.  G/ADP/Q1/LAO/2 • G/SCM/Q1/LAO/2 • G/SG/Q1/LAO/2  
 
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  Reply : 
The details of the eight listed in jury factors and the degree of serious is specified in the Guidance on 
the Implementation of Article 9 of the Law on Safeguard, No. 0905/MOIC.DFTP, dated 05 July 2018. 
Lao PDR is welcomed the technical assistance for translation of this Guidance.  
Question 24 
Article 11 of the Law on Safeguards indicates that the Ministry of Industry and Commerce, 
in collaboration with ministries and relevant sectors, shall conduct the investigation of 
serious injury before proposing the application of a safeguard measure. A rticle 16 of the 
Law on Safeguards states, "{t}he investigating committee shall consist of the 
investigating authorities, government officials of the industry and commerce sector, and 
other relevant sectoral representatives." Please clarify whether the inv estigating 
committee will consist of and/or collaborate with private sector representatives and 
provide examples of the representatives of relevant sectors that would be involved.  
Reply : 
Please refer to Article 11 and Article 16, the relevant sectors may i nclude representatives from 
private sectors, including those from the Lao National Chamber of Commerce and Industry.  
Question 25  
Regarding Article 18 of the Law on Safeguards, please explain how the investigating 
committee will provide the information in the investigation report to interested parties 
for review and comment.  
Reply : 
Please also refer to the answer to Question 1.  
Question 26  
Please clarify the process by which the Government will decide whether to impose a 
safeguard measure. Th at is, describe the entities with decision -making authority and the 
respective decision making processes.  
Reply : 
The Government will decide to impose safeguard measure if there is an injury to a domestic industry 
and there is a causal link between the incr eased imports and a serious injury or threat of serious 
injury. Injury to a domestic industry means a loss of overall commercial benefits from a significant 
increase in imports and under such conditions as to cause or threaten to cause a serious injury to a 
domestic industry. Please also refer to Article 11, Article 27 and Article 30 for the whole picture of 
the investigation process and application of safeguard measures.  
Question 27  
If, under Article 19 of the Law on Safeguards, the Minister of Industry an d Commerce 
decides to terminate an investigation, does that termination need to be approved by the 
Government?  
Reply : 
Refer to Article 19 of the Law on Safeguards, the Minister of Industry and Commerce does not need 
to be approved by the Government to term inate an investigation if the 3 cases specified in such 
Article occurred.  G/ADP/Q1/LAO/2 • G/SCM/Q1/LAO/2 • G/SG/Q1/LAO/2  
 
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  Question 28  
Regarding Article 30 of the Law on Safeguards, could the Government or Standing 
Committee of the National Assembly decide not to impose duties despite a 
recommendation to do so by the Minister of Industry and Commerce? Conversely, could 
the Government or Standing Committee of the National Assembly decide to impose duties 
if the imposition was not recommended by the Minister of Industry and Commerce?  
Reply : 
Yes, the Government or Standing Committee of the National Assembly decide not to impose duties 
despite a recommendation to do so by the Minister of Industry and Commerce.  
Please refer to Article 30, the Minister of Industry and Commerce will propose the G overnment to 
consider imposing duties based on the report presented by the investigating committee within fifteen 
working days. However, the National Assembly would only consider imposing duties based on  the 
report recommended by the Minister of Industry a nd Commerce.  
Question 29  
Regarding Article 39 of the Law on Safeguards, what consequences are faced by parties, 
if any, which disclose confidential information without authorization in the course of a 
safeguard investigation?  
Reply : 
Please refer to Article  50 on Measures against Violators.  
Question 30  
Please clarify whether and how interested parties can appeal decisions made by the 
Minister of Industry and Commerce, the Government, or the Minister of Finance of the 
Standing Committee of the National Assemb ly. 
Reply : 
The details on how interested parties can appeal decision will be specified in the subsequent 
implementing legislation. Lao PDR is welcomed the technical assistance for this development.  
Question 31  
Please explain how interested parties can requ est a public hearing to present evidence 
and arguments during the course of a safeguard proceeding.  
Reply : 
The details on how interested parties can request a public hearing to present evidence and 
arguments during the course of a safeguard proceeding will  be specified in the subsequent 
implementing legislation. Lao PDR is welcomed the technical assistance for this development.  
Question 32  
Please explain how interested parties can access the non -confidential information that is 
provided to the investigating authority.  
Reply : 
Please refer to Article 17.1 and Article 17.2 of the Law on Safeguard that the investigating authorities 
will "notify the exporting country, the applicant, the WTO and interested parties before carrying out G/ADP/Q1/LAO/2 • G/SCM/Q1/LAO/2 • G/SG/Q1/LAO/2  
 
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  the actual invest igation as well as "disseminate the Decision on Investigation on any media to inform 
the public. " 
Question 33  
Please clarify whether/if and how parties can register their interest in a safeguard 
proceeding with the authority and whether there is a time lim it to do so.  
Reply : 
The details on how parties can register their interest in safeguard proceeding and the time limit will 
be specified in the subsequent implementing legislation. Lao PDR is welcomed the technical 
assistance for this development.  
 
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