WORLD TRADE  
ORGANIZATION   
G/ADP/Q1/BRA/19 
G/SCM/Q1/BRA/19 24 October 2012 
 
(12-5813) 
Committee on Anti-Dumping Practices 
Committee on Subsidies and Countervailing Measures Original:   English 
 
 
 
NOTIFICATION OF LAWS AND REGULATIONS UNDER 
ARTICLES 18.5 AND 32.6 OF THE AGREEMENTS 
 
Replies to Questions Posed by the UNITED STATES1 Regarding 
the Notification of BRAZIL2 
 
  The following communication, dated 23 October 2012, is being circulated at the request of 
the Delegation of Brazil.    
 
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Question 1 
 
 Directive 46  does not describe the role DECOM plays in the evaluation of the 
antidumping application and does not identify an y applicable standards and deadlines.  Are the 
deadlines, standards and other procedural and methodological requirements pertaining to the 
filing and evaluation of antidumping applications  outlined in Articles 18 through 24 of Decree 
No. 1602 of August 23, 1995 still applicable and in force?   
 
Reply 
  The deadlines, standards and other procedural  and methodological requirements pertaining to 
the filing and evaluation of antidumping applicati ons outlined in Articles 18 through 24 of Decree 
No. 1602 of 23 August 1995 are still applicable and in force.
  
 
Question 2 
 
 Articles 6 and 8 of the Section I (General Instructions) contain the term "restricted".  
Please indicate the meaning of this term.  Is interested parties' access to "restricted" 
information simply restricted until an investigat ion is initiated?  Once an investigation is 
initiated, can members of the public who are no t interested parties obtain access to restricted 
information? 
 
Reply 
 
 "Restricted" information is available to all in terested parties throughout the investigation. 
 
                                                      
1 G/ADP/Q1/BRA/17-G/SCM/Q1/BRA/17.   
2 G/ADP/N/1/BRA/2/Suppl.8-G/SCM/ N/1/BRA/2/Suppl.8/Corr.1.   G/ADP/Q1/BRA/19 
G/SCM/Q1/BRA/19 Page 2 
 
 
   "Public" information is available through the Fe deral Official Gazette and reflects relevant 
information contained in the documents classified as "restricted" and, particularly, conclusions drawn 
from all the information available.  Question 3 
 
 After an investigation is initiated, does DECOM seek any further information from the 
petitioners pertaining to injury and the causality factors detailed in Articles 5 and 9 of Section 
II (General Information), and in Articles 6.12 an d 7 of Section III (Information By Company 
Represented In The Application)?     
Reply 
  According to the new procedures, which requi re thorough information from the petitioners at 
the outset of the process, all the information required from them shall be included in the petition.  
However, it should be clear that, if necessary, DECOM may seek further information from the petitioners pertaining to injury and the causality f actors detailed in Articles 5 and 9 of Section II 
(General Information), and in Articles 6.12 and 7 of Section III (Information By Company Represented in the Application).  Question 4  
 
 After an investigation is initiated, does DECOM seek any further information from 
domestic producers of the like product who are not part of the petitioning group pertaining to 
injury and the causality factors detailed in Arti cles 5 and 9 of Section II (General Information), 
and in Articles 6.12 and 7 of Section III (I nformation By Company Represented In The 
Application)?    
 
Reply 
 
 It may be necessary to seek further information from the domestic producers who are not part 
of the petitioning group.  In cases where the pe titioners have fulfilled th e standing requirements 
established in article 5.4 of the ADA, and the data  from the domestic industry included in the petition 
covers more than 50% of the total production of the like product produced by the domestic industry, 
no further information is required.  Otherwise,  after having passed the standing test, DECOM will 
endeavor to collect further information regard ing the production of the other domestic producers 
which were not petitioners.  
 
Question 5 
 
 Article 5.3 of Section II (General Information)  discusses trade associations.  In instances 
where an application is filed by a trade associat ion, does DECOM require that that a majority 
of the association's members produce the domestic like product?  If so, how is majority defined 
(e.g., 50% of members)?   
 
Reply 
 
 If the application is filed by a trade associati on, DECOM requires that the application states 
clearly the product under investigation, the name of the companies represented, as well as the volume 
and the value of the corresponding production, as de fined in Article 18, paragraph 1, subparagraph 
"a", of Decree No. 1602 of 23 August 1995.  Trad e associations may congregate producers of 
different products which may not be under investiga tion.  Thus, there is no requirement that the  G/ADP/Q1/BRA/19 
 G/SCM/Q1/BRA/19 
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  majority of the members of a trade association s hould produce the domestic like product.  In all cases 
the standing test of Article 5.4 of the ADA must be respected.  
Question 6 
 
 Articles 5.1 through 5.5 of Section II (Gen eral Information) describe the data to be 
collected from the petitioner regarding repre sentativeness and standing.  Has Brazil ever 
considered polling the domestic industry?  If so, what procedural steps are taken in order to 
poll the industry?  
 
Reply 
  No, so far Brazil has not considered polling the domestic industry.  Question 7 
 
 Article 8.4 of Section II (General Informat ion) describes the various alternatives 
available to the petitioner for establishing normal value for purposes of the application ( e.g., 
representative price in the domestic market, expo rt price to third country, constructed value).  
Is there a hierarchy in terms of preference amon g the various alternatives listed or are all 
alternatives considered equally acceptable to DECOM?    
Reply 
  All alternatives for establishing normal value are equally acceptable to DECOM. 
 
Question 8 
 
 Article 8.5 of Section II (General Informat ion) discusses the requirements for export 
price.  We understand, however, that in evalua ting the merits of the application, DECOM often 
relies on import statistics made available from the Brazilian tax authority to establish export 
price.  For purposes of initiation, to what exte nt does DECOM rely on the data provided by the 
petitioner, as opposed to import statistics obtained through its own research, to determine 
export price? 
 
Reply 
  To initiate an investigation, DECOM usually relies on data available from public sources as 
well as on the data provided by the petitioner.  
Question 9 
 
 Does DECOM employ a reasonably available standard in its evaluation of data provided 
by petitioners in trade remedy applications?  If so , what checks are in place to ensure that prior 
to initiation of an investigation, DECOM is satisfied the data provided is sufficient?   
 
Reply 
  DECOM emphasizes that all petitions must follo w the instructions established in Directive 
nº46/11 in order to be accepted by  the investigating authority. G/ADP/Q1/BRA/19 
G/SCM/Q1/BRA/19 Page 4 
 
 
  Question 10 
 
 To what extent do any of the changes to Brazil's practice outlined in Directive 46 also 
apply to countervailing duty applications? 
 
Reply 
 
 The regulations in Directive 46 do not apply to  countervailing duty applications.  However, it 
is important to emphasize that, in the context of modernization of our legi slation and procedures, 
Directive 46 constitutes a reasonable standard  for understanding the information DECOM may 
require from petitioners in count ervailing duty investigations. 
  
 
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