G/ADP/N/1/PAK/3  
G/SCM/N/1/PAK/3  
 
20 January 2016  
(16-0397)  Page: 1/68  
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 
PAKISTAN  
The following communication, received 11 January 2016, is being circulated at the request of the 
Delegation of Pakistan. 
 
_______________ 
 G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
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[AS PASSED BY THE SENATE] 
 
PART I 
ACTS, ORDINANCES, PRESIDENT'S ORDERS AND REGULATIONS 
NATIONAL ASSEMBLY SECRETARIAT 
Islamabad, the 8th September, 2015 
No. F.22 (15)/2015 -Legis - The following Act of Majlis-e-Shoora  (Parliament) received the 
assent of the President on the 5th September, 2015 and is hereby published for general information: -- 
A
CT NO. XII OF 2015 
An Act to reform and repeal the National Tariff Commission Act, 1990 
 WHEREAS  it is expedient to provide for certain re forms in the National Tariff Commission by 
repealing the National Tariff Commission Act, 1990 (VI of 1990) and re-enacting it for the 
purposes hereinafter appearing; 
  It is hereby enacted as follows: -- 
 
1. Short title, extent and commencement. - (1) This Act may be called the National Tariff 
Commission Act, 2015.  
(2) It extends to the whole of Pakistan. 
(3) It shall come into force at once. 
 
2. Definitions. - In this Act, unless there is anything repugnant in the subject or context,- 
 
(a) "Commission" means the National Tariff Commission established under section 3; 
(b) "Interested party" means any party having interest in the product under investigation 
including domestic producers, importers, consumers, exporters, foreign producers, 
trade or business associations of the investigated product or such other persons or group of persons as the Commission may specifically through notification in official 
Gazette; 
(c) "Member" means a member of the Nation al Tariff Commission and included the 
Chairman; 
(d) "Prescribed" means prescribed by rules made under this Act; 
(e) "Repealed Act" mean the National Tariff Commission Ordinance, 1990 (VI of 1990); (f) "Trade Remedy Laws" includes the Anti-D umping Law, the Countervailing Duties Law, 
and the Safeguard Measures Law for the time being in force. 
3. Continuation of National Tariff Commission. - The National Tariff Commission 
established by the Repealed Ordinance shall be deemed to have been established under this Act, notwithstanding the repeal of the "Repealed Act" , the Commission shall be deemed to have been 
validly constituted, subject to section 5, under this Act and shall continue to perform its functions 
accordingly.  
4. Constitution of the Commission. - (1) The Commission shall comprise five members, 
appointed by the Federal Government in the prescribed manner. The Federal Government shall appoint one of the members to be Chairman of the Commission. G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
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  (2) The Commission shall be a body corporate having perpetual succession and a common 
seal. It shall have the authority and duty to exercise  the functions assigned to it by or pursuant to 
this Act or any other law for the time being in force, shall have the power and authority to acquire, hold and dispose of property, both movable and immovable, in its own name, shall have the power 
and authority to open a personal ledger account in its own name and may sue and be sued in its 
own name. 
(3) The head office of the Commission shal l be at Islamabad and the Commission may 
establish offices at such places as it may deem necessary. 
(4) No act, proceeding or decision of the Comm ission shall be invalid by reason only of 
the existence of a vacancy or defect in the Constitution of the Commission. 
5. Qualification and eligibility of members. - (1) All members of the Commission shall be 
citizens of Pakistan and shall be employed with the Commission on a full-time basis.  
(2) A member of the Commission shall,- 
(a) have at least a masters or professional degree or qualification from an accredited 
university or institute in international trade laws, business and commercial laws, 
economics, accountancy, tariffs and trade,  commerce and trade, or a trade-related 
subject; knowledge of trade remedy Laws would be an advantage; and 
(b) have at least fifteen years of professional work experience in international trade law, 
business and commercial laws, economics, accountancy, harmonized tariffs, commerce and trade, tariffs and trade or other trade-related technical field; direct work experience in trade remedy laws would be an advantage. 
(3) The Federal Government shall select up to two members from the Commission's 
experienced technical officers provided that they meet the eligibility and qualification requirements 
specified in sub-sections (1) and (2). 
6.  Disqualification. - ( 1 )  N o  p e r s o n  s h a l l  b e  a p p o i n t e d  o r  c o n t i n u e  a s  m e m b e r  o r  a n  
employee of the Commission if such person; 
(a) has been convicted of an offence involving moral turpitude; 
(b) has been or is adjudged insolvent; 
(c) is incapable of discharging his duties by reasons of physical, physiological or, mental 
unfitness and has been so declared by a duly constituted Medical Board appointed by the Federal Government; 
(d) fails to disclose any conflict of interest at or within the time provided for such 
disclosure by or under this Act or contravenes any of the provisions of this Act pertaining to unauthorized disclosure of information. 
7. Term of office. - (1) "The Chairman and members of the Commission shall hold office for a 
t e r m  o f  f i v e  y e a r s .  T h a t  t e r m  s h a l l  b e  e x t e n d a b l e  b y  o n e  y e a r  u n l e s s  t h e  F e d e r a l  G o v e r n m e n t  directs otherwise." 
 
(2) If the Chairman's position becomes vacant, the Federal Government shall appoint and 
notify a new member or may designate and notify  the most senior member as Chairman. In the 
absence of either notification, the most senior member, in terms of service in the Commission, 
shall perform the duties and functions of the Chairman. 
8. Function of the Commission. - (1) The functions of the Commission shall be to advise the 
Federal Government on,- 
(a) tariff and other trade measures to,- 
(i) provide assistance to the domestic industry; and (ii) improve the competitiveness of the domestic industry; G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
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  (b) trade remedy actions being faced by domestic producers and exporters; 
(c) rationalization of tariff and proposals for tariff reform; (d) removal of tariff anomalies; and (e) any other matter relating to tariff or tr ade measures that the Federal Government 
may refer to the Commission. 
(2) In addition to the functions specified in sub-section (1), the Commission shall also 
perform such functions with respect to international trade and other matters that may be assigned 
to it by the trade remedy laws or any other law for the time being in force. 
(3) Where the Federal Government has adopted the recommendations of the Commission 
in whole or part, the Commission shall periodically review the effect of such recommendations and in consequence of the review may give furthe r recommendations to the Federal Government. 
(4) The Commission shall advise, where possible, the domestic exporters and producers 
facing trade remedy investigations abroad. 
(5) The Commission shall assist the Federal Government at the World Trade Organization 
dispute settlement body in respect of matters pe rtaining to the Trade Remedy Laws, WTO Covered 
Agreements and disputes under other trade agreements. The Federal Government may hire the services of a qualified and experienced international trade lawyer or international trade consultant 
for this purpose on a case-to-case basis. 
(6) The Commission may undertake research to facilitate effective implementation of 
Trade Remedy Laws and tariff rationalis ation, in a manner to be prescribed.  
9. Power of Commission to make inquiries on application. - (1) In addition to the matters 
falling within the scope of the Trade Remedy Laws or any other law, the Commission may initiate 
inquiries or investigations under this Act on,-  
 
(a) an application that has been submitted by or on behalf of the domestic industry in the 
prescribed form and accompanied by the prescribed fee;  
(b) a reference received by it from the Federal Government; or 
(c) on its own motion. 
10. Power of Commission to access information. - (1) The Commission shall have the 
powers to solicit, gather, obtain, and verify any relevant information for the purposes of its functions from any Ministry, Division, Federal or Provincial Department, private or public entity or 
agency. 
(2) Notwithstanding anything contained in this Act or in any other law for the time being 
in force, any business confidential information received or obtained, directly or indirectly, by the 
Commission pursuant to or in connection with an investigation, inquiry or study shall not be 
subject to disclosure by the Commission to any Ministry, Division, department, agency or instrumentality of the Federal Government or a Provincial Government without the prior 
permission of the party submitting such business confidential information. 
(3) The Commission shall take all acts and measures necessary to provide transparent 
and prompt access to information to all parties, in a prescribed manner. 
11. Power of Commission as civil court. -  The Commission shall have all the powers of a civil 
court while trying a suit under the Code of Civil Procedure, 1908 (V of 1908), in respect of the 
following matters, namely:-   
(i) summoning and enforcing the attendance of any person and examining him on oath; 
and 
(ii) requiring the supply of any information and production of any document which may be 
useful for the conduct of its inquiry. G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
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  12. Power of Commission to make recommendations. - (1) While examining a proposal for 
tariff rationalisation or assistance to the domestic industry or trade measure and making recommendations to the Federal Government, the Commission shall satisfy itself on the points that,- 
 
(i) the quality of the product to which such protection or assistance it to be given is good 
and conforms to the standards laid down by the Pakistan Standards and Quality 
Control Authority or, where such standard has not been prescribed, it conforms to 
internationally accepted standards; 
(ii) the additional cost to the consumer may not be excessive; and (iii) the industry is not likely to need the protection or assistance after a reasonable period 
of time. 
(2) Where it has decided to undertake any inquiry or investigation, the Commission shall 
take such measures as it deems necessary to ensure that all units engaged in economic activities 
similar to those being carried on by any industri al undertaking or trading business which has made 
an application or in respect of which an inquiry or investigation has been undertaken by the Commission are informed that such inquiry or investigation has been undertaken. 
13.  Timelines for submission of recommendations by Commission. - (1) The Commission 
shall complete inquires and investigations under this Act and submit a report to the Federal Government within a period not exceeding one hundred and twenty days.  
(2) The enquiries and investigations undertaken by the Commission under this Act shall 
be completed within the periods as specified in the schedule. 
( 3 )  T h e  F e d e r a l  G o v e r n m e n t  s h a l l ,  t a k e  a  d e c i s i o n  o n  t h e  r e c o m m e n d a t i o n s  o f  t h e  
Commission within fifteen days of the issuance of the same. 
14. Delegation of powers of the Commission.  - (1) The Commission, may delegate any of 
its functions or powers to one or more of its members or one or more of the officers, employees, consultants or agents of the Commission: 
 Provided that the Commission may not delegate its power or authority to initiate an 
investigation, to make preliminary or final determination, including review, refund and termination o f  i n v e s t i g a t i o n s  i n  c a s e s  g o v e r n e d  b y  T r a d e  r e m e d y  L a w s  o r  a n y  o t h e r  l a w  t h a t  r e q u i r e s  t h e  Commission to make such determination: 
 Provided further that a delegation under this sub-section may be revoked or modified by the 
Commission at any time and shall otherwise not prevent the Commission from concurrently performing or exercising any function or power so delegated. 
 Provided also that the person to whom powers  or functions are delegated pursuant to this 
sub-section shall not further delegate such powers or functions.  
(2) The Commission may, by and through, one or more of its members, officers, 
employees or agents who have been duly design ated by the Commission for such purpose, carry 
out any inquiry, investigation or function necessary or appropriate for the proper exercise of the Commission's duties, powers and authority, whether provided under this Act or any other law in any part of Pakistan or in any foreign country. 
15. Meeting procedure and quorum. -  (1) Decisions and determinations of the Commission 
shall be taken by majority vote. 
(2) At least two members, one of whom shall be Chairman, shall constitute a quorum, 
provided that in case of quorum of two Member s, the decision shall be taken by consensus.  
16. Administration and Secret ariat of the Commission. - (1) The Commission shall have a 
Secretariat which shall be headed by a Secret ary to the Commission. The Secretary shall be 
appointed by the Commission as prescribed. G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
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  (2) The Secretary to the Commission shall perform functions and duties, including the 
following, namely:-  
(a) to keep in custody the records and seal of the Commission; 
(b) to authorize payment of monthly salaries and allowances to the employees of the 
Commission; 
(c) to propose budget estimates and revised budget estimates and place the same before 
the Commission; 
(d) to receive applications for investigations on behalf of the Commission; and 
(e) to perform any other duties that may be assigned to him by the Commission. 
 17. Employees of the Commission. - (1) The Commission may do all such acts and take all 
such steps as are necessary for the performance of  the functions of the Commission, including the 
appointment of such officers etc. as it consid ers necessary for the efficient performance of its 
functions, on such terms and conditions as may be prescribed. 
(2) Subject to sub-section (3), the Commi ssion may employ, on market-scale salary, 
consultants, agents and technical, professional and other advisers including lawyers, economists, 
accountants, bankers, actuaries and other professionals to do any act necessary or appropriate to 
the exercise of the Commission's powers or the performance of its functions as specified in 
section 8. 
(3) The employees of the Commission and ot her persons authorized to perform any 
function under this Act shall be deemed to be a public servant within the meaning of section 21 of 
the Pakistan Penal Code 1860 (XLV of 1860). 
18. Terms and Conditions of services of the Commission and its Employees. - (1) "The 
benefits of the Commission and of an employee appointed on full-time basis in the Commission 
shall be as prescribed." 
(2) From the date of appointment, the pensio n, gratuity, GP fund and other retirement 
benefits of an employee appointed on full-time basis in the Commission shall be the same as 
Federal Government employees of the equivalent status, grade and scale. 
(3) Employees appointed on full-time basis sh all be provided time-scale promotions. For 
this purpose, the Commission shall make necessary regulations with approval of the Federal Government. 
(4) All other matters relating to rules, orde rs, terms and conditions of services of the 
employees of the Commission shall be dealt with in accordance with the National Tariff Commission Employees' (Service) Rules 1995, as revised from time to time. 
19. Fund of the Commission. - The Fund of the Commission shall consist of,- 
 
(a) grants from the Federal Government; 
(b) fee collected by the Commission; 
(c) aid from international agencies; and (d) such sums as the Federal Government may allocate to the Commission. 
 
20. Budget, audit and accounts. - (1) The Commission shall cause proper accounts to be kept 
as prescribed by the Controller General of Account s. As soon as practicable, after the end of the 
financial year, the Commission shall prepare a statement of accounts of the Commission for that 
year. This shall include a balance sheet and an account of income and expenditure. 
(2) Within sixty days after the end of each financial year, the annual financial statements 
shall be audited by the Auditor-General of Pakistan. G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
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  (3) The auditors shall make a report to the Commission upon the balance sheet and 
accounts. They shall state whether the balance sheet is a full and fair balance sheet containing all necessary particulars and properly drawn up so as to exhibit a true and correct view of affairs of the Commission. In case the Auditors have called for any explanation or information from the 
Commission, it shall be stated by the Auditors as to whether such explanation or information was 
provided to the auditors to their satisfaction or not.  
21. Representation before the Commission. - Any person duly authorized by a party is 
entitled to appear, plead and act on behalf of such party before the Commission.  
 22. Penalty for false statement or failure  to disclose correct information. - (1) Any 
person who knowingly or willfully furnishes any information or document or book of accounts 
which he is bound to produce under this Act or any Trade Remedy Laws and he has reason to 
believe to be false or incorrect shall be liable to imprisonment for a term which may extend to three years, or a fine not exceeding five million rupees, or both. 
(2) Notwithstanding anything contained in the Code of Criminal Procedure 1898 
(V of 1898), no court other than a court of sessions shall have jurisdiction to try a person charged with an offence under sub-section (1). 
23. Duty of members, officers, etc., to maintain secrecy. - (1) Except in the performance 
of his duties under this Act or any other Trade Re medy Law, every member, officer, consultant and 
adviser of the Commission shall preserve and aid in preserving secrecy with regard to all matters relating to the financial or other affairs of an y undertaking or person that may come to his 
knowledge in the performance of his duties.  
(2) Every such member, officer, consultant or adviser who communicates any such 
matter, except when required by law to do so or  in the discharge of his duty as such, shall be 
punishable with imprisonment of either description for a term which may extend to three months, 
or with fine not exceeding five million rupees, or both. 
(3) Any information referred to in sub-section (1), if prejudicial to the National Security or 
Defense, shall be disclosed to the Agency seekin g such information, with the approval of the 
Commission.  
24.  Disclosure of interest. -  (1) The following shall apply to all employees serving in any 
capacity whatsoever in the Commission. 
(2) A person shall be deemed to have an interest in a matter if he has any interest, 
pecuniary or otherwise, in such matter which could reasonably be regarded as giving rise to a conflict between his duty to honestly perform his functions, so that his ability to consider and 
decide any question impartially or to give any ad vice without bias, may reasonably be regarded as 
impaired. 
(3) A person having any interest in any matter to be discussed or decided by the 
Commission, shall prior to discharge of any function or business of the Commission, disclose in 
writing to the Secretary to the Commission, the fact of his interest and the nature thereof. 
(4) Every person shall give written notice to the Secretary to the Commission of all direct 
or indirect pecuniary or other material or personal interests that he has or acquires in a body 
corporate involved in a matter at the Commission. 
(5) A disclosure of interest under sub-section (2) shall be made a part of the record of the 
Commission in that particular matter. G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
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  (6) Where there is such disclosure of interest,-  
(a) such person shall not, save as provided in sub-sections (7) and (8) take part nor be 
present in any investigation, research, deliberation or decision of the Commission as the case may be; and 
(b) such person shall be disregarded for th e purpose of constitution of a quorum or 
performance of a task, as the case may be. 
(7) Any person who fails to disclose his interest as required by this section shall, on proof 
of such act, be liable to removal from the Commission. 
(8) It shall be a valid defense for a person charged with the allegation of failure to 
disclose such interest under sub-section (7), if such person proves that he was not aware of the facts constituting such allegation and that he ex ercised due care and diligence in discovering the 
facts which he ought reasonably to have known in the circumstances. 
25.  Removal. - Appointment of any member or employee of the Commission may, at any time, 
be revoked by order of the Federal Government if it is found that such person stands disqualified 
on the grounds and in the manner as prescribed.  
 26. Powers to make rules. - (1) The Commission may, with the prior approval of the Federal 
Government, and by notification in the official Gazette, make rules for carrying out the purposes of 
this Act. 
(2) The Commission shall make regulations for terms and conditions of employment for its 
employees. 
27. Indemnity. - No suit, prosecution or other legal proceeding shall lie against any member or 
any officer or employee of the Commission or any other person in respect of anything which is in good faith done or intended to be done in pu rsuance of this Act, Any Trade Remedy Laws, any 
rules or orders made thereunder or in respect of the publication by or under the authority of the 
Commission of any report, paper or proceedings.  
28. Repeal. -  The National Tariff Commission Act,  1990 (VI of 1990) is hereby repealed. 
 29. Savings. -  (1) Notwithstanding the repeal under section 28, nothing in this Act shall affect 
o r  b e  d e e m e d  t o  a f f e c t  a n y t h i n g  d o n e ,  a c t i o n  taken, investigation or proceedings commenced, 
order, rule, regulation, appointment, document , or agreement made, fee directed, resolution 
passed, direction given, proceedings taken, or inst rument executed or issued under or pursuant to 
the Repealed Act and any such thing, action, investigation, proceedings, order, rule, regulation, 
appointment, document, agreement, fee, resolution, direction, proceedings or instrument shall, if 
in force on the commencement date and not inconsistent with any of the provisions of this Act, continue in force and have effect as if it ha d been respectively done, taken, commenced, made, 
directed, passed, given, executed or issued under this Act. 
 
(2) Notwithstanding anything contained in any other Law, judgment or decision of the 
Courts, all acts, procedures and decisions of th e Commission made from September 2013 shall till 
date be deemed to have been va lidly made by the Commission.  
30. Act to override other laws. - The provisions of this Act shall have effect notwithstanding 
anything inconsistent therewith contained in any other law for the time being in force. 
 G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
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  THE SCHEDULE 
[See section 13 (2)] 
The Commission shall complete its enquiries and investigations under this Act as follows, namely:- 
(i) an enquiry or investigation for tariff and non-tariff protection or assistance to 
domestic industry shall, except in special circumstances, be completed within a period 
not exceeding sixty days, and in no case more than one hundred and twenty days after initiation; 
 
(ii) an enquiry or investigation for increase or decrease in tariff on the application of 
trading business or importers shall, except in special circumstances, be completed within a period not exceeding sixty days, and in no case more than one hundred and 
twenty days after initiation; 
 (iii) an enquiry or investigation for removal of tariff anomaly shall, except in special 
circumstances, be completed within a period no exceeding thirty days, and in no case 
more than one hundred twenty days after initiation; 
 
(iv) any other matter relating to tariffs or tariff policies shall be completed expeditiously 
but in any event no later than one hundred and twenty days; and 
 (v) an enquiry or investigation initiated on the request of the Federal Government or on 
its own motion depending on the nature thereof shall be completed within the time 
periods given in clauses (i), (ii), (iii) and (iv) above: 
 
 Provided that the Federal Government may, in situations constituting an urgency direct the 
Commission to expedite the enquiry or investigation to the extent possible as may be required to protect or assist the domestic industry. 
 
   
MOHAMMAD RIAZ 
Secretary 
 
 
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 G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
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[AS PASSED BY THE SENATE] 
 
PART I 
ACTS, ORDINANCES, PRESIDENT'S ORDERS AND REGULATIONS 
NATIONAL ASSEMBLY SECRETARIAT 
Islamabad, the 8th September, 2015 
No. F.22 (17)/2015 -Legis - The following Act of Majlis-e-Shoora  (Parliament) received the 
assent of the President on the 5th September, 2015 and is hereby published for general information: --  
A
CT NO. XIV OF 2015 
An Act to reform and repeal the Anti-Dumping Duties Ordinance, 2000 
WHEREAS  it is  e xp e d ie nt to g ive  e ffec t in P akis tan to the p rovis ions  of Ar tic le  VI  of th e 
General Agreement on Tariffs and Trade, 1994, an d to the Agreement on Implementation thereof 
and to amend and consolidate the law relating to im position of anti-dumping duties to offset such 
dumping, to provide a framework for investigation and determination of dumping and injury in 
respect of goods imported into Pakistan and for matters ancillary thereto or connected therewith; 
  AND WHEREAS  the imposition of anti-dumping duties to offset injurious dumping is in the 
public interest; 
 AND WHEREAS  it is expedient to provide for certain reforms in the Anti-Dumping Duties 
Ordinance 2000 (LXV of 2000) by repealing the said Ordinance and re-enacting the law for the purposes hereinafter appearing; 
 It is hereby enacted as follows: -- 
PART I 
 
PRELIMINARY 
 
1. Short title, extent and commencement. - (1) This Act may be called the Anti-Dumping 
Duties Act, 2015. 
 
(2) It extends to the whole of Pakistan. 
 
(3) It shall come into force at once. 
 
2. Definitions. - In this Act unless there is anything repugnant in the subject or context,- 
 
(a) "Appellate Tribunal" means the Appellate Tribunal established under section 64; 
(b) "Commission" means the National Tariff Commission established under the law for the 
time being in force; 
(c) "Country" means any country or territory whether a member of the World Trade 
Organisation or not and includes a customs union or separate customs territory; 
(d) "Domestic industry" means the domestic producers as a whole of a domestic like 
product or those whose collective output of that product constitutes a major 
proportion of the total domestic production of that product; except when any such G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
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  domestic producers are related to the exporters or importers, or are themselves 
importers of the allegedly dumped investigated product. In such a case "domestic industry" may mean the rest of the domestic producers: 
Explanation. -  For the purposes of this clause, producers shall be deemed to be 
related to exporters or importers only if - 
 
(i) one of them directly or indirectly controls the other; 
(ii) both of them are directly or indirectly controlled by the same third person; or 
(iii) together they directly or indirectly control a third person: 
 
Provided that there are grounds for believing or suspecting that the effect of the 
relationship is such as to cause the producer concerned to behave differently from 
non-related producers. For that purpose one shall be deemed to control another when the former is legally or operationally in a position to exercise restraint or direction 
over the latter; 
 
Provided further that, in exceptional circumstances, as may be determined by 
the Commission, domestic industry in relation to a product in question may be divided 
into two or more competitive markets and producers within each such market may be regarded as a separate industry if -  
 
(i) the producers within such a market sell all or almost all of their production of 
the product in question in such a market; and 
(ii) the demand in such a market is not, to any substantial degree, supplied by 
producers of the product in question located elsewhere in Pakistan; 
(e) "Domestic like product" means a "like product" that is produced by the domestic 
Industry; 
(f) "Dumping margin" in relation to a product, means the amount by which its normal 
value exceeds its export price; 
(g) "Export price" means export price determined  in accordance with Part IV of this Act; 
(h) "Exporting country" means, save as provided in sub-section (3) of section 5, a country 
from which an investigated product is exported to Pakistan; 
(i) "Injury" means, unless otherwise specified, material injury to a domestic industry, 
threat of material injury to a domestic industry or material retardation of the 
establishment of a domestic industry, when  dumped imports are causing such injury; 
(j) "interested party" includes - 
(i) any exporter or foreign producer of an investigated product;  
(ii) any importer of an investigated product; 
(iii) trade or business association a majority of the members of which are producers, 
exporters or importers of an investigated product; 
(iv) the government of an exporting country; 
(v) any producer of a domestic like product in Pakistan; 
(vi) trade or business associations a majority of the members of which produce a 
domestic like product in Pakistan; and 
(vii) such other person or group of persons as the Commission may, by notification 
in the official Gazette, specify; 
(k) "investigated product" means a product which is subject to an anti-dumping 
investigation as described in the notice of initiation of the investigation; 
(l) "investigation" means an investigation conducted under this Act; G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
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  (m) "like product" means a product which is alike in all respects to an investigated product 
or, in the absence of such a product, another product which, although not alike in all respects, has characteristics closely resembling those of the investigated product; 
(n) "Normal value" means normal value determined in accordance with Part III of this 
Act; 
(o) "prescribed" means prescribed by rules made under this Act; and (p) "WTO" means the World Trade Organisation established pursuant to the Marrakesh 
Agreement concluded in Marrakesh, Morocco, on the 15th of April 1994. 
PART II 
 
ANTI-DUMPING MEASURES 
 
3. Levy of anti-dumping duty. - (1) The Commission shall, by notification in the official 
Gazette, impose anti-dumping measures on products imported into Pakistan when it determines, 
pursuant to an investigation initiated and conducted in accordance with the provisions of this Act 
that -  
(a) an investigated product is dumped within the meaning of this Act; and 
(b) injury is being caused to domestic industry within the meaning of this Act. 
PART III 
 
IDENTIFICATION OF DUMPING AND DETERMINATION OF NORMAL VALUE 
 
4. Identification of dumping. - For the purposes of this Act an investigated product shall be 
considered to be dumped if it is introduced into the commerce of Pakistan at a price which is less 
than its normal value.  
5. Normal value based on prices in exporting country. - (1) Save as provided for in 
section 6, the Commission shall establish normal value of an investigated product on the basis of comparable price paid or payable, in the ordinary course of trade, for sales of a like product when 
destined for consumption in an exporting country. 
 
(2) Notwithstanding anything contained in sub-section (1), the Commission may establish 
normal value of an investigated product on the basis of comparable price paid or payable in the 
ordinary course of trade for sales of a like product when destined for consumption in the country of 
origin of the investigated product if - 
(a) such products are not produced in an exporting country; or 
(b) there is no comparable price for them in an exporting country. 
(3) In the event the Commission decides to es tablish normal value on the basis of the 
country of origin of an investigated product pursuant to sub-section (2), any reference to an exporting country in this Act shall be deemed to refer to the country of origin of the investigated 
product. 
6. Normal value based on export price to a third country or on constructed value. - 
(1) When there are no sales of a like product in th e ordinary course of trade in domestic market of 
an exporting country, or when such sales do not permit a proper comparison because of any 
particular market situation or low volume of the sales in the domestic market of the exporting country, the Commission shall establish normal value of an investigated product on the basis of 
either - 
 G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
- 13 - 
 
  (a) a comparable price of the like product when exported to an appropriate third country 
provided that this price is representative; or 
(b) the cost of production in the exporting country plus a reasonable amount for 
administrative, selling and general costs and for profits. 
(2) Sales of the like product destined for consumption in the domestic market of the 
exporting country or sales to an appropriate thir d country shall normally be considered to be a 
sufficient quantity for the determination of normal value if such sales constitute five per cent or 
more of the sales of the investigated product to Pakistan: 
 Provided that, if such sales constitute less than  five per cent of the sales of the investigated 
product to Pakistan, the Commission shall accept a lower ratio if, on the basis of evidence submitted by interested parties or otherwise available to it, it is satisfied that sales at such lower 
ratio are nonetheless of sufficient magnitude to provide for a proper comparison. 
 7. Circumstances in which certain sales ma y be disregarded in determining normal 
value. - (1) The Commission may treat sales of a like product in domestic market of an exporting 
country or sales to a third country at prices below per unit, fixed and variable, cost of production plus administrative, selling and other costs as not being in the ordinary course of trade by reason 
of price and may disregard such sales in determining normal value only if the Commission 
determines that such sales were made -  
(a) within an extended period of time which shall normally be a period of one year and in 
no case less than a period of six months; 
(b) in substantial quantities; and (c) at prices which do not provide for the recovery of all costs within a reasonable period 
of time. 
(2) For the purposes of sub-clause (b) of sub-section (1), sales below per unit cost shall 
be deemed to be in substantial quantiti es if the Commission establishes that - 
(a) a weighted average selling price of transactions under consideration for the 
determination of normal value is below a weighted average cost; or 
(b) the volume of sales below per unit cost represents twenty per cent or more of the 
volume sold in transactions under consideration for the determination of normal value. 
(3) If prices which are below per unit cost at the time of sale are above the weighted 
average cost for the period of investigation, the Commission shall consider such prices as providing for recovery of costs within a reasonable period of time. 
8. Calculation of costs for the pu rposes of sections 6 and 7. - (1) For the purposes of 
sections 6 and 7, the Commission shall normally calculate costs on the basis of records kept by an exporter or a producer under investigation provided that such records are in accordance with the 
generally accepted accounting principles of an exporting country and reasonably reflect the costs 
associated with the production and sale of a like product.  
(2) For the purposes of sections 6 and 7, the amounts for administrative, selling and 
general costs and for profits shall be based on actual  data pertaining to production and sales in the 
ordinary course of trade of a like product for consumption in an exporting country by any exporter or producer under investigation: 
Provided that where the Commission is satisfied that such amounts cannot be determined on 
the basis set out in sub-section (2), the amounts may be determined on the basis of -  
(a) the actual amounts incurred and realised by  an exporter or a producer in question in 
respect of production and sales in domestic market of an exporting country of the same general category of products; 
(b) the weighted average of the actual amo unts incurred and realised by other exporters 
or producers subject to investigation in respect of production and sales of a like 
product in domestic market of an exporting country; or G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
- 14 - 
 
  (c) any other reasonable method provided that  the amount for profit so established shall 
not exceed the profit normally realised by  other exporters or producers on sales of 
products of the same general category in domestic market of an exporting country of a like product. 
(3) The Commission shall consider all available ev idence on the proper allocation of costs, 
including such information as is made available by any exporter or producer of a like product in the 
course of an investigation provided that such al locations have been historically utilised by the 
exporter or producer, in relation to establishing appropriate amortisation and depreciation periods 
and allowances for capital expenditures and other development cost, as the case may be. 
(4) Unless already reflected in the cost allocations under this section, the Commission 
shall adjust costs appropriately for those non-recurring items of cost which benefit either future or 
current production or both, or, for circumstances in which costs during the period of investigation 
are affected by start-up operations. Such adjustme nt made for start-up operations shall reflect the 
costs at the end of the start-up period or, if that period extends beyond the period of investigation, 
the most recent costs which can reasonably be taken into account by the Commission during the 
investigation. 
9. Exports from a country in which the go vernment exercises sufficient control over 
economic decisions so that the domestic  market does not operate freely. - (1) Where the 
Commission determines that the government of an exporting country exercises sufficient control over economic decisions so that domestic mark et of such exporting country does not operate 
freely, the Commission may, determine normal value on the basis of - 
 
(a) a comparable price paid or payable, in the ordinary course of trade, for sales of a like 
product when destined for consumption in an appropriate market economy country; 
(b) where the Commission determines that the provisions of clause (a) cannot be applied, 
a comparable price paid or payable, in the ordinary course of trade, for exports of a like product from an appropriate market economy country to other countries, 
including Pakistan; 
(c) where the Commission determines that the provisions of clauses (a) and (b) may not 
be applied, a price actually paid or payable in Pakistan for a domestic like product, duly adjusted if necessary to include a profit margin corresponding to the margin to 
be expected under the existing economic circumstances for the sector concerned; or 
(d) where the Commission determines that the provisions of clauses (a), (b) and (c) may 
not be applied, any other reasonable basis. 
(2) In identifying an appropriate market economy country for the purposes of 
sub-section (1), the Commission shall take into account factors such as - 
(a) similarity of the product in terms of materials and end use; 
(b) similarity of production methods; and 
(c) availability of necessary information to the Commission. 
PART IV 
 
DETERMINATION OF EXPORT PRICE 
 
10. Export price. - (1) Save as provided for in sub-sections (2) and (3), an export price shall 
be a price actually paid or payable for an inve stigated product when sold for export from an 
exporting country to Pakistan.  G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
- 15 - 
 
  (2) In cases where there is no export price or  where it appears to the Commission that an 
export price is unreliable because of associat ion or a compensatory arrangement between an 
exporter and an importer or a third party - 
(a) the export price may be constructed on the basis of a price at which imported 
products are first resold to an independent buyer; or 
(b) if the imported products are not resold to an independent buyer, or not resold in the 
condition as imported, on such reasonable basis as the Commission may determine. 
(3) Where, the Commission determines normal va lue on the basis of the country of origin 
pursuant to sub-section (2) of section 5, an export price shall be a price actually paid or payable, as determined by the Commission, for an investigated product when sold for export in the country of origin of the investigated product. 
PART V 
 
COMPARISON BETWEEN NORMAL VALUE AND EXPORT PRICE 
 
11. Comparison. - (1) To ensure a fair comparison between  export price and normal value, the 
Commission shall, where possible, compare export price and normal value with the same 
characteristics in terms of level of trade, time of sale, quantities, taxes, physical characteristics, 
conditions and terms of sale and for delivery at the same place which shall normally be at ex-factory level. Where an interested party demonstrates to the Commission that any of the factors set out in this sub-section or any other factors identified by such interested party affect 
price comparability, the Commission shall make due allowance for differences in such factors to 
the extent that the same affect price comparability.  
(2) In cases where export price is constructed on the basis of a price at which imported 
products are first resold to an independent buyer pursuant to sub-clause (a) of sub-section (2) of section 10, allowances for costs including duties and taxes incurred between importation and 
resale, and a reasonable amount for profits accruing, may also be made. If in such cases price 
comparability has been affected, the Commission shall establish normal value at a level of trade equivalent to a level of trade of a constructed export price, or shall make due allowance as warranted under this section. 
(3) The Commission shall indicate to the parties in question what information is necessary 
to ensure a fair comparison and shall not impose an unreasonable burden of proof on those parties. 
12. Comparison methods. - (1) Subject to section 11, existence of dumping margin shall 
normally be established on the basis of a comparison of a weighted average normal value with a weighted average of prices of all comparable export transactions or by a comparison of normal 
value and export prices on a transaction-to- transaction basis. 
 
(2) Normal value established on a weighted av erage basis may be compared to prices of 
individual export transactions if - 
(a) the Commission finds a pattern of export prices, which differs significantly among 
different purchasers, regions or time periods; and 
(b) the Commission provides an explanation as to why such differences cannot be taken 
into account appropriately by the use of a weighted average-to-weighted average or 
transaction-to-transaction comparison. 
 
13. Currency conversion. - (1) Should the price comparison under sections 11 and 12 require 
a conversion of currencies, the Commission shall ma ke such conversion using the rate of exchange 
on the date of sale.  G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
- 16 - 
 
  (2) For the purposes of sub-section (1) the date of sale shall normally be the date of 
contract, purchase order, order confirmation or invoice, whichever establishes the material terms of sale. 
(3) Notwithstanding anything in sub-sections (1) and (2), when a sale of foreign currency 
on forward markets is used in direct relation to an export sale, the Commission shall use the rate 
of exchange in the forward sale for all the related transactions. 
(4) The Commission shall ignore fluctuations in exchange rates and shall allow exporters 
at least sixty days to have adjusted their export prices to reflect sustained movements in 
exchange rates during the period of investigation. 
14. Individual dumping margin. - (1) The Commission shall determine an individual dumping 
margin for each known exporter or pr oducer of an investigated product. 
 
(2) Notwithstanding anything contained in sub-section (1), where the Commission is 
satisfied that the number of exporters, producers or importers, or types of products involved is so 
large as to make it impracticable to determine an individual dumping margin for each known 
exporter or producer concerned of an invest igated product, the Commission may limit its 
examination to a reasonable number of interested parties or investigated products by using 
samples which are statistically valid on the basis of information available to the Commission at the 
time of selection, or to the largest percentage of  volume of exports from the country in question 
which can reasonably be investigated. 
(3) The selection of exporters, producers, impo rters or types of products shall normally be 
made by the Commission in consultation with the exporters, producers or importers concerned: 
Provided that the final selection of the exporter s, producers, importers or types of products 
shall rest with the Commission. 
 
(4) In cases where the Commission has limited its examination as provided for in 
sub-sections (2) and (3), the Commission shall nevertheless determine an individual dumping 
margin for any exporter or producer who voluntarily submits the necessary information in time for 
that information to be considered during the course of an investigation: 
Provided that where the Commission determines that the number of exporters or producers 
is so large that individual examinations would be unduly burdensome to the Commission and 
prevent the timely completion of the investigation, the Commission may decline to determine an 
individual dumping margin on the basis of such voluntary responses and limit its examination to such exporters and producers selected pursuant to sub-section (2). 
PART VI 
 
DETERMINATION OF INJURY 
 
15. Determination of injury. - (1) A determination of injury, for the purposes of this Act shall 
be based on an objective examination of all relevant factors by the Commission which shall include but shall not be limited to - 
 
(a) volume of dumped imports; 
(b) effect of dumped import s on prices in domestic market for like products; and 
(c) consequent impact of dumped imports on domestic producers of such products. 
(2) With regard to volume of dumped imports, the Commission shall consider whether 
there has been a significant increase in dumped imports, either in absolute terms or relative to 
production or consumption in Pakistan. G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
- 17 - 
 
  (3) With regard to effect of dumped imports on prices in domestic market, the 
Commission shall consider whether - 
(a) there has been a significant price underc utting by the dumped imports as compared 
with price of a domestic like product; or 
(b) whether the effect of dumped imports is otherwise to depress prices to a significant 
degree or prevent price increases, which otherwise would have occurred, to a significant degree. 
(4) No one or several of the factors identified in sub-section (2) or (3) shall be deemed to 
necessarily give decisive guidance and the Commission may take into account such other factors as it considers relevant for the determination of injury. 
(5) In circumstances where domestic industry in relation to a product in question has 
been divided into two or more competitive market s, and producers within each such market are 
regarded as a separate industry under the second proviso to the explanation to clause (e) of section 2, injury may be found to exist even where a major portion of the total domestic industry 
does not suffer injury provided that, there is a concentration of dumped imports into such a 
market, and provided further that dumped imports are causing injury to the producers of all or 
almost all of the production within such market. 
16. Cumulation. - Where imports of a like product from more than one country are the subject 
of simultaneous investigations under this Act the Commission may cumulatively assess the effects of such imports on domestic industry only if it determines that -  
(a) dumping margin in relation to an investigated product from each country is more than 
the negligible amount as specified in clause (a) of sub-section (3) of section 41, and volume of dumped imports from each investigated country is not less than the 
negligible quantity as specified in clause (b) of sub-section (3) of section 41; and 
(b) a cumulative assessment of the effects of the imports is appropriate in the light of - 
(i) the conditions of competition between the imports; and 
(ii) the conditions of competition between the imports and a domestic like product. 
 17. Examination of impact of dumped  imports on domestic industry. - (1) An 
examination of impact of dumped imports on domestic industry concerned shall include an 
evaluation by the Commission of all relevant economic factors and indices having a bearing on the 
state of the domestic industry, including, but not limited to -  
(a) actual and potential decline in sales, profits,  output, market share, productivity, return 
on investments, or utilisation of capacity; 
(b) factors affecting domestic prices; 
(c) magnitude of dumping margin; and 
(d) actual and potential negative effects on cash flow, inventories, employment, wages, 
growth, ability to raise capital or investments. 
 
Explanation. - The list of factors specified in sub-section (1) shall not be exhaustive, nor 
shall one or several of these factors be deemed to necessarily give decisive guidance. 
 
(2) The Commission shall assess effect of dumped imports in relation to production of a 
domestic like product in Pakistan when availabl e data permit separate identification of that 
production on the basis of criteria of production process, producer's sales and profits: 
Provided that if such separate identificati on of that production is not possible, the 
Commission shall assess effects of dumped imports by examination of the production of the narrowest group or range of products, which includes a domestic like product, for which necessary information can be provided. 
 G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
- 18 - 
 
  18. Causation. - (1) The Commission shall satisfy itself that dumped imports are, through the 
effects of dumping, as provided in sections 15 and 17, causing injury within the meaning of this Act. The consideration of a causal relationship between dumped imports and injury to domestic industry shall be based on an examination by the Commission of all relevant evidence before it. 
 
(2) The Commission shall examine any known factors other than dumped imports which 
are injuring domestic industry and injuries caused by such other factors shall not be attributed by 
the Commission to the dumped imports. 
(3) Factors which may be relevant for the purposes of an examination by the Commission 
pursuant to sub-section (2) may include the following, namely:- 
(a) volume and price of imports not sold at dumping prices; 
(b) contraction in demand or changes in the patterns of consumption; 
(c) trade restrictive practices of and competition between foreign and domestic 
producers; 
(d) developments in technology; and 
(e) export performance and productivity of domestic industry. 
19. Threat of material injury. - (1) In making a determination regarding existence of a threat 
of material injury, the Commission shall consider all relevant factors, including but not limited to, 
such factors as - 
(a) a significant rate of increase of dumped imports into domestic market indicating the 
likelihood of substantially increased importation; 
(b) sufficient freely disposable, or an imminent and substantial increase in capacity of an 
exporter indicating the likelihood of substa ntially increased dumped exports to market 
in Pakistan, taking into account the availability of other export markets to absorb any 
additional exports; 
(c) whether imports are entering at prices that shall have a significant depressing or 
suppressing effect on prices in Pakistan, and would likely increase demand for further 
imports; and 
(d) inventories of an investigated product. 
 
(2) No one factor specified in sub-section (1) shall by itself, be deemed to necessarily give 
decisive guidance and in making a determination regarding a threat of material injury the 
Commission shall, on the basis of the totality of the factors considered, satisfy itself that further dumped exports are imminent and that, unless protective action is taken, material injury shall 
occur. 
PART VII 
 
INITIATION AND CONDUCT OF INVESTIGATIONS 
20. Requirement of a written application. - (1) Subject to section 24 and save as provided 
for in section 25, an investigation by the Commission shall only be initiated upon a written application by or on behalf of domestic industry. 
 
(2) An application under sub-section (1) shall - 
(a) be submitted to the Commission in such manner, number and form and with such fee 
as may be prescribed; 
(b) include evidence of dumping and injury within the meaning of this Act and the causal 
link between the dumped imports and the alle ged injury, as is reasonably available to 
the applicant; and 
(c) contain such further information as may be prescribed. G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
- 19 - 
 
  21. Notice to government of exporting country. - Upon receipt of a duly documented 
application compliant with the requirements of sections 20 and 24, the Commission shall promptly give notice to the government of each exporting country of the receipt of such application.  
22. Withdrawal of application before initiation. - An application under section 20 may be 
withdrawn prior to initiation, in which case it shall be considered not to have been made: 
 Provided that upon the withdrawal of an app lication any fee paid along with the application 
pursuant to clause (i) of sub-section (2) of section 20 shall stand forfeited in favour of the 
Commission. 
23. Initiation of an investigation. - (1) Subject to section 24, the Commission shall examine 
accuracy and adequacy of evidence provided in an application to determine whether it is compliant 
with the requirements of section 20 and if so whether there is sufficient evidence to justify 
initiation of an investigation.  
(2) An application under section 20 shall be rejected as soon as the Commission is 
satisfied that sufficient evidence is not available to indicate dumping or any injury to justify initiation of an investigation. 
(3) The Commission may seek additional information from an applicant before deciding 
whether to initiate an investigation and such information shall be provided by the applicant to the Commission within such time and in such manner as may be prescribed. 
(4) When the Commission is satisfied that - 
(a) an application under section 20 has been made by or on behalf of domestic industry; 
and 
(b) there is sufficient evidence of dumping and injury within the meaning of this Act, the 
Commission shall initiate an investigation. 
(5) Where the Commission does not consider it appropriate to initiate an investigation, it 
shall inform all the applicants of the reasons for not initiating the investigation and shall inform the 
exporting country of its decision. 
24. Application by or on behalf of domestic industry. - (1) For the purposes of section 20, 
an application shall be considered to have been made by or on behalf of domestic industry only if it is supported by those domestic producers whose collective output constitutes more than fifty per 
cent of the total production of a domestic like product produced by that portion of the domestic 
industry expressing either support for or opposition to the application.  
(2) For the purposes of section 23, no investigation shall be initiated when domestic 
producers expressly supporting an application a ccount for less than twenty- five percent of the 
total production of a domestic like product produced by domestic industry. 
(3) In the case of fragmented industries involving an exceptionally large number of 
producers, the Commission may determine support and opposition for an application submitted under section 20 by using statistically valid sampling techniques. 
25. Self-initiation. - The Commission may, suo moto , initiate an investigation without having 
received a written application by or on behalf of domestic industry if it has sufficient evidence of 
dumping and injury, within the meaning of this Act to justify initiation of an investigation.  
26. Imposition of anti-dumping measures on behalf of a third country. - (1) An 
application for imposition of anti-dumping measures may be made to the Commission on behalf of a third country by its authorities provided that - 
 
(a) such application is supported by price information to show that imported goods are 
being dumped and by detailed information to show that such dumping is causing injury to domestic industry concerned in the third country; and G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
- 20 - 
 
  (b) the government of the third country affords all assistance to the Commission to obtain 
such further information as the Commission may require. 
 
(2) In considering an application received under sub-section (1), the Commission shall 
consider the effects of alleged dumping on the in dustry concerned as a whole in the third country 
and injury shall not be assessed in relation only to the effect of the alleged dumping on the industry's exports to Pakistan or on the industry's total exports of the product. 
(3) The decision whether or not to initiate an investigation pursuant to an application 
received under sub-section (1) shall rest with the Commission: 
Provided that the Commission shall not initiate such investigation until the Federal 
Government has requested and received approval fo r such an initiation from the Council for Trade 
in Goods of the WTO. 
 27. Notice of decision to initiate investigation. - (1) When the Commission has decided to 
initiate an investigation it shall - 
 
(a) give notice to all exporters, importers and any representative associations of 
importers or exporters known to the Commission to be concerned, as well as 
representatives of the exporting country, the applicant and other interested parties known to the Commission to have an interest therein; and 
(b) publish a copy of such notice in the offici al Gazette and in at least one issue each of a 
daily newspaper in the English language and a daily newspaper in the Urdu language 
having wide circulation in Pakistan. 
 
(2) The notice of initiation of an investigation referred to in sub-section (1) shall be in 
such form and contain such information as may be prescribed and the initiation of investigation shall be effective on the date on which such notice is published in the newspapers as provided for 
in clause (b) of sub-section (1). 
28. Provision of copy of an application. - Subject to the requirement to protect confidential 
information pursuant to section 31, the Commission shall, after initiation of an investigation, provide to any interested party the full text of the written application received by the Commission 
under sub-section (1) of section 20: 
 
Provided that where the Commission determines that the number of interested parties is 
particularly high, the Commission shall only provide the full text of the written application received 
by it under sub-section (1) of section 20 to exporting country or to the relevant trade association of exporting country. 
PART VIII 
 
CONDUCT OF INVESTIGATIONS 
 
29. Duration of investigation. - The Commission shall, except in special circumstances, 
conclude an investigation within twelve months, and in no case more than eighteen months, after its initiation. 
30. Customs clearance. - Any proceedings or investigation under this Act shall not hinder the 
procedures of customs clearance.  
31. Confidentiality. - (1) Subject to sub-section (2), the Commission shall, during and after an 
investigation, keep confidential any information submitted to it and such information shall not be disclosed without specific permission of the party submitting it.  G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
- 21 - 
 
  (2) Any information which is - 
(a) by nature confidential, because its disclosure shall be of significant competitive 
advantage to a competitor, or because its disclosure would have a significantly adverse effect upon a person supplying the information, or upon a person from whom 
the information was acquired; 
(b) determined by the Commission to be of a confidential nature for any other reason; or 
(c) provided as confidential by parties to an investigation, shall, on good cause shown, be 
kept confidential by the Commission. 
(3) The following types of information shall be deemed to be by nature confidential, 
unless the Commission determines that disclosure in a particular case would neither be of significant competitive advantage to a competitor nor have a significantly adverse effect upon a 
person supplying the information or upon a person from whom such information was acquired, 
namely:- 
(a) business or trade secrets concerning the nature of a product, production processes, 
operations, production equipment, or machinery; 
(b) information concerning financial condition of a company which is not publicly 
available; and 
(c) information concerning costs, identification of customers, sales, inventories, 
shipments, or amount or source of any income, profit, loss or expenditure related to manufacture and sale of a product. 
 
(4) Any party seeking any information to be kept confidential shall request for the same 
at the time the information is submitted, along with the reasons warranting confidentiality. The Commission shall consider such request expeditiously and inform the party submitting the 
information if it determines that the request for keeping the information confidential is not 
warranted. 
(5) Any party submitting any information with the request to keep it confidential shall 
furnish non-confidential summary of all such information. Such summary may take the form of 
ranges or indexation of figures provided in the confidential version or marked deletions in text or in such other form as the Commission may require: 
Provided that such non-confidential summary sh all permit a reasonable understanding of the 
substance of the information submitted in confidence: 
 
Provided further that any deletion in text shall, unless otherwise allowed by the 
Commission, only relate to names of the buyer or supplier. 
 
(6) In exceptional circumstances, any party submitting confidential information may 
indicate that such information is not susceptible of summary, in which case a statement of the 
reasons why summarisation is not possible shall be provided. If the Commission concludes that the non-confidential summary provided fails to satisf y the requirements of sub-section (5), it may 
determine that the request for keeping the in formation confidential is not warranted. 
(7) If the Commission finds that a request for keeping the information confidential is not 
warranted, and if the supplier of such information is unwilling to make it public or to authorise the disclosure in generalised or summary form, the Commission shall disregard such information and 
return the same to the party submitting it. 
(8) Subject to sub-section (9), notwithstanding anything contained in this Act or in any 
other law for the time being in force, any confidential information received or obtained, directly or 
indirectly, by the Commission pursuant to or in connection with an investigation shall not be 
subject to disclosure by the Commission to any Ministry, Division, department, agency or instrumentality of the Federal Government or a Provincial Government without the prior permission of the party submitting such confidential information. G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
- 22 - 
 
  (9) The provisions of sub-section (8) shall not preclude the supply of any information 
called for by the Appellate Tribunal pursuant to section 72: 
Provided that the obligation to protect confidential information as provided for in this 
Chapter shall, mutatis mutandis , extend to the Appellate Tribunal. 
 
32. Reliance on best information available. - (1) Subject to sub-section (2), if, at any time 
during an investigation, any interested party - 
 
(a) refuses access to, or otherwise does not provide, necessary information within the 
period of time as may be prescribed; or 
(b) otherwise significantly impedes the investigation, the Commission may reach 
preliminary and final determinations, whether affirmative or negative, on the basis of 
the best information available. 
(2) The provisions of the Schedule to this Act shall be followed in the application of 
sub-section (1). 
(3) The Commission shall take due account of any difficulties experienced by interested 
parties, in particular, small companies, in supplying information requested by it and may, where it 
deems fit, provide such assistance as is practica ble including, but not limited to, extension of any 
time period prescribed for submissi on of information under this Act. 
(4) The Commission shall satisfy itself of the accuracy of the information supplied by 
interested parties during the course of an inve stigation in such manner as may be prescribed. 
33. Information to parties. - The Commission shall provide an opportunity to all interested 
parties to see information submitted to it, which is not confidential and is relevant to the presentation of their case. 
PART IX 
 
INVESTIGATION PROCEDURES, PRELIMINARY 
AND FINAL DETERMINATIONS 
34. Proposed schedule for investigation. - The Commission shall, in a notice of initiation of 
an investigation referred to in section 27, include the proposed schedule for conduct of an investigation, including the proposed time limits for submission of written arguments, the 
proposed date for any hearing, if requested, the proposed date for preliminary determination, and 
the proposed date for final determination.  
35. Acquisition of information by the Commission. - The Commission shall solicit, gather, 
obtain, verify, accept and reject information for the purposes of an investigation in such manner as may be prescribed. 
 
36. Assessments to be on the basis of data relating to defined periods. - (1) The 
Commission shall base its assessments of dumping and injury on data relating to defined periods which shall be the periods for which information is required by the Commission. 
 
(2) For the purposes of an investigation of dumping, an investigation period shall normally 
cover twelve months preceding the month of initiation of the investigation for which data is 
available and in no case the investigation period shall be shorter than six months. 
(3) For the purposes of an investigation of injury, the investigation period shall normally 
cover thirty-six months: 
Provided that the Commission may at its sole discretion, select a shorter or longer period if 
it deems it appropriate in view of available information regarding domestic industry and an investigated product. G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
- 23 - 
 
  37. Preliminary determination. - (1) The Commission shall make a preliminary determination 
of dumping and injury, if any, not earlier than sixty days and not later than one hundred and eighty days, after initiation of an investigation. Such preliminary determination shall be based on the information available to the Commission at that time. 
 
(2) The Commission shall issue a notice of preliminary determination, whether affirmative 
or negative, which shall, subject to the requirements of section 31, set forth in sufficient detail the 
findings and conclusions reached on all issues of fact and law considered material. Such notice of 
preliminary determination may also contain such other information as may be prescribed. 
(3) The Commission shall publish a copy of the notice of preliminary determination in the 
official Gazette and in at least one issue each of a daily newspaper in the English language and a 
daily newspaper in the Urdu language having wide circulation in Pakistan. 
(4) The Commission shall forward a copy of the notice of preliminary determination to 
exporting country and to other known interested parties. 
38. Written arguments. - In an investigation, any interested party may submit written 
arguments to the Commission in such form an d manner and within such time as may be 
prescribed. 
 
39. Final determination. - (1) The Commission shall normally make a final determination of 
dumping and injury within one hundred and eighty da ys of the date of publication of a notice of 
preliminary determination in the official Gazette under sub-section (3) of section 37. 
 
(2) The final determination shall be based on information obtained by the Commission 
during the course of the investigation that has been disclosed by the interested parties: 
Provided that the Commission shall not be precluded from taking into consideration 
information or data received or collected from any other source. 
 
(3) The Commission shall, subject to the requir ements for the protection of confidential 
information under section 31, issue a notice of the final determination, whether affirmative or negative, containing relevant information on the matters of fact and law and reasons that have led to the determination. 
(4) Without prejudice to the generality of the provisions of sub-section (3) and in addition 
to such further information as may be prescribed, the notice of the final determination referred to in sub-section (3) shall specify:- 
(a) the amount of the dumping margin, if any, found to exist and the basis for such 
determination; 
(b) the amount of the definitive anti-dumping duties to be imposed, where applicable; and 
(c) if definitive anti-dumping duties are to be collected with regard to the imports to 
which provisional measures were applied along with the reasons for the decision to do so. 
 
(5) The Commission shall publish a copy of the notice of the final determination referred 
to in sub-section (3) in the official Gazette and in at least one issue each of a daily newspaper in the English language and a daily newspaper in the Urdu language having wide circulation in 
Pakistan: 
Provided that such notice may, if the Commission deems it fit, only contain a summary of 
the salient features of the final determination: 
Provided further that where the notice of the final determination contains only a summary of 
the salient features of the final determination, the Commission shall make available to any interested party applying for the same in writing a copy of the complete notice of final determination. 
 G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
- 24 - 
 
  (6) The copy of the notice of the final determination shall be forwarded by the 
Commission to the exporting country and to other known interested parties. 
PART X 
 
TERMINATION OF INVESTIGATION WI THOUT ADOPTION OF MEASURES 
40. Withdrawal of an application. - An application submitted pursuant to section 20 may be 
withdrawn at any time after an investigation has been initiated, in which case the Commission 
shall terminate the investigation without imposition of any measures provided for in this Act: 
 
Provided that the Commission may, if it considers it fit to do so, continue an investigation 
notwithstanding the withdrawal of an application as provided for in this section in which event, the 
Commission may, subject to the provisions of this Act impose such measures as are provided for in 
this Act.  
41. Termination for insufficient evidence, ne gligible dumping margin or negligible 
volume. - (1) An investigation may be terminated at any time by the Commission if it is satisfied 
that there is not sufficient evidence of either dumping or injury to justify proceeding with an 
investigation. 
 
(2) The Commission shall immediately terminate an investigation if it determines that 
dumping margin is negligible or that volume of dumped imports, actual or potential, or injury, is 
negligible. 
(3) For the purposes of sub-section (2) - (a) dumping margin shall be considered to be negligible if it is less than two per cent, 
expressed as a percentage of the export price; and 
(b) volume of dumped imports shall normally be regarded as negligible if the volume of 
dumped imports of an investigated product is found to account for less than three per 
cent of total imports of a like product unless imports of the investigated product from 
all countries under investigation which individually account for less than three per cent of the total imports of a like product collectively account for more than seven per cent of imports of a like product. 
 
42. Notice of conclusion of an investigation without imposition of measures. - (1) The 
Commission shall, subject to the requirements for the protection of confidential information under 
section 31, issue a notice of the conclusion of an investigation without imposition of measures 
which shall set forth in sufficient detail the findings and conclusions reached on all issues of fact and law considered material by the Commission including the matters of fact and law which have 
led to arguments being accepted or rejected. 
 
(2) The Commission shall publish a copy of the notice of conclusion of an investigation 
without imposition of measures referred to in sub-section (1) in the official Gazette and summary 
thereof in at least one issue each of a daily newspaper in the English language and a daily 
newspaper in the Urdu language having wide circulation in Pakistan. 
(3) Termination of an investigation under sections 40 or 41 or conclusion of an 
investigation without imposition of measures shall not be a bar to filing of a de novo  application for 
a new investigation immediately after termination or conclusion of the investigation. The 
Commission shall treat the application in accordance with provisions of this Act.  G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
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  PART XI 
 
PROVISIONAL MEASURES 
 
43. Imposition of provisional measures. - (1) The Commission may impose provisional 
measures if it makes an affirmative preliminary determination of dumping and injury, and determines that provisional measures are necessary to prevent injury being caused during the 
course of an investigation: 
 Provided that provisional measures shall not be applied sooner than sixty days from the date 
of initiation of the investigation:  
Provided further that the amount of the provis ional anti-dumping duty shall not exceed the 
margin of dumping as provisionally established, but it may be less than the margin if such lesser duty would be adequate to remove the injury to the Domestic Industry. 
 
(2) A negative preliminary determination of dumping shall not automatically terminate an 
investigation, but no provisional measures shall be imposed in such case. 
(3) The provisions of sections 51 and 52 shall be followed in the application of provisional 
measures. 
44. Form of provisional measures. - Provisional measures shall take the form of security by 
way of cash deposit in an amount equal to the provisionally determined dumping margin set forth 
in the notice of preliminary determination referred to in sub-section (2) of section 37: 
Provided that release of a product concerned for free circulation in Pakistan shall be subject 
to provision of such security by way of cash deposit. 
 
45. Duration of application of provisional measures. - Provisional measures shall be 
applied for a period not exceeding four months: 
 
Provided that the Commission may, upon request by exporters which the Commission 
considers to be representing a significant percenta ge of the trade involved, extend the period of 
application of provisional measures to a period not exceeding six months. 
PART XII 
 
PRICE UNDERTAKINGS 
 
46. Acceptance of price undertaking. - (1) Where the Commission has made a preliminary 
affirmative determination of dumping and injury in accordance with the provisions of this Act the 
Commission may suspend or terminate an investigation without imposition of anti-dumping duties, 
whether preliminary or definitive, upon receipt of satisfactory price undertaking from an exporter 
to revise its prices or to cease export to the area in question at dumped prices so that the Commission is satisfied that injurious effect of dumping in question is eliminated: 
 
Provided that the Commission shall not seek or accept any price undertaking from an 
exporter unless the Commission has made a preliminary affirmative determination of dumping and 
injury in accordance with the provisions of this Act. 
 
(2) Price increases under such price undertakings shall not be higher than necessary to 
eliminate dumping margin and shall be less than the provisionally determined dumping margin set 
forth in the notice of preliminary determination referred to in sub-section (2) of section 37 if, the Commission determines that such lesser price increase would be adequate to remove injury to domestic industry. G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
- 26 - 
 
  (3) The Commission may suggest price undertakings, but no exporter shall be forced to 
enter into any such undertaking and the fact that exporters do not offer such undertakings, or do not accept an invitation to do so, shall not prejudice consideration of the case by the Commission: 
Provided that in such circumstances the Commission shall be free to determine that a threat 
of injury is more likely to be realised if the dumped imports continue. 
 47. Conditions for acceptance of price undertaking. - (1) Except in extraordinary 
circumstances, a price undertaking shall not be o ffered later than sixty days before the proposed 
date of final determination as set forth in a notice of initiation of an investigation in accordance with the provisions of section 34. 
(2) Notwithstanding anything contained in this section, the decision to accept a price 
undertaking shall rest with the Commission. 
Explanation. - The Commission may not accept a price undertaking if it considers the 
acceptance thereof to be impractical because the number of actual or potential exporters is too 
great, or for reasons of general policy or for any other reason. 
 
(3) If the Commission decides not to accept a price undertaking, it shall provide to an 
exporter the reasons which have led it to consider acceptance of a price undertaking as 
inappropriate and the exporter may, not later than seven days from the submission of such reasons, submit its written response to the Commission on the reasons given by the Commission. 
(4) The Commission may require an exporter from whom a price undertaking has been 
accepted, to provide, periodically, information relevant to the fulfilment of such undertaking, and 
to permit verification of such information. The communication of such information shall be subject 
to the provisions of section 31. 
(5) Failure to provide any information requested by the Commission pursuant to 
sub-section (4) shall be deemed to be  a violation of a price undertaking. 
(6) Where the Commission accepts a price undertaking or a price undertaking is 
terminated, it shall publish a notice to this effect in the official Gazette and in at least one issue 
each of a daily newspaper in the English language and a daily newspaper in the Urdu language having wide circulation in Pakistan. Such notice shall contain the non-confidential part of the price undertaking accepted, when applicable, and details of the findings and conclusions reached by the 
Commission on all the issues of fact and law considered material by the Commission and such 
other information as the Commission may determine necessary: 
Provided that where the notice relates to acceptance by the Commission of a price 
undertaking it shall contain such further information as may be prescribed. 
 
(7) A notice of acceptance of a price undertaking or termination thereof referred to in 
sub-section (6) shall be forwarded by the Commission to the country the product of which is the 
subject of such notice and to other interested parties known to have an interest therein. 
(8) Where the Commission continues an investigation pursuant to sub-section (1) of 
section 48, it shall publish a notice of the continuation of the investigation, setting forth the 
proposed date for final determination, and any other modifications to the proposed schedule of the 
investigation as originally set out in the notice of initiation of the investigation in accordance with section 34: 
Provided that the final determination in such case shall be made by the Commission no later 
than one hundred and eighty days from the date of  publication of the notice of acceptance of a 
price undertaking referred to in sub- section (6) in the official Gazette. 
 
48. Completion of an investigation. - (1) If one or more price undertakings are accepted by 
the Commission, it shall nevertheless complete an investigation of dumping and injury if it receives a request from an exporter in writing to continue such investigation, or where the Commission so 
decides of its own accord. G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
- 27 - 
 
  (2) In the event the Commission makes a negative determination of dumping or injury 
pursuant to an investigation continued under sub-section (1), a price undertaking in question shall automatically lapse except in a case where the Commission determines that such a determination is due in large part to the existence of such price undertaking in which case, the Commission may 
require that an undertaking be maintained for a reasonable period of time to be determined by the 
Commission. 
(3) In the event the Commission makes an affirmative determination of dumping and 
injury pursuant to an investigation continued under sub-section (1), a price undertaking in 
question shall continue consistent with its terms and the provisions of this Act. 
49. Violation of price undertaking. - If a price undertaking is violated or deemed to be 
violated, the Commission may, subject to the provisions of this Act take expeditious action, which 
may include immediate application of provisional measures using the best information available. 
In such cases, definitive duties may be levied in accordance with the provisions of this Acton products imported for consumption not more than  ninety days before the application of such 
provisional measures, except that any such retroactive assessment shall not apply to imports 
entered before such violation of the price undertaking. 
PART XIII 
 
IMPOSITION AND COLLECTION OF ANTI-DUMPING DUTIES 
50. Mandatory imposition of anti-dumping duty. - (1) When the Commission has 
established the existence of dumping and injury in accordance with the provisions of this Act, it 
shall, by notification in the official  Gazette, impose an anti-dumping duty.  
 
(2) The amount of the anti-dumping duty shall not exceed the margin of dumping 
established but it may be less than the margin if such lesser duty would be adequate to remove 
injury to the Domestic Industry.  
51. Imposition and collection of anti-dumping duties. - (1) Anti-dumping duties, whether 
provisional or definitive, as the case may be, imposed under this Act shall - 
 
(a) take the form of ad valorem or specific duties: 
Provided that provisional measures shall take the form of security by way of cash deposit; 
(b) be imposed in addition to other import duties levied on an investigated product; 
(c) be collected in the same manner as customs-duties under the Customs Act, 1969 
(IV of 1969); 
(d) be levied and collected on a non-discriminatory basis on imports of such product from 
all sources found to be dumped and causing injury, except as to imports from those sources from which price undertakings have been accepted by the Commission in 
accordance with the provisions of Part XII of this Act; or 
(e) will not be levied on imports that are to be used as inputs in products destined solely 
for export and are covered under any sch eme exempting customs duty for exports 
under the Customs Act, 1969. 
 
(2) Save as provided for in sub-section (3), the Commission shall establish an individual 
anti-dumping duty for each known exporter or producer of dumped imports. 
(3) Subject to sub-sections (4) and (7), where the Commission has limited its 
examination of dumping margin in accordance with sub-sections (2) and (3) of section 14, any anti-dumping duty applied to imports from exporters or producers not included in an examination 
by the Commission shall not exceed a weighted average dumping margin established with respect 
to selected exporters or producers. G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
- 28 - 
 
  (4) The Commission shall disregard for the purposes of sub-section (3) any negligible 
margins, as defined in sub-section (3) of section 41, and margins established under the circumstances referred to in section 32. 
(5) Save as provided for in sub-section (4) of section 14, the Commission shall apply 
individual anti-dumping duties to imports from any exporter or producer not included in an 
examination who has provided the necessary information during the course of an investigation. 
(6) The Commission may apply a residual an ti-dumping duty rate for imports from 
exporters and producers not known to the Commission at time of final determination at a rate 
which shall not exceed a weighted average of individual dumping margins established for exporters and producers examined during an investigation, excluding margins established in accordance with section 32. 
(7) Where all dumping margins are established pursuant to section 32, the Commission 
shall use such alternative method of determining dumping margins for exporters or producers not included in its examination as it considers reasonable in the circumstances. 
52. Refund of anti-dumping duties paid in excess of dumping margin. - (1) An importer 
shall be granted a refund of the actual amount of  anti-dumping duties collected if the Commission 
determines that dumping margin, on the basis of which such anti-dumping duties were paid, has 
been eliminated or reduced to a level which is below the level of the anti-dumping duty in force. 
 
(2) An importer may submit an application for refund of anti-dumping duties collected 
within any twelve months period to the Commission not later than sixty days from the end of such 
period. 
(3) An application under sub-section (2) shall contain such information as may be 
prescribed. 
Explanation. - When investigating an application for refund under this section, the 
Commission shall apply the relevant provisions of this Act to its determinations. In particular, when determining whether and to what extent a re fund should be made when an export price is 
constructed on the basis of a price at which imported products are first resold to an independent 
buyer due to the absence of export price or becaus e it appears that the export price is unreliable 
pursuant to sub-section (2) of section 10, the Commission shall take account of any change in normal value, any change of costs incurred between importation and resale, and any movement in 
resale price which is duly reflected in subsequent selling prices, and shall calculate the export price 
with no deduction for the amount of anti-dumping duties paid when satisfactory evidence of the 
above is provided. 
 
(4) The Commission shall provide an importer making an application under 
sub-section (2) with an explanation of the reasons for the decision concerning a request for 
refund. 
(5) A refund of anti-dumping duties under this section shall normally take place within 
twelve months, and in no case later than eighteen months, after the date on which an application for refund compliant with the requirements of sub-section (3) is received by the Commission. 
53. Anti-dumping and countervailing duties and fees to be held in a non-lapsable 
personal ledger account. - (1) The Commission shall establish and maintain a non-lapsable 
personal ledger account in its name for the purposes of Anti-Dumping Duties and Countervailing 
Duties. 
 
(2) All anti-dumping and countervailing duties collected under the laws specified in 
sub-section (1) shall be held in that account. 
(3) The account established under sub-section (1) shall be maintained and operated in 
such manner as may be prescribed. G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
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  PART XIV 
 
RETROACTIVITY 
 
54. Retroactive application of definiti ve anti-dumping duties in certain 
circumstances. - A definitive anti-dumping duty may be collected on products, which were 
imported for consumption not more than ninety days prior to the date of application of provisional 
measures if, the Commission determines, for a dumped product in question, that -  
 
(a) there is a history of dumping which caused injury or that the importer was, or should 
have been, aware that the exporter practices dumping and that such dumping would 
cause injury; and 
(b) injury is caused by massive dumped imports of a product in a relatively short time 
which in the light of timing and volume of dumped imports and other circumstances 
including, but not limited to, a rapid build-up of inventories of the imported product, is 
likely to seriously undermine the remedial effe ct of the definitive anti-dumping duty to 
be applied, provided that the importers concerned have been given an opportunity of 
being heard in respect of such proposed action. 
 55. Imposition of definitive anti -dumping duties retroactively. - (1) Where the 
Commission makes a final determination of injury but not of a threat thereof or of material 
retardation of the establishment of an industry or, in the case of a final determination of a threat 
of injury, where the Commission determines that the effect of dumped imports would, in the absence of provisional measures, have led to a determination of injury, definitive anti-dumping 
duties may be levied retroactively for the period for which provisional measures, if any, have been 
applied.  
(2) If definitive anti-dumping duty impose d under sub-section (1) is higher than the 
amount of provisionally determined dumping margin set forth in the notice of preliminary determination referred to in sub-section (2) of section 37, the difference shall not be collected, and if such definitive anti-dumping duty is lower than the amount of such provisionally determined 
dumping margin the difference shall be refunded by  the Commission within forty-five days of such 
determination. 
(3) Save as provided for in sub-section (1), where the Commission makes a determination 
of threat of injury or material retardation, but no injury has yet occurred, definitive anti-dumping 
duties may be imposed only from the date of the determination of threat of injury or material 
retardation and any cash deposit made during the period of application of provisional measures 
shall be refunded by the Commission within forty-five days of such determination. 
(4) Where the Commission makes a negative final determination, any cash deposit made 
during the period of application of provisional measures shall be refunded by the Commission within forty-five days of such determination. 
56. Circumstances in which provisional me asures and anti-dumping duties shall 
apply. - Save as provided for in sections 49, 54 and 55, provisional measures and definitive 
anti-dumping duties shall only be applied to products which enter into Pakistan for consumption on 
or after the date of publication of a notice of a ffirmative preliminary or final determination in an 
investigation. 
PART XV 
 
DURATION AND REVIEW OF ANTI-DUMPING 
DUTIES AND PRICE UNDERTAKINGS 
 
57. Duration of anti-dumping duty. - Subject to the provisions of this Act any anti-dumping 
duty imposed under this Act shall remain in force only as long as and to the extent necessary to counteract dumping, which is causing injury. G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
- 30 - 
 
  58. Review of anti-dumping duty. - (1) Any definitive anti-dumping duty imposed under this 
Act shall be terminated on a date not later than five years from the date of its imposition or from the date of the most recent review under section 59, if such review has covered both dumping and injury. 
 
(2) The Commission shall, not later than ninety days preceding the date of expiry of a 
definitive anti-dumping duty, publish a notice of impending expiry of such anti- dumping duty in 
the official Gazette and in at least one issue each of a daily newspaper in the English language and 
a daily newspaper in the Urdu language having wide circulation in Pakistan. 
(3) A definitive anti-dumping duty shall not expire if the Commission determines, in a 
review initiated before the date of expiry on its own initiative or upon a duly substantiated request 
made by or on behalf of domestic industry within  forty-five days from public notice of impending 
termination of the definitive anti-dumping duty co ncerned, that the expiry of such anti-dumping 
duty would be likely to lead to continuation or  recurrence of dumping and injury and such anti-
dumping duty shall remain in force pending the outcome of such a review. 
59. Review for change of circumstances. - (1) The Commission shall review the need for 
continued imposition of anti-dumping duty, where warranted, on its own initiative or, provided that 
a period of twenty-four months has elapsed since the imposition of definitive anti-dumping duty, 
upon a written request submitted by any interested party, which contains positive information substantiating the occurrence of changed circumstances justifying a need for a review including sufficient information to enable the Commission to calculate export price and normal value of a 
product in question. 
 
(2) The Commission shall, upon initiation of a review under sub-section (1), publish a 
notice in the official Gazette and in at least one issue each of a daily newspaper in the English 
language and a daily newspaper in the Urdu language having wide circulation in Pakistan. 
(3) In undertaking a review under sub-section (1), the Commission shall consider whether 
continued imposition of anti-dumping duty is necessary to offset dumping and whether injury 
would be likely to continue to recur if anti-dumping duty were removed or varied and if, as a result, the Commission determines that continued imposition of anti- dumping duty is no longer warranted it shall be terminated immediately. 
(4) The Commission may require an applicant requesting a review under this section to fill 
in an additional questionnaire provided by it requ iring such information and for such period as the 
Commission deems necessary before such review is initiated in which case the review shall be 
initiated following the receipt by the Commission of such questionnaire duly filled in. 
60. Newcomer review. - (1) If a product is subject to definitive anti-dumping duties, the 
Commission shall carry out a review for the purpose of determining individual dumping margins for 
any exporters or producers in an exporting count ry concerned who did not export the product to 
Pakistan during the period of investigation if such exporters or producers can show that they are not related to any of the exporters or producers in the exporting country who are subject to the anti-dumping duties on an investigated product. 
 
(2) A review under sub-section (1) shall be initiated within thirty days following the date 
of receipt of an application for such review by  any producer or exporter concerned and shall 
normally be completed within six months from its initiation and, in any event, no later than twelve 
months: 
Provided that the Commission may require an applicant requesting a review under 
sub-section (1) to fill in an additional questionnaire provided by it requiring such information and 
for such period as the Commission deems necessary before such review is initiated in which case a review under sub-section (1) shall be initiated within thirty days following the receipt by the Commission of such questionnaire duly filled in. 
(3) No anti-dumping measures shall be imposed on imports from any exporters or 
producers referred to in sub-section (1) while the review under sub-section (2) is being carried out: G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
- 31 - 
 
  Provided that the Commission may require a cash deposit in the amount of the residual anti-
dumping duty rate determined pursuant to sub-section (5) of section 51 to ensure that, should such a review result in a determination of dumping in respect of such producers or exporters, anti-
dumping duties can be levied retroactively to the date of initiation of the review. 
61. Duration and review of price undertakings. - The provisions of sections 57, 58 and 59 
shall apply, mutatis mutandis, to price undertakings accepted in accordance with Part XII of this 
Act. 
 
62. Evidence and procedure. - (1) The provisions of sections 27, 31, 32, 33, 35, 39, and 46 
shall apply, mutatis mutandis , to any review carried out under Part XV of this Act. 
 
(2) Any review conducted under sections 58 and 59 shall be carried out expeditiously and 
shall normally be concluded within twelve months of the date of initiation of the review. 
63. Anti-circumvention measures. -  (1) Anti-dumping duties imposed pursuant to this Act 
may be extended to imports from third countries, of  the like product, whether slightly modified or 
not, or to imports of the slightly modified like product from the country subject to measures, or parts thereof, when circumvention of the measures in force is taking place. Anti-dumping duties 
not exceeding the residual anti-dumping duty imposed in accordance with section 39 may be 
extended to imports from companies benefiting from individual duties in the countries subject to measures when circumvention of the measures in force is taking place. Circumvention shall be defined as a change in the pattern of trade between third countries and Pakistan or between 
individual companies in the country subject to measures by Pakistan, which stems from a practice, 
process or work for which there is insufficient due cause or economic justification other than the imposition of the duty, and where there is evidence of injury or that the remedial effects of the 
duty are being undermined in terms of the prices or  quantities of the like product, and where there 
is evidence of dumping in relation to the normal values previously established for the like product, if necessary in accordance with the provisions of this Act. 
(2) The practice, process or work referred to in sub-section (1) includes, inter alia , the 
slight modification of the product concerned to make it fall under customs tariff which are normally not subject to the measures, provided that the modification does not alter its essential characteristics, the consignment of the product subject to measures via third countries, the 
re-organisation by exporters or producers of thei r patterns and channels of sales in the country 
subject to measures in order to eventually have  their products exported to Pakistan through 
producers benefiting from an individual duty rate lower than that applicable to the products of the 
manufacturers, and, in the circumstances indicated in  sub-section (3), the assembly of parts by an 
assembly operation in Pakistan or a third country. 
(3) An assembly operation in Pakistan or a third country shall be considered to circumvent 
the measures in force where,- 
(a) the operation started or substantially increased since, or just prior to, the initiation of 
the anti-dumping investigation and the parts concerned are from the country subject to measures; 
(b) the parts constitute 60% or more of th e total value of the parts of the assembled 
product, except that in no case shall circumvention be considered to be taking place where the value added to the parts brought in, during the assembly or completion 
operation, is greater than 25% of the manufacturing cost; 
(c) the remedial effects of the duty are be ing undermined in terms of the prices or 
quantities of the assembled like product and there is evidence of dumping in relation 
to the normal values previously established for the like or similar products. 
(4) Investigations shall be initiated pursuant to this section on the initiative of the 
Commission or at the request of any interested party on the basis of sufficient evidence regarding the factors set out in sub-sections (1) and (2). Investigations shall be concluded by the 
Commission within nine months. G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
- 32 - 
 
  PART XVI 
 
APPEAL TO APPELLATE TRIBUNAL 
 
64. Establishment of the Appellate Tribunal. - (1) The Federal Government shall, by 
notification in the official Gazette, establish an Appellate Tribunal for the purposes of exercising jurisdiction under this Act.  
(2) The Appellate Tribunal shall be composed of three members appointed by the Federal 
Government, consisting of a Chairman and two members. 
(3) All members of the Appellate Tribunal shall be citizens of Pakistan and shall be 
employed on a full-time basis. 
(4) The Members of the Appellate Tribunal shall have no past record of any specific 
activities or conduct that could reasonably call into question their ability to discharge their duties as members of the Appellate Tribunal with ho nesty, integrity, reliability, competence and 
objectivity. 
(5) In making such appointments the Federal Government shall ensure that the 
membership of the Appellate Tribunal, taken as a whole, possesses substantial and directly 
relevant professional experience and qualifications  needed to properly discharge its functions.  
65. Qualifications and eligibility. - (1) The members of the Appellate Tribunal shall,-  
(a) have at least a masters or professional degree or qualification from an accredited 
university or institute in international trade laws, business and commercial laws, 
economics, accountancy, tariffs and trade,  commerce and trade, or a trade-related 
subject; knowledge of trade remedy laws would be an advantage; 
(b) have at least fifteen years of professional work experience in international trade law, 
business and commercial laws, economics, accountancy, harmonized tariffs, 
commerce and trade, tariffs and trade or other trade-related technical field; direct work experience in trade remedy laws would be an advantage; 
(c) have no past record of criminal conviction, other than for minor offences; and 
(d) have no past record of any specific activities or conduct that could reasonably call into 
question their ability to discharge their du ties as a members of the Appellate Tribunal 
with honesty, integrity, reliability, competence and objectivity.  
66. Disqualification. - ( 1 )  N o  p e r s o n  s h a l l  b e  a p p o i n t e d  o r  c o n t i n u e  a s  m e m b e r  o r  a n  
employee of the Tribunal if such person;  
(a) has been convicted of an offence involving moral turpitude; 
(b) has been or is adjudged insolvent; 
(c) is incapable of discharging his duties by reasons of physical, physiological or, mental 
unfitness and has been so declared by a duly constituted Medical Board appointed by 
the Federal Government; or 
(d) fails to disclose any conflict of interest at or within the time provided for such 
disclosure by or under this Act or contravenes any of the provisions of this Act pertaining to unauthorized disclosure of information; 
(e) is or has been a Member or employee of the Commission unless a period of two years 
has elapsed after he has ceased to be such Member or employee of the Commission. 
 
67. Terms and Conditions. - (1) The Chairman and Members of the Tribunal shall be 
appointed for the period of five ye ars. This term shall be extendable  for a period of one year unless 
the Federal Government notifies otherwise. G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
- 33 - 
 
  (2) The terms and conditions of the Chairman and Members of the Tribunal shall be as 
prescribed.  
(3) The Chairman and Members appointed under the repealed Anti-Dumping Duties 
Ordinance, 2000 (LXV of 2000) shall continue to act as Chairman and Members only till the 
appointment of Chairman and Members under this Act: 
Provided that the Federal Government shall ensure the establishment of Appellate Tribunal 
along with appointment of its Chairman and Me mbers within a period of ninety days from 
commencement of this Act. 
68. Decisions and determinations; Quorum. - (1) Decisions and determinations of the 
Appellate tribunal shall be taken by majority.  
(2) If there are less than three members of the Tribunal, the presence of two members 
serving shall constitute a quorum. 
(3) In the case of a quorum of two, the decision shall be taken by consensus. (4) Any decision or determination taken at a meeting where a quorum is present shall 
constitute a valid and enforceable decision or determination of the Tribunal. 
69. Operation of the Appellate Tribunal in the absence of the Chairman or a Member. - 
(1) If the Chairman's or any of the member's position becomes vacant, the Government shall 
designate a new member or one of the existing members to serve as Chairman.  
(2) The absence of a Chairman, or the temporary incapacity of the Chairman, shall not 
affect the other members' ability to act as the Appellate Tribunal and to exercise its powers and authority under this Act. 
70.  Appellate procedures. - (1) Any interested party may prefer an appeal to the Appellate 
Tribunal against -  
(i) the initiation of an investigation or a preliminary determination, where it is alleged 
that it does not satisfy the requirements laid down in sections 23 and 37 respectively; 
(ii) an affirmative or negative final determination by the Commission under section 39;  (iii) any final determination pursuant to a review; 
(iv) an order of the Commission for termination of investigation under Section 41; or 
(v) a determination of the Commission under section 52. (2) An appeal under clause (i) of sub-section (1) shall be filed within thirty days of the 
publication of notice of initiation or notice preliminary determination, as the case may be. 
(3) The Appellate Tribunal shall handle such an  appeal as a priority and shall issue its 
decision on the appeal within thirty days of the filing of an appeal with the Appellate Tribunal: 
 Provided that the filing of an appeal under clause (i) of sub-section (1) shall have no effect 
on the Commission's conduct of investigation. 
(4) All appeals under clauses (ii), (iii), (iv) and (v) of sub-section (1) shall be filed within 
forty-five days from the date of publication in newspapers of a public notice or as the case may be, 
date of the decision of the Commission of any affirmative or negative final decision or 
determination or termination of investigation by the Commission, and shall be in such form and contain such information as may be prescribed.  G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
- 34 - 
 
  (5) Such an appeal shall be disposed of and the decision of the Appellate Tribunal 
pronounced, as expeditiously as possible as but not la ter than forty-five from the date of receipt of 
an appeal compliant with the requirements contained in this Act.  
(6) The Appellate Tribunal shall hear the appeal from day-to-day. 
(7) In examining an appeal under sub-section (1), the Appellate Tribunal may make such 
further inquiry as it may consider necessary, and after giving the Commission and an appellant an opportunity of being heard, pass such order as it thinks fit, confirming, altering or annulling a 
determination of the Commission appealed against. 
 Provided that in case the Appellate Tribunal decision requires action by the Commission, it 
shall remand the case to the Commission.  
(8) After examining the appeal, the Appellate tribunal shall assess the facts related to the 
impugned determination of the Commission. The Appellate Tribunal shall determine whether the 
establishment of the facts of the Commission was proper and whether the commission's evaluation 
of those facts was unbiased and objective. The Appellate tribunal shall base this determination on 
the official record maintained by the Commission or any other documents relied upon by the 
Commission in reaching the determination being appealed.  
(9) Where the Appellate Tribunal determines that the Commission's establishment of the 
facts was proper and its evaluation was unbiased and objective, it shall confirm the appealed 
determination of the Commission provided that the Appellate Tribunal is satisfied that in reaching its determination, the Commission complied with the relevant provisions of this Act. 
(10) The decision of the Appellate Tribunal shall be in writing, detailing the issues raised in 
the appeal and the arguments adopted by th e appellant and the Commission. The Appellate 
tribunal shall also provide reasons for reaching its decision with reference to the provisions of this Act and the facts of the case.  
(11) The Appellate Tribunal shall provide copies of its decision to all the appellants and the 
respondents including the Commission no later than five days from the date of rendering its decision. 
(12) The Appellate Tribunal may, if it deems necessary, require an appellant to provide 
security in such form as may be prescrib ed, at the time of filing of an appeal. 
(13) The decision of the Appellate Tribunal shall be appealable in the High Court. The High 
Court shall render a decision within ninety days of receiving an appeal from the decision of the 
Appellate Tribunal.  
Provided that the High Court shall not make an interim order against the conduct of 
investigation by the Commission unless the Commission has been given notice of the application 
and has had an opportunity of being heard and the High Court, for reasons to be recorded in 
writing, is satisfied that the interim order would not have the effect of prejudicing or interfering with the carrying out of a public work  or of otherwise being harmful to the public 
interest [or State property] or of impeding th e assessment or collection of public revenues. 
  Provided that The Appellate Tribunal may, if it thinks fit, accept an application from any party to an appeal in which the Appellate Tribunal has rendered its decision, for a clarification of 
any of the issues raised by the Appellate Tribunal in its decision: 
Provided also that such application shall specify the precise issue in respect of which a 
clarification is sought and give reasons as to why a clarification is necessary. 
 
(14) The Appellate Tribunal shall only accept such application if it is satisfied that a 
material issue discussed in its decision requires further clarification or elaboration. The party likely 
to be adversely affected by such clarification shall also be given a notice by the Appellate Tribunal: G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
- 35 - 
 
  Provided that no application under this sub-section shall be accepted by the Appellate 
Tribunal later than thirty days of its decision. 
(15) The Appellate Tribunal shall perform its functions under this Act in accordance with 
such procedures as may be prescribed. 
(16) A determination of the Commission shall be given full force and effect during the 
pendency of any appeal of such determination. 
(17) A person duly authorized by any interest ed party is entitled to appear, plead and act 
on behalf of such party before the Appellate Tribunal. 
71. Disclosure of interest. - (1) The following shall apply to members of the Appellate Tribunal 
including the Chairman.  
(2) A Member shall be deemed to have an interest in a matter if he has any interest, 
pecuniary or otherwise, in such matter which could reasonably be regarded as giving rise to a 
conflict between his duty to honestly perform his functions, so that his ability to consider and decide any question impartially or to give any ad vice without bias, may reasonably be regarded as 
impaired. 
(3) A Member having any interest in any matter to be discussed or decided by the 
Tribunal, shall prior to discharge of any function or business of the Commission, disclose in writing 
to the Secretary to the Tribunal, the fact of his interest and the nature thereof. 
(4) A Member shall give written notice to the Secretary to the Tribunal of all direct or 
indirect pecuniary or other material or personal interests that he has or acquires in a body corporate involved in a matter before the Tribunal.  
(5) A disclosure of interest under sub-section (2) shall be made a part of the record of the 
Tribunal in that particular matter. 
72. Powers of the Appellate Tribunal. - The Appellate Tribunal shall, for the purpose of 
deciding an appeal, be deemed to be a civil court and shall have the same powers as are vested in 
such court under the Code of Civil Procedure, 1908 (V of 1908), including the powers of -  
(a) enforcing the attendance of any person and examining him on oath;  
(b) compelling the production of documents; and (c) issuing commission for the examination of witnesses and documents. 
 
73. Power of the Appellate Tribunal to call for and examine record. - The Appellate 
Tribunal may call for and examine the official records of an investigation conducted by the Commission and any other information or documents relied upon by the Commission in reaching a 
determination appealed against for the purpose of satisfying itself as to the legality or propriety of 
an impugned determination of the Commission.  
74. Power to make rules. - T h e  F e d e r a l  G o v e r n m e n t  m a y ,  b y  n o t i f i c a t i o n  i n  t h e  o f f i c i a l  
Gazette, make rules for carrying out the purposes of this Act.  75. Protection to persons prejudiced in  employment because of assisting the 
Commission. - (1) An employer shall not - 
 
(a) dismiss an employee, or prejudice an  employee in his employment, because the 
employee has assisted the Commission in connection with an inquiry or investigation 
under this Act; or 
(b) dismiss or threaten to dismiss an employee,  or prejudice or threaten to prejudice an 
employee in his employment, because the employee proposes to assist the 
Commission in connection with an inquiry or investigation under this Act. G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
- 36 - 
 
  (2) For the purposes of sub-section (1), a person shall be taken to assist the Commission 
in connection with an inquiry if the person - 
(a) gives information, whether orally or in writing, or gives documents, to the Commission 
in connection with an inquiry or investigation under this Act; or 
(b) gives evidence or produces documents, at an inquiry, investigation or hearing held 
under this Act. 
76. Appointment of advisers and consultants. - (1) Subject to sub-section (2), the 
Commission may, employ and pay consultants and agents, and technical, professional and other 
advisers, including bankers, economists, actuaries, accountants, lawyers and other persons to do any act required to be done in the exercise of its powers, the performance of its functions or for 
the better implementation of the purposes of this Act. 
(2) The decision to employ and the terms an d conditions of employment of external 
advisers and consultants pursuant to sub-section (1) shall be made by the Commission in accordance with such policy guidelines as ma y be established by the Federal Government, in 
consultation with the Commission, from time to time. 
77. Removal of difficulty. - If any difficulty arises in giving effect to any of the provisions of 
this Act, the Federal Government may make such order, not inconsistent with the provisions of this 
Act, as may appear to it to be necessary for the purpose of removing the difficulty: 
 
Provided that no such power shall be exercised after the expiry of one year from the coming 
into force of this Act. 
 
78. Act to override other laws. - The provisions of this Act shall have effect notwithstanding 
anything inconsistent therewith contained in any other law for the time being in force; 
Provided that this provision shall not apply on the National Tariff Commission law for the 
time being in force.  
79. Repeal. - The Anti-Dumping Ordnance, 2000 (LXV of 2000) is hereby repealed. 
 80. Savings. - Notwithstanding the repeal under section 79, nothing in this Act shall affect or be 
deemed to affect anything done, action taken,  investigation or proceedings commenced, order, 
rule, regulation, appointment, document, or ag reement made, fee directed, resolution passed, 
direction given, proceedings taken or instrument executed or issued under or pursuant to the repealed Anti-Dumping Ordnance 2000 (LXV of 200 0), and any such thing, action, investigation, 
proceedings, orders, rule, regulation, appointm ent, document, agreement, fee, resolution, 
direction, proceedings or instrument shall, if in force at the commencement of this Act and not inconsistent with any of the provisions of this Act continue in force and have effect as if had been 
respectively done, taken, commenced, made, directed, passed, given, executed or issued under 
this Act.  G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
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  THE SCHEDULE 
[See section 32(2)] 
BEST INFORMATION AVAILABLE 
 
1. As soon as possible after initiation of an investigation, the Commission should specify in detail 
the information required from any interested party, and the manner in which that information should be structured by the interested party in its response. The Commission should also ensure 
that the interested party is aware that if information is not supplied within a reasonable time, the 
Commission shall be free to make determination on the basis of facts available, including those contained in an application for initiation of an investigation by domestic industry.  
2. The Commission may also request an interested party to provide its response in a particular 
medium such as computer tape or computer language. Where such a request is made, the Commission should consider the reasonable ability of the interested party to respond in the 
preferred medium or computer language, and should not request the party to use for its response 
a computer system other than that used by the party. The Commission should not maintain a request for a computerised response if the inte rested party does not maintain computerised 
accounts and if presenting the response as requested would result in an unreasonable extra 
burden on the interested party or it would entail unreasonable additional cost and trouble. The Commission should not maintain a request for a response in a particular medium or computer language if the interested party does not maintain its computerised accounts in such medium or 
computer language and if presenting the response  as requested would result in an unreasonable 
extra burden on the interested party or it would entail unreasonable additional cost and trouble. 
 
3. All information which is verifiable, which is appropriately submitted so that it can be used in an 
investigation without undue difficulties, which is supplied in a timely fashion, and, where applicable, which is supplied in a medium or computer language requested by the Commission, 
should be taken into account when determinations are made. If a party does not respond in the 
preferred medium or computer language but the Commission finds that the circumstances set out in para 2 have been satisfied, any failure to respond in the preferred medium or computer language shall not be considered to significantly impede the investigation. 
 
4. Where the Commission does not have the ability to process information if provided in a particular medium such as computer tape, the information should be supplied in the form of 
written material or any other form acceptable to the Commission. 
 5. If an information provided is not ideal in all respects, this shall not justify the Commission from 
disregarding it, provided an interested party has acted to the best of its ability. 
 6. If evidence or information is not accepted by the Commission, the supplying party shall be 
informed forthwith of the reasons therefore, and shall be given an opportunity to provide further 
explanations within a reasonable period, as may be determined by the Commission, due account 
being taken of the time-limits of an investigation. If the explanations are considered by the Commission as not being satisfactory, the reasons for rejection of such evidence or information 
should be given in any published determinations. 
 7. If the Commission has to base its findings, including those with respect to normal value, on any 
information from a secondary source, including any information supplied in an application for 
initiation of an investigation, it shall do so with special circumspection. In such cases, the Commission shall, where practicable, check the information from other independent sources at their disposal, such as published price lists, offici al import statistics and customs returns, and from 
the information obtained from other interested parties during the investigation provided that if an 
interested party does not co-operate and thus relevant information is being withheld from the Commission, this situation may lead to a result which is less favourable to the party than if the 
party did co-operate. 
 
_______________ 
 G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
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  [AS PASSED BY THE SENATE] 
PART I 
ACTS, ORDINANCES, PRESIDENT'S ORDERS AND REGULATIONS 
NATIONAL ASSEMBLY SECRETARIAT 
Islamabad, the 8th September, 2015 
No. F.22 (16)/2015 -Legis - The following Act of Majlis-e-Shoora  (Parliament) received the 
assent of the President on the 5th September, 2015 and is hereby published for general 
information: -- 
 
ACT NO. XIII OF 2015 
An Act to reform and repeal the Countervailing Duties Ordinance, 2001 
WHEREAS it is expedient to give effect in Pakistan  to the provisions of Articles VI and XVI 
of the General Agreement on Tariffs and Trade,  1994, and to the Agreement on Subsidies and 
Countervailing Measures and to further strengthen the law relating to imposition of countervailing 
duties to offset such subsidies, to provide a framework for investigation and determination of such 
subsidies and injury in respect of goods imported into Pakistan;  
 AND WHEREAS  the imposition of countervailing duties to offset injurious subsidization is in 
the public interest; 
 AND WHEREAS  it is expedient to provide for certain reforms in the Countervailing Duties 
Ordinance, 2001, (I of 2001) by repealing it and re-enacting the law for the purposes hereinafter 
appearing; 
PART I 
 
PRELIMINARY 
 
1. Short title, extent and commencement. - (1) This Act may be called the Countervailing 
Duties Act, 2015. 
 
(2) It extends to the whole of Pakistan. 
(3) It shall come into force at once. 
2. Definitions. - In this Act, unless there is anything repugnant in the subject or context,- 
 
(a) "Agreement on Subsidies" means the Agreement on Subsidies and Countervailing 
Measures included in Annex (1A) to the Final Ordinance of the Results of the Uruguay 
Round concerning the Implementation of Article XVI of the General Agreement on Tariffs and Trade, 1994; 
(b) "Appellate Tribunal" means the Appellate Tribunal established under the Anti-Dumping 
Duties Law for the time being in force; 
(c) "Application" means an application submitted to the Commission pursuant to 
sub-section (1) of section 11; 
(d) "Commission" means the National Tariff Commission established under the Law for the 
time being in force; G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
- 39 - 
 
  (e) "country" means any country or territory whether a member of the World Trade 
Organisation or not and includes a customs union or customs territory; 
(f) "countervailing measures" means any measures that may be taken by the 
Commission under this Act including imposition of countervailing duties, whether 
provisional or definitive, or the acceptance of an undertaking; 
(g) "definitive countervailing duty" means a duty imposed by the Commission under 
section 16, sub-section (15) of section 14 or sub-section (2) of section 17; 
(h) "domestic industry" means the domestic producers as a whole of a like product or 
those whose collective output of that product constitutes a major proportion of the total domestic production of that product; except when any such domestic producers are related to the exporters or importers, or  are themselves importers of the allegedly 
subsidised product. In such a case "domestic industry" shall mean the rest of the 
domestic producers: 
Explanation. - For the purposes of this clause, producers shall be deemed to be 
related to exporters or importers only if - 
 (i) one of them directly or indirectly controls the other; 
(ii) both of them are directly or indirectly controlled by the same third person; or 
(iii) together they directly or indirectly control a third person: 
 
Provided that there are grounds for believing or suspecting that the effect 
of the relationship is such as to cause the producer concerned to behave 
differently from non-related producers and for that purpose one shall be deemed to control another when the former is legally or operationally in a 
position to exercise restraint or direction over the latter: 
 
Provided further that, in exceptional circumstances, as may be 
determined by the Commission, the domestic industry in relation to a product in 
question may be divided into two or more competitive markets and producers within each such market may be regard ed as a separate industry if the - 
 
(i) producers within such a market sell all or almost all of their production of 
the product in question in such a market; and 
(ii) demand in such a market is not, to any substantial degree, supplied by 
producers of the product in question located elsewhere in Pakistan; 
(i) "Exporting country" means a country granting subsidy in respect of an investigated 
product, which country may be either - 
(i) the country of origin of the investigated product; or 
(ii) where the investigated product is not exported directly to Pakistan but is 
transported through an intermediate country, such intermediate country; 
(j) "government" means the government or an y public body within the territory of an 
exporting country; 
(k) "injury" means, unless otherwise specified, material injury to a domestic industry, 
threat of material injury to a domestic industry or material retardation of the 
establishment of a domestic industry, when subsidised imports are causing such 
injury; 
(l) "interested party" includes - 
(i) an exporter, foreign producer, an importer of an investigated product or an 
association a majority of the members of which are producers, exporters or 
importers of such product; 
(ii) a producer of a like product in Pakistan or an association a majority of the 
members of which produce a like product in Pakistan; and G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
- 40 - 
 
  (iii) such other person or group of persons as the Commission may, by notification 
in the official Gazette, specify; 
(m) "investigated product" means a product which is subject to an investigation under this 
Act; 
(n) "investigation" means an investigation conducted under this Act; 
(o) "like product" means a product which is alike in all respects to an investigated product 
or, in the absence of such a product, another product which, although not alike in all 
respects, has characteristics closely resembling those of the investigated product; 
(p) "prescribed" means prescribed by rules made under this Act; (q) "provisional countervailing duty" means a duty imposed by the Commission under 
section 13; 
(r) "public notice" means a notice published by the Commission in at least one issue each 
of a daily newspaper in the English language and a daily newspaper in the Urdu language having wide circulation in Pakistan; 
(s) "Schedule" mean the Schedule to this Act; 
(t) "subsidy" means a subsidy as defined in section 4 and "subsidization" shall be 
construed accordingly; and 
(u) "WTO" means the World Trade Organisation established pursuant to the Marrakesh 
Agreement concluded in Marrakesh, Morocco, on the 15th April, 1994. 
PART II 
 
COUNTERVAILING MEASURES 
 
3. Levy of countervailing duty. - (1) Where the Commission determines in accordance with 
the provisions of this Act that any exporting country pays or bestows, directly or indirectly, any 
subsidy upon the manufacture or production therein or the exportation therefrom of any investigated product including any subsidy on transportation of such product and such subsidy 
causes injury then, upon the importation of any such product into Pakistan, the Commission shall, 
by notification in the official Gazette, impose a countervailing duty thereon as provided for in this Act.  
(2) For the purposes of this Act, a product shall be considered to be subsidised if it 
benefits from a countervailable subsidy as provided for in section 4 and 5. 
(3) A subsidy may be granted by a government of the country of origin of an investigated 
product or by the government of an intermediate country from which the investigated product is 
exported to Pakistan. 
(4) Notwithstanding anything contained in this Act, where an investigated product is not 
directly imported from the country of origin but exported to Pakistan from an intermediate 
country, the provisions of this Act shall be fully applicable and such transaction shall, where considered appropriate by the Commission, be regarded as having taken place between the country of origin of the investigated product and Pakistan. G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
- 41 - 
 
  PART III 
 
DEFINITION OF SUBSIDY, COUNTERVAILABLE AND 
NON-COUNTERVAILABLE SUBSIDIES 
 
4. Circumstances in which subsidy shall be deemed to exist. - A subsidy shall be deemed 
to exist if - 
 
(a) there shall be financial contribution by a government, where - 
(i) the government practice involves direct transfer of funds including grants, loans 
and equity infusion, or potential direct tr ansfer of funds or liabilities, or both; 
(ii) government revenue that is otherwise due is foregone or not collected including 
fiscal incentives such as tax credits: 
Provided that exemption of an exported product from duties or taxes 
borne by a like product when destined for domestic consumption, or remission 
of such duties or taxes in amounts not in excess of those which have accrued, shall not be deemed to be a subsidy provided that such exemption is granted in 
accordance with the provisions of the First, Second and Third Schedules; 
(iii) the government provides goods or services other than general infrastructure or 
purchases goods; or 
(iv) the government makes payments to a funding mechanism, or entrusts or 
directs a private body to carry out one or more of the type of functions specified 
in sub-clauses (i), (ii) and (iii) which would normally be vested in the government and the practice in, no real sense, differs from practices normally 
followed by governments; 
(b) there is any form of income or price support within the meaning of Article XVI of the 
General Agreement on Tariffs and Trade, 1994; and 
(c) a benefit is thereby conferred. 
5. Countervailable subsidies. - (1) A subsidy shall be subject to countervailing measures 
under this Act only if the Commission determines that such subsidy is specific in accordance with the principles set out in sub-sections (2), (3), (4) and (5). 
 
(2) In order to determine whether a subsidy is specific to an enterprise, industry or a 
group of enterprises or industries, hereinafter re ferred to as "certain enterprises", within the 
jurisdiction of a granting authority, the Commission shall apply the following principles, namely:- 
(a) 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 shall be specific; 
(b) where the granting authority, or the legislation pursuant to which the granting 
authority operates, establishes objectives 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 are strictly adhered to; 
Explanation. - For the purposes of clause (b), objective criteria or conditions mean 
criteria or conditions which are neutral, which do not favour certain enterprises over 
other, and which are economic in nature and horizontal in application, such as, 
number of employees or size of enterprise. Such criteria or conditions must be clearly set out by law, regulation, or other official document, so as to be capable of 
verification; and 
 G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
- 42 - 
 
  (c) if, notwithstanding any appearance of non-specificity resulting from the application of 
the principles laid down in clauses (a) and (b), there are reasons to believe that the subsidy may in fact be specific, the following other factors may be considered by the Commission, namely:- 
(i) use of a subsidy programme by a limited number of certain enterprises; 
(ii) predominant use by certain enterprises; (iii) granting of disproportionately large amounts of subsidy to certain enterprises; 
and 
(iv) manner in which discretion has been exercised by the granting authority in the 
decision to grant a subsidy. 
 
Explanation. - For the purposes of clause (c), information on the frequency with 
which applications for a subsidy are refused or approved and the reasons for such decisions shall, in particular, be considered. 
 
(3) In applying the provisions of clause (c) of sub-section (2), the Commission shall take 
into account the extent of diversification of economic activities within the jurisdiction of a granting 
authority and the length of time during which subsidy programme has been in operation. 
(4) A subsidy which is limited to certain enterprises located within a designated 
geographical region within the jurisdiction of a granting authority shall be specific. 
(5) The setting or changing of generally applicable tax rates by all levels of the 
government entitled to do so shall not be deemed to be a specific subsidy. 
(6) Notwithstanding anything contained in sub-sections (2), (3), (4) and (5), the following 
subsidies shall be deemed to be specific, namely:- 
(a) subsidies contingent, in law or in fact, whether solely or as one of several other 
conditions, upon export performance, including those illustrated in the First Schedule: 
Provided that subsidies shall be considered by the Commission to be contingent 
in fact upon export performance when the facts demonstrate that granting of a 
subsidy, without having been made legally contingent upon export performance, is in fact tied to actual or anticipated exportation or export earnings:  
Provided further that the mere fact that a subsidy is accorded to enterprises 
which export shall not for that reason alone be considered by the Commission to be an 
export subsidy for the purposes of this clause; and 
 
(b) subsidies contingent, whether solely or as one of several other conditions, upon the 
use of domestic over imported goods. 
(7) Any determination of specificity by the Commission under this section shall be 
substantiated on the basis of positive evidence. 
6. Non-countervailable subsidies. - Subsidies which are not specific as determined in 
accordance with the provisions of section 5, shall not be subjected to countervailing measures 
under this Act.  
 G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
- 43 - 
 
  PART IV 
 
CALCULATION OF THE AMOUNT OF COUNTERVAILABLE SUBSIDY 
 
7. Calculation of amount of  countervailable subsidy. - (1) The amount of countervailable 
subsidy, for the purposes of this Act, shall be calculated by the Commission in terms of any benefit conferred on a recipient which is found to exist during an investigation period for subsidization, 
which period shall normally be the most recent accounting year of the beneficiary but may be any 
other period of at least six months prior to initiation of an investigation for which reliable financial and other relevant data are available.  
(2) In determining the amount of countervailable subsidy the Commission shall apply the 
following principles to calculate any benefit conferred on the recipient as referred to in 
sub-section (1), namely:- 
(a) government provisions of equity capital shall not be considered to confer any benefit, 
unless an investment can be regarded as inconsistent with the usual investment practice including, for the provision of risk capital of private investors in the territory 
of an exporting country; 
(b) a loan by a government shall not be considered to confer any benefit, unless there is a 
difference between the amount that a firm receiving the government loan pays on it and the amount that the firm would pay for a comparable commercial loan which the 
firm could actually obtain on the market, in which event the benefit shall be the 
difference between these two amounts; 
(c) a loan guarantee by a government shall not be considered to confer any benefit, 
unless there is a difference between the amount that a firm receiving the guarantee 
pays on the loan guaranteed by the govern ment and the amount that the firm would 
pay for a comparable commercial loan in the absence of the guarantee, in which case 
the benefit shall be the difference between these two amounts, adjusted for any 
difference in fees; and 
(d) a provision of goods or services or purchase of goods by a government shall not be 
considered to confer any benefit, unless the provision is made for less than adequate 
remuneration or the purchase is made for more than adequate remuneration, and the 
adequacy of remuneration shall be determ ined in relation to prevailing market 
conditions for the product or service in question in the country of provision or 
purchase including price, quality, availability, marketability, transportation and other 
conditions of purchase or sale. 
8. General provisions on calculat ion of countervailable subsidies. - (1) Subject to 
sub-section (2), the amount of countervailable subs idies shall be determined by the Commission in 
terms of subsidization per unit of an investigated product exported to Pakistan and in establishing such amount the following elements may be deducted from the total subsidy, namely:- 
 
(a) any fee or other costs necessarily incurred in order to qualify for or, to obtain a 
subsidy; and 
(b) export taxes, duties or other charges levied on export of an investigated product to 
Pakistan specifically intended to offset a subsidy. 
(2) Where an interested party claims a deduction under sub-section (1) such party shall 
prove to the Commission that the claim is justified. 
(3) Where a subsidy is not granted by re ference to the quantities manufactured, 
produced, exported or transported, the amount of  countervailable subsidy shall be determined by 
allocating the value of the total subsidy, as appropriate, over the level of production, sales or exports of the products concerned during an  investigation period for subsidization. 
(4) Where a subsidy can be linked to acquisition or future acquisition of fixed assets, the 
amount of countervailable subsidy shall be calculated by spreading the subsidy across a period G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
- 44 - 
 
  which reflects normal depreciation of such assets  in the industry concerned, and the amount so 
calculated which is attributable to an investigation period, including that which derives from fixed asset acquired before such period, shall be allocated as provided for in sub-section (2): 
Provided that where assets are non-depreciating, a subsidy shall be valued as an interest-
free loan, and be treated in accordance with the provisions of clause (b) of sub-section (2) of 
section 7.  
(5) Where a subsidy cannot be linked to acquisition of fixed assets, the amount of any 
benefit received during an investigation period shall, in principle, be attributed to this period, and allocated as provided for in sub-section (2), unless special circumstances arise justifying attribution over a different period. 
PART V 
 
DETERMINATION OF INJURY 
 
9. Determination of injury. - (1) A determination of injury by the Commission shall be based 
on positive evidence and shall involve an objective examination of - 
 
(a) volume of any subsidised imports and their effect on prices in domestic market for like 
products; and 
(b) consequent impact of subsidised imports on domestic industry: 
 
Explanation. - With regard to volume of any subsidised imports, consideration shall 
be given by the Commission to whether there has been a significant increase in 
subsidised imports, either in absolute terms or relative to production or consumption 
in Pakistan. With regard to effect of any subsidised imports on prices, consideration shall be given by the Commission to whether there has been significant price 
undercutting by the subsidised imports as compared with the price of a like product of 
domestic industry, or whether the effect of such imports is otherwise to depress prices to a significant degree or prevent price increases which would otherwise have occurred, to a significant degree, provided th at no one or more of these factors shall 
be deemed to necessarily give decisive guidance. 
 
(2) Where imports of a product from more than  one country are simultaneously subject to 
an investigation, the effects of such imports may be cumulatively assessed by the Commission 
only if it determines that - 
(a) the amount of subsidisation established in relation to the imports from each country is 
more than de minimis  as defined in sub-section (3) of  section 15 and the volume of 
imports from each country is not negligible; and  
(b) a cumulative assessment of the effects of the imports is appropriate in the light of 
conditions of competition between imported products and the conditions of 
competition between the imported products and a like domestic product. 
 (3) An examination by the Commission of an impact of subsidized imports on a domestic 
industry concerned may include an evaluation of all relevant economic factors and indices having a 
bearing on the state of the domestic industry including the fact that the domestic industry is still in the process of recovering from the effects of past  subsidisation or dumping, the magnitude of the 
amount of countervailable subsidies, actual and potential decline in sales, profits, output, market 
share, productivity, return on investments, utilization of capacity, factors affecting domestic prices, actual and potential negative effects on cash flow , inventories, employment, wages, growth, ability 
to raise capital or investments and, in the case of agriculture, whether there has been an 
increased burden on Government support programmes. G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
- 45 - 
 
  (4) The Commission shall satisfy itself that subsidised imports are, through the effects of 
subsidies, as set forth in sub-sections (1) and (3), causing injury within the meaning of this Act. The consideration of a causal relationship between subsidised imports and injury to domestic industry shall be based on an examination by the Commission of all relevant evidence before it. 
(5) The Commission shall examine known factors other than subsidised imports which are 
injuring domestic industry to ensure that injury caused by such other factors is not attributed to subsidised imports. Such other factors may include factors such as the volume and prices of non-
subsidised imports, contraction in demand or chan ges in patterns of consumption, restrictive trade 
practices of and competition between a foreign country and domestic producers, developments in technology and export performance and productivity of domestic industry. 
(6) The effect of subsidised imports shall be assessed by the Commission in relation to the 
production by domestic industry of a like product when available data permits separate 
identification of that production on the basis of su ch criteria as the production process, producers' 
sales and profits: 
Provided that where such separate identificati on of that production is not possible, the 
effects of subsidised imports shall be assessed by the Commission by examination of the production of the narrowest group or range of pr oducts including a like product, for which the 
necessary information can be provided. 
 
(7) A determination of a threat of material injury by the Commission shall be based on 
facts and not merely on allegation, conjecture or remote possibility and any change in 
circumstances which would create a situation in which subsidy would cause injury must be 
foreseen and imminent.  
(8) In making a determination regarding the existence of a threat of material injury, the 
Commission shall take into consideration factors such as -  
(a) the nature of subsidy or subsidies in question and any trade effects likely to arise 
therefrom; 
(b) any significant rate of increase of subsidised imports into a domestic market indicating 
the likelihood of substantially increased imports; 
(c) sufficient freely disposable capacity of an exporter or an imminent substantial increase 
in such capacity indicating the likelihood of substantially increased subsidised exports into Pakistan, account being taken of the availability of other export markets to 
absorb any additional exports; 
(d) whether imports are entering at prices that would, to a significant degree, depress 
prices or prevent price increases which otherwise would have occurred and would 
probably increase demand for further imports; and 
(e) inventories of an investigated product. 
 
Explanation. - None of the factors specified in sub-section (8) by itself shall be 
deemed to necessarily give decisive guidance but the totality of the factors considered 
by the Commission must lead to the conclusion that further subsidised exports are imminent and that, unless protective action is taken, material injury will occur. 
 
10. Further circumstances in which injury may be found to exist. - (1) Where domestic 
industry in relation to a product in question has been divided into two or more competitive 
markets and the producers within each such market regarded as a separate industry in accordance 
with the second proviso to clause (i) of section 2, injury may be found to exist even where a major portion of the total domestic industry does not suffer injury provided that, there is a concentration of subsidised imports into such a separated ma rket, and provided further that the subsidised 
imports are causing injury to the producers of all or almost all of the production within such 
market.  
(2) Where injury is found to exist in the circumstances referred to in sub-section (1), the 
exporters or the government granting countervailable subsidies shall be given an opportunity to offer an undertaking in accordance with section 14 in respect of the region concerned or to cease G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
- 46 - 
 
  exporting at subsidised prices to the region concerned prior to any countervailing measures being 
applied by the Commission under this Act. 
(3) In the circumstances referred to in sub-section (2), special account shall be taken by 
the Commission of any interest of the region and if an adequate undertaking is not offered 
promptly or if the situations set out in sub-sections (13) and (14) of section 14 apply, a provisional 
or definitive countervailing duty may be imposed by the Commission in respect of domestic industry as a whole. 
(4) The provisions of sub-section (6) of section 9 shall apply to this section. 
 
PART VI 
 
INVESTIGATION 
 
11. Initiation of investigation. - (1) Save as provided for in sub-section (11), the Commission 
shall initiate an investigation to determine the existence, degree and effect of any alleged subsidy 
only upon receipt of a written application by or on behalf of domestic industry.  
(2) An application shall be submitted to the Commission in such manner, number and 
form and with such fee as may be prescribed. It shall include sufficient evidence of the existence 
of a subsidy and, if possible, its amount, injury within the meaning of this Act and a causal link between the subsidized imports and the alleged in jury. The application shall also contain such 
information as is reasonably available to an applicant on the following, namely:- 
(a) identity of the applicant and a description of the volume and value of domestic 
production of a like product by the applicant: 
Provided that where an application is made on behalf of domestic industry, the 
application shall identify the industry on behalf of which the application is made by a list of all known domestic producers of the like product or, association of domestic 
producers of the like product and, to the extent possible, a description of the volume 
and value of domestic production of the like product accounted for by such producers; 
 
(b) a complete description of an allegedly subsidised product including its current customs 
tariff classification number as contained in the First Schedule to the Customs Act, 
1969 (IV of 1969), the name of exporting count ry, identity of each known exporter or 
foreign producer, and a list of known pe rsons importing the product in question; 
(c) evidence with regard to the existence, amount, nature and countervailability of 
subsidy in question; and 
(d) information on changes in volume of allegedly subsidised imports, the effect of those 
imports on prices of a like product in domestic market and the consequent impact of 
the imports on domestic industry as demonstrated by relevant factors and indices having a bearing on the state of domestic industry, such as those listed in the explanation to sub-section (1) of section 9, and in sub-section (3) of section 9. 
 
(3) The Commission shall examine the accuracy and adequacy of the evidence provided in 
an application to determine whether it is compliant with the requirements of sub-section (2) and in 
order to determine whether there is sufficient evidence to justify initiation of an investigation. 
(4) An investigation may be initiated by the Commission in order to determine whether or 
not the alleged subsidies are specific in accordance with the principles set out in section 5. 
(5) An investigation may also be initiated by the Commission in respect of subsidies which 
are non-countervailable in accordance with the provisions of section 6 in order to determine whether or not the conditions set out therein have been met. G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
- 47 - 
 
  (6) An investigation may be initiated by the Commission in respect of measures of any 
type to the extent that they contain an element of subsidy as defined in section 4. 
(7) An investigation shall not be initiated by the Commission pursuant to sub-section (1) 
unless the Commission is satisfied, on the basis of an examination as to the degree of support for, 
or opposition to, an application expressed by do mestic producers of a like product, that the 
application has been made by or on behalf of domestic industry. 
(8) An application shall be considered to have  been made by or on behalf of domestic 
industry if it is supported by those domestic pr oducers whose collective output constitutes more 
than fifty percent of the total production of a li ke product produced by that portion of domestic 
industry expressing either support for or opposition to the application: 
Provided that no investigation shall be initiated by the Commission when domestic producers 
expressly supporting an application account for less than twenty-five percent of the total 
production of a like product produced by domestic industry. 
(9) The Commission shall, as soon as possibl e after receipt of a properly documented 
application in accordance with the requirements of section 11, and in any event before initiation of 
an investigation, give notice to an exporting country, which shall be invited for consultations with the aim of clarifying the situation as to matters referred to in sub-section (2) and arriving at a 
mutually agreed solution. 
(10) The Commission may, suo moto , initiate an investigation without having received a 
written application by or on behalf of domestic industry if it has sufficient evidence of the existence of countervailable subsidies and injury within the meaning of this Act. 
(11) The evidence both of subsidy and of inju ry shall be considered simultaneously by the 
Commission in the decision on whether or not to initiate an investigation and an application shall be rejected where there is insufficient evidence of  either countervailable subsidies or of injury to 
justify initiation of an investigation: 
Provided that an investigation shall not be initiated against countries whose imports 
represent a market share of below one per cent unless such countries collectively account for three 
per cent or more of domestic consumption. 
(12) An application may be withdrawn by an applicant prior to initiation of an investigation 
by the Commission, in which case it shall, subject to the provisions of sub-section (1) of section 15, be deemed not to have been made: 
Provided that upon withdrawal of an applicat ion any fee paid by an applicant pursuant to 
sub-section (2) shall stand forfeited in favour of the Commission. 
(13) Where, after consultation with an exporting country as provided for in 
sub-section (10), the Commission is satisfied that there is sufficient evidence to justify initiating an 
investigation, the Commission shall give notice of such decision by means of a public notice of initiation of an investigation, and the initiation of an investigation shall be effective on the date on 
which such notice is published. 
(14) Where the Commission does not consider it appropriate to initiate an investigation it 
shall inform an applicant of its decision. 
(15) The public notice of initiation of an investigation referred to in sub-section (14) shall 
announce initiation of an investigation, indicate the product and countries concerned, give a 
summary of the information received, provide that all relevant information is to be communicated to the Commission, state the periods within which any interested party may make itself known, 
present its views in writing and submit information if such views and information are to be taken 
into account during the investigation and shall also state the period within which interested parties may apply to be heard by the Commission in accordance with sub-section (4) of section 12. G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
- 48 - 
 
  (16) The Commission shall advise any exporters, importers and any association of 
importers or exporters known to it to be concer ned, as well as an exporting country and an 
applicant, of initiation of an investigation and, subject to the requirements of section 29, provide the full text of an application to the known ex porters and to the authorities of an exporting 
country, and make it available upon request to other interested parties involved: 
Provided that, where the Commission determines  that the number of exporters involved is 
particularly high, the full text of a written complaint may instead be provided by the Commission 
only to the authorities of an exporting country or to a relevant association. 
(17) An investigation shall not hinder the procedures of customs clearance. 
12. Principles governing investigation. - (1) Following initiation of an investigation, the 
Commission shall commence an investigation and such investigation shall cover both subsidisation 
and injury which, shall be investigated simultaneously. 
 
(2) For the purpose of,- 
(a) a representative finding, an investigation period shall be selected by the Commission 
which, in the case of subsidisation shall, normally, cover an investigation period provided for in section 7 and information relating to a period subsequent to the 
investigation period shall not, normally, be taken into account by the Commission; 
and 
(b) an investigation of injury, the investigation period shall normally cover thirty-six 
months: 
Provided that the Commission may at its sole discretion, select a shorter or 
longer period if it deems it appropriate in view of available information regarding domestic industry and an investigated product. 
(3) Parties receiving questionnaires from the Commission used in a countervailing duty 
investigation shall be given at least thirty days to reply and such time limit for exporters shall be counted from the date of receipt of the questionnaire which, for this purpose shall be deemed to 
have been received one week from the day on whic h it was sent to a respondent or transmitted to 
an appropriate diplomatic represen tative of an exporting country: 
Provided that where a party shows due cause for an extension to the satisfaction of the 
Commission, an extension of not more than thirty days may be granted by the Commission at its 
discretion. 
 
(4) Any interested party which has made itself known in accordance with sub-section (16) 
of section 11 shall be heard by the Commission if it has, within the period prescribed in a public 
notice of initiation of an investigation made a written request for hearing showing that it is an interested party likely to be affected by the result of an investigation and that there are particular 
reasons why it should be heard. 
(5) Opportunities shall, on request, be provided for any importers, exporters and an 
applicant, which have made themselves known in accordance with sub-section (16) of section 11 and the government of an exporting country to meet those parties having adverse interests, so 
that opposing views may be presented and rebuttal arguments offered. Provision of such 
opportunities shall take account of the need to preserve confidentiality and of convenience of the parties. There shall be no obligation on any party to attend such meeting and failure to do so shall 
not be prejudicial to that party's case. Oral information provided under this sub-section shall only 
be taken into account by the Commission to the extent that the same is subsequently confirmed in writing and provided to the Commission. 
(6) Without prejudice to the provisions of section 42, an applicant, the government of an 
exporting country, importers and exporters and th eir representative associations, which have 
made themselves known in accordance with sub-section (16) of section 11, may, upon written request, inspect all information made available to the Commission by any party to an 
investigation, as distinct from internal documents prepared by the Commission, which is relevant G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
- 49 - 
 
  to presentation of their cases and is not confidenti al within the meaning of section 29, and that it 
is used in an investigation. Such parties may respond to such information and their comments shall be taken into consideration wherever they are sufficiently substantiated in a response. 
(7) Save as provided for in section 28, any information which is supplied by interested 
parties and upon which findings are based shall, to  the extent possible, be examined for accuracy 
by the Commission. 
(8) An investigation shall, whenever possible, be concluded within one year and in no 
event later than eighteen months from its initiation, in accordance with the findings made 
pursuant to section 14 for undertakings or the findings made pursuant to section 16 for definitive action. 
(9) Throughout an investigation, the Commission shall afford an exporting country a 
reasonable opportunity to continue consultations with a view to clarifying the factual situation and 
arriving at a mutually agreed solution: 
Provided that the Commission may continue an investigation during such consultations. 
(10) The Commission shall allow industrial users of an investigated product in Pakistan, 
and representative consumer organisations in cases where the investigated product is commonly sold at retail level in Pakistan to provide to the Commission, in writing, no later than two months 
after initiation of an investigation, information concerning matters relevant to the investigation 
regarding subsidisation dumping and injury. 
PART VII 
 
PROVISIONAL COUNTERVAILING MEASURES 
 
13. Provisional countervailing duties. - (1) Provisional countervailing duty shall be imposed 
by the Commission if - 
 
(a) an investigation has been initiated by the Commission in accordance with section 11; 
(b) a public notice of initiation of an investigation has been given and interested parties 
have been given adequate opportunities to submit information and make comments in accordance with sub-section (16) of section 11; and 
(c) a provisional affirmative determination has been made by the Commission that a 
subsidy exists and that there is consequent injury to domestic industry. 
(2) A provisional countervailing duty shall not be imposed earlier than sixty days from 
initiation of an investigation but no later than nine months from initiation of the investigation and 
shall be in an amount equal to the total amount of countervailable subsidies as provisionally 
established by the Commission: 
Provided that the amount of the provisional countervailing duty shall not exceed the total 
amount of subsidisation as provisionally established, but it may be less than the margin if such 
lesser duty would be adequate to remove the injury to the Domestic Industry. 
(3) A provisional countervailing duty shall be in the form of cash deposit equal to or less 
than, the amount of the provisionally calculated amount of subsidisation, if such lesser duty would 
be adequate to remove the injury: 
Provided that the release of a product concerned for free circulation in Pakistan shall be 
subject to provisions of such cash deposit. 
(4) A provisional countervailing duty shall be imposed for a period not exceeding four 
months. G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
- 50 - 
 
  PART VIII 
 
UNDERTAKINGS AND TERMINATION WITHOUT MEASURES 
 
14. Undertakings. - (1) An investigation may be terminated by the Commission without 
imposition of provisional or definitive countervailing duties upon receipt of a satisfactory voluntary 
undertaking under which -  
(a) an exporting country agrees to eliminate or limit subsidy or take other measures 
concerning its effects; or 
(b) any exporter undertakes to revise its prices or to cease exports in question as long as 
such exports benefit from countervailable subsidies, so that the Commission is 
satisfied that the injurious effect of the subsidies is eliminated. 
(2) Price increases under such undertakings shall not be higher than those which are 
necessary to offset the amount of countervailable subsidies and shall be less than the amount of 
countervailable subsidies if such increases would be adequate to remove injury to domestic 
industry. 
(3) Undertakings may be suggested by the Commission but no country or exporter shall 
be obliged to enter into such an undertaking and the fact that countries or exporters do not offer 
such undertakings, or do not accept an invitation to do so, shall in no way prejudice the outcome of an investigation by the Commission: 
Provided that the Commission may in such circumstances determine that a threat of injury is 
more likely to be realised if the subsidised imports continue. 
(4) Undertakings shall not be sought or accepted by the Commission from countries or 
exporters unless a provisional affirmative determination of subsidisation and injury caused by such 
subsidisation has been made by the Commission. 
(5) Save in exceptional circumstances, undertakings may not be offered later than the 
end of the period during which representations may be made pursuant to sub-section (7) of 
section 30. 
(6) The decision to accept an undertaking shall rest with the Commission. Explanation. - The Commission may not accept a price undertaking if it considers the 
acceptance thereof to be impractical because the number of actual or potential exporters is too 
great or for reasons of general policy or for any other reason. 
(7) An exporting country or exporter concerned may be provided with the reasons for 
which it is proposed to reject an offer of an undertaking and may be given an opportunity to make 
comments thereon and the reasons for rejection shall be set out in a definitive decision by the 
Commission. 
(8) Parties which offer an undertaking shall be required to provide a non- confidential 
v e r s i o n  o f  s u c h  u n d e r t a k i n g  s o  t h a t  i t  m a y  b e  m a d e  a v a i l a b l e  t o  i n t e r e s t e d  p a r t i e s  t o  a n  
investigation. 
(9) If an undertaking is accepted by the Commission, it shall nevertheless complete an 
investigation if it receives a request from an exporting country or exporter in writing to continue 
such investigation or where the Commission so decides on its own accord. 
(10) In the event the Commission makes a negative determination of subsidisation and 
injury pursuant to an investigation continued under sub-section (9), an undertaking in question 
shall automatically lapse except in cases where the Commission determines that such a 
determination is due in large part to the existence of such undertaking in which case the Commission may require that such undertaking be maintained for a reasonable period of time to 
be determined by the Commission. G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
- 51 - 
 
  (11) In the event the Commission makes an af firmative determination of subsidisation and 
injury pursuant to an investigation continued pursuant to sub-section (9), an undertaking in question shall continue consistent with the provisions of this Act. 
(12) The Commission may require any country or exporter from whom an undertaking has 
been accepted to provide, periodically, information relevant to the fulfilment of such undertaking 
and to permit verification of such information. 
(13) Failure to provide any information requested by the Commission pursuant to 
sub-section (12) shall be deemed to be a violation of an undertaking in question. 
(14) Where undertakings are accepted from certain exporters during the course of an 
investigation, they shall, for the purpose of sect ions 19, 20, 21 and 23 be deemed to take effect 
from the date on which the investigation is concluded for an exporting country. 
(15) If an undertaking is violated or deemed  to be violated, the Commission may, subject 
to the provisions of this Act, take expeditious actions, which may include immediate application of provisional measures using the best information available. In such cases, a definitive 
countervailing duty may be levied in accordance with the provisions of this Act on products 
entered for domestic consumption not more than ninety days before the application of such provisional measures, except that any such retroactive assessment shall not apply to imports 
entered before such violation of the undertaking. 
15. Termination of investigation without measures. - (1) An application submitted 
pursuant to section 11 may be withdrawn at any time after an investigation has been initiated, in which case the Commission shall terminate the investigation without imposition of any measures 
provided for in this Act: 
 Provided that the Commission may, if it considers it fit to do so, continue an investigation 
notwithstanding the withdrawal of an application in which event, the Commission may, subject to 
the provisions of this Act impose such measures as are provided for in this Act.  
(2) Where, the Commission determines in accordance with the provisions of 
sub-sections (3), (4), (5), and (6) that the amount of countervailable subsidies is negligible or, 
where the volume of subsidised imports, whether actual or potential, or injury is negligible then it 
shall immediately terminate an investigation. 
(3) The amount of countervailable subsidies shall be considered to be negligible if such 
amount is less than one per cent ad valorem , except that in the case of investigations concerning 
imports from developing countries the negligible subsidy threshold shall be two per cent 
ad valorem . 
(4) Injury shall normally be regarded as negligible where the market share of any imports 
is less than the amounts set out in the proviso to sub-section (12) of section 11. 
(5) In the case of an investigation concerning imports from developing countries, the 
volume of subsidised imports shall be considered negligible if it represents less than four per cent 
of the total imports of a like product in Pakist an, unless imports from developing countries whose 
individual shares of total imports represent less than four per cent collectively account for more than nine per cent of the total imports of a like product in Pakistan. 
(6) In the case of an investigation concerning imports from countries other than 
developing countries, the volume of subsidised imports shall be considered negligible if it 
represents less than three per cent of the total imports of a like product in Pakistan, unless imports from such countries under investigation which individually account for less than three per 
cent of the total imports of a like product in Pakistan collectively account for more than seven per 
cent of imports of the like product in Pakistan. G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
- 52 - 
 
  (7) Termination of an investigation under this Act or conclusion of an investigation without 
imposition of measures shall not be a bar to filing of a de novo  application for a new investigation 
immediately after termination or conclusion of the investigation. The Commission shall treat the application in accordance with provisions of this Act. 
PART IX 
 
DEFINITIVE COUNTERVAILING DUTIES 
 
16. Imposition of definitive countervailing duties. - (1) Where the Commission has 
established the existence of countervailable subsidies and injury caused thereby, a definitive countervailing duty shall be imposed by the Commission, unless the subsidy in question is 
withdrawn or it has been demonstrated to the satisfaction of the Commission that the subsidies no 
longer confer any benefit on any exporters involved.  
(2) A definitive countervailing duty shall be an amount equal to or less than the amount of 
countervailable subsidies from which any exporters have been found to benefit, as established by the Commission in accordance with the provisions of this Act: 
Provided that the amount of the countervailing  duty shall not exceed the total amount of 
subsidisation established but it may be less than the total amount if such lesser duty would be adequate to remove injury to the domestic industry.  
(3) A definitive countervailing duty shall be imposed in an appropriate amount in each 
case, on a non-discriminatory basis, on imports of a product from all sources found to benefit from countervailable subsidies and causing injury except as to imports from those sources from which 
undertakings under section 14 have been accepted by the Commission. 
(4) When the Commission has limited its examination in accordance with section 27, any 
definitive countervailing duty applied to import s from exporters or producers which have made 
themselves known in accordance with section 27 but were not included in an examination shall not 
exceed the weighted average amount of countervailable subsidies established for parties in a sample. 
(5) For the purposes of sub-section (4), th e Commission shall disregard any negligible 
amounts of countervailable subsidies and amounts of countervailable subsidies established in the 
circumstances referred to in section 28. 
(6) Individual duties shall be applied to impo rts from any exporter or producer for which 
an individual amount of subsidisation has been calculated as provided for in section 27. 
PART X 
 
RETROACTIVITY 
 
17. Retroactivity. - (1) Save as otherwise provided in this section, provisional and definitive 
countervailing duties shall only be applied to pr oducts which enter Pakistan for consumption after 
the time when the requirements set out in sub-section (1) of section 13 and sub-section (1) of 
section 16, as the case may be, have been fulfilled.  
(2) Where the Commission makes a final determination of injury, but not of a threat 
thereof or of material retardation of the establishment of an industry or, in the case of a final determination of a threat of injury, where the Commission determines that the effect of subsidised 
imports would, in the absence of provisional measures, have led to a determination of injury, 
definitive countervailing duties shall be levied by the Commission retroactively for the period for which provisional duty, if any, have been applied. G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
- 53 - 
 
  (3) If a definitive countervailing duty imposed by the Commission pursuant to 
sub-section (2) is higher than a provisional countervailing duty, the difference shall not be collected: 
Provided that where a definitive countervailing duty is lower than a provisional 
countervailing duty, the duty difference shall be refunded by the Commission in an expeditious 
manner. 
(4) Save as provided for in sub-section (3), where the Commission makes a determination 
of threat of injury or material retardation but, no injury has yet occurred, a definitive 
countervailing duty shall be imposed by the Commission only from the date of the determination of threat of injury or material retardation and an y cash deposit provided during the period of 
application of provisional countervailing duty shall be refunded by the Commission in an 
expeditious manner. 
(5) Where the Commission makes a negative final determination any cash deposit 
provided during the period of application of prov isional countervailing duties shall be refunded by 
the Commission in an expeditious manner. 
(6) A definitive countervailing duty shall be imposed by the Commission on products, 
which were imported for consumption not more than ninety days prior to the date of application of 
provisional countervailing duty if, the Commission determines, for an investigated product in 
question, that injury which is difficult to repair, is caused by massive imports in a relatively short period of a product benefiting from a countervailable subsidy and the Commission deems it necessary to impose such duty in order to preclude the recurrence of such injury. 
PART XI 
 
DURATION, REVIEWS AND REFUNDS, AND GENERAL PROVISIONS 
 
18. Duration of definitive  countervailing duty. - Subject to the provisions of this Act, a 
definitive countervailing duty imposed pursuant to this Act shall remain in force only as long as, 
and to the extent that, it is necessary to counteract countervailable subsidies which are causing 
injury.  19. Expiry reviews. - (1) A definitive countervailing duty shall expire after five years from its 
imposition or five years from the date of the most recent review which has covered both 
subsidisation and injury, unless it is determined in a review that the expiry would be likely to lead to a continuation or recurrence of subsidisation and injury. Such an expiry review may be initiated, 
on an initiative of the Commission or, upon a request made by or on behalf of domestic producers, 
and the measure in question shall remain in  force pending the outcome of such review. 
 
(2) An expiry review shall be initiated by the Commission upon request made by or on 
behalf of domestic producers where such request co ntains sufficient evidence that the expiry of a 
measure in question would be likely to result in a continuation or recurrence of subsidisation and injury. 
Explanation. - Such a likelihood may, for example, be indicated by evidence of continued 
subsidisation and injury or evidence that the removal of injury is partly or solely due to the existence of measures or evidence that the circum stances of exporters, or market conditions, are 
such that they would indicate the likelihood of further injurious subsidisation. 
 
(3) In carrying out investigations under this section, the Commission shall provide any 
exporters, importers, an exporting country and domestic producers with the opportunity to 
amplify, rebut or comment on the matters set out in a review request, and conclusions shall be 
reached by the Commission with due account taken of all relevant and duly documented evidence presented in relation to the question as to whether the expiry of measures would be likely, or 
unlikely, to lead to the continuation or recurrence of subsidisation and injury. G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
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  (4) The Commission shall notify an impending expiry by a public notice which shall be 
published at an appropriate time, as determined by  the Commission, in the final year of the period 
of application of a measure in question and a public notice announcing the actual expiry of a measure under this section shall also be published by the Commission. 
20. Interim reviews. - (1) The need for continued imposition of measures under this Act may 
also be reviewed, where warranted on an initiative of the Commission or, provided that a period of at least twenty-four months has elapsed since the imposition of definitive countervailing duty, 
upon a request by any exporter, importer or by domestic producers or an exporting country which 
contains sufficient evidence substantiati ng the need for such an interim review. 
(2) An interim review under sub-section (1) shall be initiated by the Commission where a 
request contains sufficient evidence that the continued imposition of a measure is no longer 
necessary to offset countervailable subsidy or that injury would be unlikely to continue or recur if a 
measure were removed or varied, or that an existing measure is not, or is no longer, sufficient to counteract countervailable subsidy which is causing injury: 
Provided that the Commission may require an applicant requesting a review under 
sub-section (1) to fill in an additional questionnaire provided by it requiring such information and for such period as the Commission deems necessary before such review is initiated in which case 
the review shall be initiated following the receipt by the Commission of such questionnaire duly 
filled in. 
(3) In carrying out investigations pursuant to this section, the Commission may, in 
addition to other factors considered relevant by it, consider whether the circumstances with regard 
to subsidisation and injury have changed significan tly, or whether existing measures are achieving 
the intended results in removing an injury previously established under section 9. 
21. Accelerated reviews. - (1) Any exporter whose exports are subject to a definitive 
countervailing duty but who was not individually investigated during an original investigation for 
reasons other than a refusal to co-operate with th e Commission, shall be entitled, upon request, to 
an accelerated review in order that the Commission may promptly establish an individual 
countervailing duty rate for that exporter provided that such review shall be initiated after 
domestic producers have been given an opportunity to comment.  
(2) The Commission may require an applicant requesting a review under sub-section (1) 
to fill in an additional questionnaire provided by it before such review is initiated in which case a 
review under sub-section (1) shall be initiated following the receipt by the Commission of such questionnaire duly filled in. 
22. Refunds. - (1) Notwithstanding anything contained in section 19, an importer may apply to 
the Commission for refund of duties collected where it is shown that the amount of countervailable subsidies, on the basis of which duties were paid, has been either eliminated or reduced to a level 
which is below the level of the duty in force. 
 
(2) An importer may submit an application for refund of countervailing duties collected 
within any twelve months period to the Commission no later than sixty days from the end of such 
period. 
(3) An application for refund shall be considered to be duly supported by evidence only 
where it contains precise information on the amount of refund of countervailing duties claimed and 
all customs documentation relating to the calculation and payment of such amount and includes 
evidence, for a representative period, of the amount of countervailable subsidies for any exporter or producer to which the duty applies: 
Provided that, where the importer is not associated with any exporter or producer concerned 
and such information is not immediately available,  or where any exporter or producer is unwilling 
to release it to an importer, the application for refund shall contain a statement from the exporter or producer that the amount of countervailable subsidies has been reduced or eliminated, as 
specified in this section, and that the releva nt supporting evidence will be provided to the 
Commission: G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
- 55 - 
 
  Provided further that where such evidence is not forthcoming from any exporter or producer 
within a reasonable period of time, as determined by the Commission, the application shall be rejected by the Commission.  
(4) The Commission shall determine whether and to what extent an application should be 
granted, or it may decide at any time to initiate an interim review, whereupon any information and findings from such review, carried out in accordance with the provisions applicable for such review, 
shall be used to determine whether and to  what extent a refund is justified. 
(5) A refund of countervailing duties under this section shall normally take place within 
twelve months, and in no circumstances more than eighteen months after the date on which a request for a refund, duly supported by evidence , has been made by an importer of a product 
subject to countervailing duty. 
23. General provisions on reviews and refund. - (1) The provisions of sections 11 and 12, 
excluding those relating to time limits, shall mutatis mutandis apply to any review carried out 
pursuant to sections 19, 20 and 21. 
 
(2) Any review pursuant to sections 19, 20 or 21 shall be carried out by the Commission 
expeditiously and shall normally be concluded within twelve months of the date of initiation of the 
review. 
(3) Where a review pursuant to section 20 is in progress at the end of the period of 
application of a measure as defined in section 19, the measure shall also be investigated under the 
provisions of section 19. 
(4) In any review or refund investigation carried out pursuant to sections 19 to 22, the 
Commission shall, provided that circumstances have not changed, apply the same methodology as 
in an investigation which led to the duty, with due account being taken of sections 7, 8 and 27. 
24. Anti-circumvention measures. - (1) Countervailing duties imposed pursuant to this Act 
may be extended to imports from third countries, of  the like product, whether slightly modified or 
not, or to imports of the slightly modified like product from the country subject to measures, or 
parts thereof, when circumvention of the measures in force is taking place. Countervailing duties not exceeding the residual countervailing duty imposed in accordance with section 16 may be extended to imports from companies benefiting from individual duties in the countries subject to 
measures when circumvention of the measures in force is taking place. Circumvention shall be 
defined as a change in the pattern of trade between third countries and Pakistan or between individual companies in the country subject to measures by Pakistan, which stems from a practice, 
process or work for which there is insufficient due cause or economic justification other than the 
imposition of the duty, and where there is evidence of injury or that the remedial effects of the 
duty are being undermined in terms of the prices or  quantities of the like product, and where there 
is evidence of subsidy previously established for the like product, if necessary in accordance with 
the provisions of this Act. 
(2) The practice, process or work referred to in sub-section (1) includes, inter alia , the 
slight modification of the product concerned to make it fall under customs tariff which are normally 
not subject to the measures, provided that the modification does not alter its essential 
characteristics, the consignment of the product subject to measures via third countries, the re-
organisation by exporters or producers of thei r patterns and channels of sales in the country 
subject to measures in order to eventually have  their products exported to Pakistan through 
producers benefiting from an individual duty rate lower than that applicable to the products of the 
manufacturers, and, in the circumstances indicated in  sub-section (3), the assembly of parts by an 
assembly operation in Pakistan or a third country. 
(3) An assembly operation in Pakistan or a third country shall be considered to circumvent 
the measures in force where the,- 
(a) operation started or substantially increased since, or just prior to, the initiation of the 
investigation and the parts concerned are from the country subject to measures; G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
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  (b) parts constitute sixty percent or more of the total value of the parts of the assembled 
product, except that in no case shall circumvention be considered to be taking place where the value added to the parts brought in, during the assembly or completion operation, is greater than twenty five percent of the manufacturing cost; and 
(c) remedial effects of the duty are being under mined in terms of the prices or quantities 
of the assembled like product and there is evidence of subsidy previously established for the like or similar products. 
(4) Investigations shall be initiated pursuant to this section on the initiative of the 
Commission or at the request of any interested party on the basis of sufficient evidence regarding the factors set out in sub-section (1) and (2). Investigations shall be concluded by the Commission within nine months. 
25. General provisions. - (1) Countervailing duties, provisional or definitive, as the case may 
be, imposed under this Ordinance shall -  
(a) take the form of ad valorem or specific duties: 
Provided that provisional countervailing shall take the form of cash deposits 
equal to the amount of a provisionally calculated amount of subsidization; 
 
(b) be imposed in addition to other import duties levied on an investigated product; and 
(c) be collected in the same manner as customs-duties under the Customs Act, 1969 
(IV of 1969) 
(d) will not be levied on imports that are to be used as inputs in products destined solely 
for exports and are covered under any sch eme exempting customs duty for exports 
under the Customs Act, 1969. 
(2) No product shall be subject to both anti-dumping duties and countervailing duties, 
under their respective laws for the time being in force, under this Act for the purpose of dealing with one and the same situation arising from dumping or from export subsidization: 
Provided that sub-section (2) shall not prohibit or prevent, concurrent investigations of the 
same product under the laws specified therein.  
(3) The decisions regarding imposition of provisional or definitive countervailing duties, 
and notices regarding acceptance of undertakings or terminating an investigation, shall be 
published by the Commission in a public notice which shall contain, in particular, and with due regard to the protection of confidential information in accordance with section 29, the names of 
exporters, if possible, or of the countries involved, a description of the product and a summary of 
the facts and considerations relevant to subsidy and injury determinations and in each case, a copy of the said notice shall be sent to the known interested parties. 
(4) The provisions of sub-section (3) shall apply, mutatis mutandis , to reviews under 
this Act. 
(5) The Commission shall establish and maintain a non-lapseable personal ledger account 
in its name for the purpose of this Act and all duties and fees payable under and collected 
pursuant to this Act shall be held in such account. 
(6) The account established under sub-section (5) shall be maintained and operated in 
such manner as may be prescribed. G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
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  PART XII 
 
VERIFICATION VISITS, SAMPLING, NON-COOPERATION, 
CONFIDENTIALITY AND DISCLOSURE 
 
26. Verification visits. - (1) The Commission may, where it considers it appropriate, carry out 
visits to examine the records of importers, exporters, traders, agents, producers, trade 
associations and organisations, to verify information provided on subsidisation and injury: 
 
Provided that in the absence of a proper and timely reply a verification visit may not be 
carried out. 
 
(2) The Commission may carry out investigations in third countries as required, 
provided that - 
(a) it obtains consent of an entity concerned; 
(b) it gives notice to a country in question; and (c) the country in question does not object to an investigation. 
(3) As soon as consent of an entity concerned has been obtained the Commission shall 
give notice to an exporting country of the name and address of the entity to be visited and the 
dates agreed. 
(4) An entity concerned shall be advised of the nature of information to be verified during 
verification visits and of any further information which needs to be provided during such visits: 
Provided that this shall not preclude the Commission from requiring further information or 
verification. 
 
27. Sampling. - (1) Where the Commission determines that the number of complainants, 
exporters or importers, types of product or tran sactions is large, the Commission may limit an 
investigation to - 
 
(a) a reasonable number of parties, products or transactions by using samples which are 
statistically valid on the basis of information available at the time of selection; or 
(b) to the largest representative volume of any production, sales or exports which can 
reasonably be investigated within the time available. 
 
(2) The selection of parties, types of produc ts or transactions made under this section 
shall rest with the Commission: 
Provided that preference shall be given by  the Commission to choosing a sample in 
consultation with, and with the consent of, the parties concerned: 
 
Provided further that such parties make themselves known and make sufficient information 
available to the Commission, within three weeks of initiation of an investigation, to enable a 
representative sample to be chosen. 
 
(3) In cases where the examination has been limited in accordance with this section, an 
individual amount of countervailable subsidisation shall, nevertheless, be calculated by the 
Commission for any exporter or producer not initially selected who submits the necessary information within the time limits provided for in this Act except where the Commission determines 
that the number of exporters or producers is so la rge that individual examinations would be unduly 
burdensome and would prevent completion of an investigation within the applicable time limits. 
(4) Where the Commission has decided to undertake a sample as provided for in this 
section and there is a degree of non-cooperation by some or all of the parties selected which is 
likely to materially affect the outcome of an investigation, a new sample may be selected by the 
Commission: G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
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  Provided that if a material degree of non-cooperation persists or there is insufficient time to 
select a new sample, the relevant provisions of section 28 shall apply. 
28. Non-cooperation. - (1) Where any interested party refuses access to, or otherwise does 
not provide, necessary information within the time limits provided in this Act, or significantly 
impedes an investigation, provisional or final determinations, whether affirmative or negative, may 
be made by the Commission on the basis of the facts available.  
(2) Where the Commission establishes that any interested party has supplied false or 
misleading information, such information shal l be disregarded and use may be made by the 
Commission of the facts available. 
(3) Where any information submitted by an interested party is not ideal in all respects it 
shall nevertheless not be disregarded by the Commission: 
Provided that the Commission is satisfied that any deficiencies are not such as to cause 
undue difficulty in arriving at a reasonably accurate finding and that the information is 
appropriately submitted in good time and is verifi able, and that the party has acted to the best of 
its ability. 
(4) If evidence or information is not accepted by the Commission, a supplying party shall 
be informed forthwith of the reasons therefor and shall be granted an opportunity to provide 
further explanations within such time limit as the Commission may specify. 
(5) If determinations, including those regarding the amount of countervailable subsidies, 
are based on the provisions of sub-section (1) including any information supplied in an application 
it shall, where practicable and with due regard to th e time limits of an investigation, be checked by 
the Commission by reference to information from other independent sources which may be available including published price lists, offici al import statistics and customs returns, or 
information obtained from other interested parties during the investigation. 
(6) If an interested party does not co-operate, or co-operates only partially so that 
relevant information is thereby withheld, the Commission may reach preliminary and final 
determinations, whether affirmative or negative, on the basis of the best information available. 
29. Confidentiality. - (1) Subject to sub-section (2), the Commission shall, during and after an 
investigation, keep confidential any information submitted to it and which is entitled to such treatment. Such information shall not be disclosed without specific permission of the party 
submitting it. 
 
(2) Information which is - 
(a) by nature confidential, because its disclosure shall be of significant competitive 
advantage to a competitor, or because its disclosure would have a significantly adverse effect upon a person  supplying the information, or upon a person from whom 
the information was acquired, or where the Commission determines such information 
to be of a confidential nature for any other reason; or 
(b) provided on a confidential basis by parties to an investigation, shall,  upon good cause 
shown, be treated as confidential by the Commission. 
(3) The following types of information shall be deemed to be by nature confidential, 
unless the Commission determines that disclosure in a particular case would neither be of significant competitive advantage to a competitor nor have a significantly adverse effect upon a 
person supplying an information or upon a person from whom such information was acquired, 
namely:- 
(a) business or trade secrets concerning the nature of a product, production processes, 
operations, production equipment, or machinery; 
(b) information concerning financial condition of a company, which is not publicly 
available; and G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
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  (c) information concerning costs, identification of customers, sales, inventories, 
shipments, or amount or source of any income, profit, loss or expenditure related to the manufacture and sale of a product. 
(4) Any party seeking any information to be kept confidential shall request for the same 
at the time the information is submitted, along with the reasons warranting confidentiality. The 
Commission shall consider such requests expeditiously and inform the party submitting the information if it determines that the request for keeping the information confidential is not 
warranted. 
(5) Any party submitting any information with the request to keep it confidential shall 
furnish a non-confidential summary thereof. Su ch summary may take the form of ranges or 
indexation of figures provided in a confidential version, or marked deletions in text or in such other 
form as the Commission may require: 
Provided that such non-confidential summary sh all permit a reasonable understanding of the 
substance of any information submitted in confidence: 
Provided further that the deletion in text shall, unless otherwise allowed by the Commission, 
only relate to names of any buyer or supplier. 
(6) In exceptional circumstances, parties may indicate that information for which 
confidentiality is sought is not susceptible of summary, in which case a statement of the reasons 
why summarisation is not possible shall be provided: 
Provided that where the Commission concludes that a non-confidential summary provided 
fails to satisfy the requirements of sub-section (5), it may determine that the request for keeping 
an information confidential is not warranted. 
(7) If the Commission finds that a request for keeping an information confidential is not 
warranted, and if the supplier of the information is unwilling to make the information public or to 
authorise the disclosure in generalised or summary form, the Commission shall disregard such 
information, and return the information concerned to the party submitting it. 
(8) Save for sub-section (10), notwithstanding anything contained in this Act or in any 
other law for the time being in force, any confidential information received or obtained, directly or 
indirectly, by the Commission pursuant to or in connection with an investigation shall not be subject to disclosure by the Commission to any Ministry, Division, department, agency or instrumentality of the Federal Government or a Provincial Government without the prior 
permission of the party submitting such confidential information. 
(9) Information received pursuant to this Act shall be used only for the purpose for which 
it was requested. 
(10) The provisions of sub-section (8) shall not preclude the supply of information called 
for by the Appellate Tribunal pursuant to section 33: 
Provided that the obligation to protect confidential information as provided for in this 
Chapter shall, mutatis mutandis , extend to the Appellate Tribunal, subject to the proviso to 
sub-section (8). 
30. Disclosure. - (1) Any applicant, importer and exporter and their representative association 
and an exporting country may request disclosure by the Commission of the details underlying the 
essential facts and considerations on the basis of which provisional countervailing duties have been 
imposed:  
Provided that requests for such disclosure shall be made in writing immediately following 
imposition of provisional countervailing duties and in any event no later than fifteen days thereof 
and a disclosure by the Commission shall be made  in writing as soon as possible thereafter. G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
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  (2) The parties specified in sub-section (1) may request for a final disclosure by the 
Commission of the essential facts and considerations on the basis of which it is intended to recommend imposition of definitive countervailing duties, or termination of an investigation or proceedings without imposition of duties, particular  attention being paid to disclosure of any facts 
or considerations which are different from those used for any provisional countervailing duties. 
(3) Requests for final disclosure shall be addressed to the Commission in writing and be 
received, in cases where provisional countervailing duty has been applied, not later than one 
month after imposition of that duty. 
(4) Where a provisional countervailing duty has not been imposed, parties shall be 
provided with an opportunity to request final disclosure within such time limits as may be determined by the Commission. 
(5) Final disclosure shall be given in writin g and shall be made, with due regard to the 
protection of confidential information pursuant to  section 29, as soon as possible, and normally, 
not later than one month prior to a definitive determination. 
(6) Where the Commission is not in a position to disclose certain facts or considerations at 
that time, these shall be disclosed as soon as possible thereafter. Disclosure shall not prejudice 
any subsequent decision which may be taken by the Commission but where such decision is based 
on any different facts and considerations these shall be disclosed as soon as possible. 
(7) Representations which are made after a final disclosure is given, shall be taken into 
consideration only if received within such period as may be determined by the Commission in each case, which shall be at least ten days, due consideration being given to the urgency of the matter. 
31. Relationships between countervailing duty  measures and mult ilateral remedies. - 
Where an investigated product is made subject to any countermeasures imposed following recourse to the dispute settlement procedures provided for in the Agreement on Subsidies and 
such measures are appropriate to remove the inju ry caused by any countervailable subsidies, any 
countervailing duty imposed with regard to such product under this Act shall immediately be terminated by the Commission. 
 
PART XIII 
 
APPEAL TO THE APPELLATE TRIIBUNAL 
 
32. Appeal to the Appellate Tribunal. - (1) Without prejudice to the provisions of 
Anti-Dumping Law for the time being in force, the Appellate Tribunal shall also exercise jurisdiction 
under sub-section (2) under this Act. 
 
(2) Any interested party may prefer an appe al to the Appellate Tribunal against,-  
(a) the initiation of an investigation or a preliminary determination, where it is alleged 
that it does not satisfy the requirements of section 11 and section 13 respectively; 
(b) an affirmative or negative final determination by the Commission;  (c) any final determination pursuant to a review; 
(d) an order of the Commission for termination of investigation under section 15; or  
(e) a determination of the Commission under section 22. 
(3) An appeal under clause (a) of sub-section (2) shall be filed within thirty days of the 
publication of notice of initiation or notice preliminary determination, as the case may be. 
(4) The Appellate Tribunal shall handle such an  appeal as a priority and shall issue its 
decision on the appeal within thirty days of the filing of an appeal with the Appellate Tribunal. G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
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  (5) The filing of an appeal under clause (a) of sub-section (2) shall have no effect on the 
Commission's conduct of investigation. 
(6) An appeal under clauses (b) to (e) of sub-section (2) shall be filed within forty-five 
days from the date of publication in newspapers of a public notice or as the case may be, date of 
the decision of the Commission of any affirmative or negative final decision or determination or 
termination of investigation by the Commission, and shall be in such form and contain such information as may be prescribed. 
(7) Such an appeal shall be disposed of and the decision of the Appellate Tribunal 
pronounced, as expeditiously as possible, but no later than forty-five days from the date of receipt of an appeal compliant with the requirements co ntained in this Act, except in extraordinary 
circumstances and on grounds to be recorded. Th e Appellate Tribunal shall hear the appeal from 
day-to-day. 
(8) In examining an appeal under sub-section (2), the Appellate Tribunal may make such 
further inquiry as it may consider necessary, and after giving the Commission and an appellant an 
opportunity of being heard, pass such order as it thinks fit, confirming, altering or annulling a 
determination of the Commission appealed against: 
 Provided that in case the Appellate Tribunal decision requires action by the Commission, it 
shall remand the case to the Commission for decision.  
 
(9) After examining the appeal, the Appellate Tribunal shall assess the facts related to the 
impugned determination of the Commission. The Appellate Tribunal shall determine whether the 
establishment of the facts of the Commission was proper and whether the Commission's evaluation 
of those facts was unbiased and objective. The Appellate Tribunal shall base its determination on the official record maintained by the Commission or any other documents relied upon by the 
Commission in reaching the impugned determination.  
(10) Where the Appellate Tribunal determines that the Commission's establishment of the 
facts was proper and its evaluation was unbiased and objective, it shall confirm the impugned 
determination of the Commission provided that the Appellate Tribunal is satisfied that in reaching 
its determination, the Commission complied with the relevant provisions of this Act. 
(11) The decision of the Appellate Tribunal shall be in writing, detailing the issues raised in 
the appeal and the arguments adopted by th e appellant and the Commission. The Appellate 
Tribunal shall also provide reasons for reaching its decision with reference to the provisions of this 
Act and the facts of the case.  
(12) The Appellate Tribunal shall provide copies of its decision to all the appellants and 
respondents including the Commission no later than five days from the date of rendering its 
decision. 
(13) The Appellate Tribunal may, if it deems necessary, require an appellant to provide 
security in such form as may be prescrib ed, at the time of filing of an appeal. 
(14) The decision of the Appellate Tribunal shall be appealable in the High Court. The High 
Court shall decide the appeal within ninety days:  
Provided that the High Court shall not make an interim order against the conduct of 
investigation by the Commission unless the Commission has been given notice of the application 
and has had an opportunity of being heard and the High Court, for reasons to be recorded in writing, is satisfied that the interim order would not have the effect of prejudicing or 
interfering with the carrying out of a public work  or of otherwise being harmful to the public 
interest [or State property] or of impeding the assessment or collection of public revenues: 
Provided that The Appellate Tribunal may, if it thinks fit, accept an application from any 
party to an appeal in which the Appellate Tribunal has rendered its decision, for a clarification of 
any of the issues raised by the Appellate Tribunal in its decision: G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
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  Provided also that such application shall specify the precise issue in respect of which a 
clarification is sought and give reasons as to why a clarification is necessary. 
 
(15) The Appellate Tribunal shall only accept an application under the first proviso of 
sub-section (14) if it is satisfied that a material issue discussed in its decision requires further 
clarification or elaboration. The party likely to be adversely affected by such clarification shall also be issued a notice by the Appellate Tribunal: 
 Provided that no such application shall be accepted by the Appellate Tribunal later than 
thirty days of its decision. 
(16) The Appellate Tribunal shall perform its functions under this Act in accordance with 
such procedures as may be prescribed. 
(17) A determination of the Commission shall be given full force and effect during the 
pendency of any appeal of such determination. 
(18) A person duly authorized by any interest ed party is entitled to appear, plead and act 
on behalf of that interested party before the Appellate Tribunal. 
33. Power of the Appellate Tribunal to call for and examine record. - The Appellate 
Tribunal may call for and examine any records of an investigation conducted by the Commission 
and any other information or documents relied upon by the Commission in reaching a 
determination appealed against for the purpose of satisfying itself as to the legality or propriety of an impugned determination of the Commission.  
PART XVI 
 
MISCELLANEOUS 
 
34. Power to make rules. - (1) The Federal Government may, in consultation with the 
Commission, by notification in the official Gazette, make rules for carrying out the purposes of 
this Act. 
 
(2) In particular and without prejudice to the generality of the foregoing power, such rules 
may provide for the manner in which any investigation may be conducted, the manner in which an 
investigated product may be identified, the factors to which regard shall be had in any such 
investigation, the manner of assessment, levy and collection of any countervailing duty, whether preliminary or definitive, and for all matters connected with an investigation. 
35. Protection to persons prejudiced in employment because of assisting the 
Commission. - (1) An employer shall not - 
 
(a) dismiss an employee, or prejudice an  employee in his employment, because the 
employee has assisted the Commission in connection with an inquiry or investigation under this Act; or 
(b) dismiss or threaten to dismiss an employee,  or prejudice or threaten to prejudice an 
employee in his employment, because the employee proposes to assist the 
Commission in connection with an inquiry or investigation under this Act. 
(2) For the purposes of sub-section (1), a person shall be taken to assist the Commission 
in connection with an inquiry if the person - 
(a) gives information, whether orally or in writing, or gives documents, to the Commission 
in connection with an inquiry or investigation under this Act; or 
(b) gives evidence, or produces documents, at an inquiry, investigation or hearing held 
under this Act. G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
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  36. Public file to be maintained for in terested party and access thereto. - (1) The 
Commission shall establish and maintain a file relating to each investigation or review pursuant to this Act and subject to the requirement to protec t confidential information under section 29. The 
Commission shall place in such file - 
 
(a) all public notices relating to an investigation or review; 
(b) all materials, including questionnaires, responses to questionnaires, and written 
communications submitted to the Commission; 
(c) all other information developed or obtained by the Commission; and (d) any other documents the Commission deems appropriate for disclosure to an 
interested party. 
(2) The file to be maintained under sub-section (1) shall be available to any interested 
party for review and copying at the offices of th e Commission, during such  time as the Commission 
may specify, throughout the course of an investig ation or review and any appeal under section 32. 
37. Official file to be maintained by the Commission. - (1) The Commission shall establish 
and maintain an official file relating to each investigation or review pursuant to this Act and shall place in such file -  
 
(a) all materials, papers and documents,  confidential or otherwise, including 
questionnaires, responses to questionnaires, and written communications submitted to or by the Commission in connection with an investigation or review; 
(b) all documents relating to or setting out any calculations made by the Commission in 
connection with an investigation or review; 
(c) all internal correspondence or memoranda of the Commission relating to or in 
connection with an investigation or review that are relevant to the calculation of 
dumping margin or determination of injury including, any correspondence with or between any other Ministry, Division, department, agency or instrumentality of the 
Federal Government or any Provisional Government; 
(d) any other information developed, obtained or relied on by the Commission in 
connection with an investigation or review; and 
(e) any other document or information that the Commission deems appropriate for 
placing in the official file. 
(2) The file to be maintained under sub-section (1) shall only be for the internal use of the 
Commission and for the Appellate Tribunal in connection with an appeal under section 32. 
38. Appointment of advisers and consultants. - (1) Subject to sub-section (2), the 
Commission may, employ and pay consultants, agents, technical, professional and other advisers, including bankers, economists, actuaries, account ants, lawyers and other persons to do any act 
required to be done in the exercise of its powers , the performance of its functions or for the better 
implementation of the purposes of this Act.  
(2) The decision to employ and the terms an d conditions of employment of external 
advisers and consultants pursuant to sub-section (1) shall be made by the Commission in 
accordance with such policy guidelines as ma y be established by the Federal Government, in 
consultation with the Commission, from time to time. 
39. Removal of difficulties. - The Federal Government may for the purpose of removing any 
difficulties in relation to any matters under this Act, make such orders as may appear to it to be necessary for the purpose of removing the difficulty: 
 
Provided that no such power shall be exerci sed after the expiry of two years from the 
commencement of this Act.  G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
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  40. Act to override other laws. - The provisions of this Act shall have effect notwithstanding 
anything inconsistent therewith contained in any other law for the time being in force:  
Provided that this provision shall not apply on the National Tariff Commission Law for the 
time being in force. 
THE FIRST SCHEDULE 
[See section 5(6) (A)] 
 
ILLUSTRATIVE LIST OF EXPORT SUBSIDIES 
 
1. In this Schedule, unless there is anything repugnant in the subject or context,-  
(a) "commercially available" means that th e choice between domestic and imported 
products is unrestricted and depends only on commercial considerations; 
(b) "direct taxes" means taxes on wages, profit s, interests, rents, royalties, and all other 
forms of income, and taxes on the ownership of real property; 
(c) "cumulative indirect taxes" means indirect taxes which are multi-staged taxes levied 
where there is no mechanism for subsequent crediting of the tax if goods or services 
subject to tax at one stage of production are used in a succeeding state of production; 
(d) "import charges" means tariffs, duties, and other fiscal charges that are levied on 
imports; 
(e) "indirect taxes" means sales, excise, turnover, value added, franchise, stamp, 
transfer, inventory and equipment taxes, border taxes and all taxes other than direct 
taxes and import charges; 
(f) "prior-stage indirect taxes" means those indirect taxes levied on goods or services 
used directly or indirectly in making a product; 
(g) "remission" of taxes includes the refund or rebate of taxes; and (h) "remission or drawback" includes the full  or partial exemption or deferral of import 
charges: 
Provided that deferral may not amount to an export subsidy where, for 
example, appropriate interest charges are collected.  
2. The following is an illustrative list of export subsidies, namely:-  
 
(a) any provision by a government of direct subsidies to a firm or an industry contingent 
upon export performance; 
(b) currency retention schemes or any similar practices which involve a bonus on exports; (c) internal transport and freight charges on export shipments, provided or mandated by 
a government, on terms more favourab le than for domestic shipments; 
(d) any provision by a government or its agencies either directly or indirectly through 
government-mandated schemes, of imported or domestic products or services for use in the production of exported goods, on terms or conditions more favourable than for 
provision of like or directly competitive products or services for use in the production 
of goods for domestic consumption, if, in the case of products, such terms or conditions are more favourable than those commercially available on world markets to 
their exporters; 
(e) any full or partial exemption, remission, or deferral specifically related to exports, of 
direct taxes or social welfare charges paid or payable by industrial or commercial 
enterprises; 
(f) any allowance of special deductions directly  related to exports or export performance, 
over and above those granted in respect of production for domestic consumption, in calculation of the base on which direct taxes are charged; G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
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  (g) any exemption or remission, in respect of the production and distribution of exported 
products, of indirect taxes in excess of those levied in respect of production and distribution of like products when sold for domestic consumption; 
(h) any exemption, remission or deferral of prior-stage cumulative indirect taxes on  
goods or services used in the production  of exported products in excess of any 
exemption, remission or deferral of like prior-stage cumulative indirect taxes on goods or services used in the production of like products when sold for domestic 
consumption; provided, however, that prior-stage cumulative indirect taxes may be 
exempted, remitted or deferred on exported products even when not exempted, remitted or deferred on like products when sold for domestic consumption, if any prior-stage cumulative indirect taxes are levied on inputs that are consumed in the 
production of an exported product making normal allowance for waste. This clause 
shall be interpreted in accordance with the guidelines on consumption of inputs in a production process contained in the Second Schedule. For the avoidance of doubt, the 
provisions of this clause shall not apply to value-added tax systems and border-tax 
adjustment in lieu thereof and the provisions of clause (g) shall exclusively cover issues relating to excessive remission of value-added taxes; 
(i) any remission or drawback of import char ges in excess of those levied on imported 
inputs that are consumed in the production  of an exported product, making normal 
allowance for waste; provided, however, that in particular cases a firm may use a quantity of home market inputs equal to, and having the same quality and 
characteristics as, the imported inputs as a substitute for them in order to benefit 
from this provision if the import and the corresponding export operations both occur within a reasonable time period, not to exceed two years. This clause shall be 
interpreted in accordance with the guidelines on consumption of inputs in the 
production process contained in the Second Schedule and the guidelines in the determination of substitution drawback syst ems as export subsidies contained in the 
Third Schedule; 
(j) any provision by a government or, special institutions controlled by a government, of 
export credit guarantee or insurance programmes, of insurance or guarantee 
programmes against increases in the cost of exported products or of exchange risk 
programmes, at premium rates which are inadequate to cover long- term operating 
costs and losses of the programmes; 
(k) any grant by a government or special institutions controlled by or acting under the 
authority of a government, or both, of export credits at rates below those which they 
actually have to pay for the funds so employed or, would have to pay if they borrowed on international capital markets in order to obtain funds of the same maturity and 
other credit terms and denominated in the same currency as an export credit or, the 
payment by them of all or part of the costs incurred by exporters or financial 
institutions in obtaining credits, insofar as they are used to secure a material advantage in the field of export credit terms. Provided, however, that if a country 
which is a member of the WTO is a party to an international undertaking on official 
export credits to which at least twelve original such members are parties as of the first day of January, 1979, or, a successor undertaking which has been adopted by 
those original members, or if in practice a country which is member of the WTO 
applies the interest rates provisions of the relevant undertaking, an export credit practice which is in conformity with those provisions shall not be considered an export 
subsidy; and 
(l) any other charge on a public account constituting an export subsidy in the sense of 
Article XVI of the General Agreement on Tariffs and Trade, 1994. G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
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  THE SECOND SCHEDULE 
(See the First Schedule) 
 
GUIDELINES ON CONSUMPTION OF INPUTS 
IN THE PRODUCTION PROCESS 
 
1. For the purposes of this Schedule "inputs consumed in the production process" means inputs 
physically incorporated, energy, fuels and oil used in a production process and catalysts which are 
consumed in the course of their use to obtain an exported product.  2. Indirect tax rebate schemes can allow for exemption, remission or deferral of prior-stage 
cumulative indirect taxes levied on inputs that are consumed in the production of an exported 
product making normal allowance for waste. Similarly, drawback schemes can allow for the remission or drawback of import charges levied on  inputs that are consumed in the production of 
an exported product making normal allowance for waste. 
3. The illustrative list of export subsidies in the First Schedule makes reference to the term "inputs 
that are consumed in the production of the expo rted product" in clauses (h) and (i) of para 2 
thereof. Pursuant to clause (h) of para 2 of th e First Schedule, indirect tax rebate schemes can 
constitute an export subsidy to the extent that they result in exemption, remission or deferral of prior-stage cumulative indirect taxes in excess of the amount of such taxes actually levied on inputs that are consumed in the production of an ex ported product. Pursuant to clause (i) of para 2 
of the First Schedule, drawback schemes can constitute an export subsidy to the extent that they 
result in a remission or drawback of import charge s in excess of those actually levied on inputs 
that are consumed in the production of an exported product. Both the said clauses stipulate that 
normal allowance for waste must be made in findings regarding consumption of inputs in the 
production of an exported product. Clause (i) of  para 2 of the First Schedule also provides for 
substitution, where appropriate. 
 
4. In examining whether inputs are consumed in the production of an exported product, as part of 
a countervailing duty investigation pursuant to this Act, the Commission should normally proceed on the following basis, namely:- 
 
(a) where it is alleged that an indirect tax rebate scheme, or a drawback scheme, conveys 
a subsidy by reason of over-rebate or excess drawback of indirect taxes or import 
charges on inputs consumed in the production of an investigated product, the 
Commission shall normally first determine whether the government of an exporting country has in place and applies a system or procedure to confirm which inputs are 
consumed in the production of an exported  product and in what amounts. Where such 
a system or procedure is determined to be  applied, the Commission shall normally 
then examine the system or procedure to s ee whether it is reasonable and effective 
for the purpose intended, and based on generally accepted commercial practices in 
the country of export. The Commission may deem it necessary to carry out, in 
accordance with section 26, certain practical tests in order to verify information or to satisfy itself that the system or procedure is being effectively applied; 
(b) where there is no such system or procedure,  or where it is not reasonable, or where it 
is instituted and considered reasonable but is found not to be applied or not to be applied effectively, a further examination by an exporting country based on the actual 
inputs involved will normally need to be carried out in the context of determining 
whether an excess payment occurred. If the Commission deems it necessary, a further examination may be carried out in accordance with clause (a) of this para; 
(c) the Commission must normally treat inputs as physically incorporated if such inputs 
are used in the production process and are physically present in a product exported, 
and an input need not be present in a final product in the same form in which it entered the production process; 
(d) in determining the amount of a particular input that is consumed in the production of 
an exported product, a "normal allowance for waste" must normally be taken into account by the Commission, and such waste must normally be treated as consumed in 
the production of an exported product. The term "waste" refers to that portion of a G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
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  given input which does not serve an independent function in the production process, is 
not consumed in the production of an exported product, for reasons such as inefficiencies, and is not recovered, used or sold by the same manufacturer; and 
(e) the Commission's determination of whether the claimed allowance for waste is 
"normal" shall normally take into account the production process, the average 
experience of an industry in the country of export, and other technical factors, as appropriate. The Commission shall bear in mind that an important question is whether 
the authorities in an exporting country have reasonably calculated the amount of 
waste, when such an amount is intended to be included in a tax or duty rebate or remission. 
THE THIRD SCHEDULE 
[See the First Schedule and Second Schedule] 
 
GUIDELINES IN THE DETERM INATION OF SUBSTITUTION 
DRAWBACK SYSTEMS AS EXPORT SUBSIDIES 
 
1. Drawback systems can allow for refund or dr awback of import charges on inputs which are 
consumed in a production process of another product and where export of this latter product 
contains domestic inputs having the same quality and characteristics as those submitted for imported inputs. Pursuant to clause (i) of para 2 of the First Schedule, substitution drawback systems can constitute an export subsidy to the ex tent that they result in an excess drawback of 
import charges levied initially on imported inputs for which drawback is being claimed. 
 2. In examining any substitution drawback system as part of an investigation the Commission shall 
normally proceed on the following basis, namely:- 
 
(a) clause (i) of para 2 of the First Schedule stipulates that home market inputs may be 
substituted for imported inputs in the production of a product for export provided such 
inputs are equal in quantity to, and have same quality and characteristics as, imported inputs being substituted. The existe nce of a verification system or procedure 
is important because it enables the government of an exporting country to ensure and 
demonstrate that the quantity of inputs for which drawback is claimed does not 
exceed the quantity of similar products expo rted, in whatever form, and that there is 
no drawback of import charges in excess of those originally levied on imported inputs 
in question; 
(b) where it is alleged that a substitution  drawback system conveys a subsidy, the 
Commission shall normally first proceed to determine whether the government of an 
exporting country has in place and applies a verification system or procedure. Where 
such a system or procedure is determined to be applied, the Commission shall normally then examine the verification proc edures to see whether they are reasonable 
and effective for the purpose intended, and based on generally accepted commercial 
practices in the country of export. To the extent that any procedures are determined 
to meet this test and are effectively applied, no subsidy will be presumed to exist. It may be deemed necessary by the Commission to carry out, in accordance with 
section 26, certain practical tests in order to verify information or to satisfy itself that 
verification procedures are being effectively applied; 
(c) where there are no verification procedur es, or where they are not reasonable, or 
where such procedures are instituted and considered reasonable but are found not be 
actually applied or not be applied effectively, there may be a subsidy. In such cases, further examination by an exporting country based on actual transactions involved would need to be carried out to determine whether an excess payment occurred. If 
the Commission deems it necessary, a further examination mat be carried out in 
accordance with clause (b); and 
(d) the existence of a substitution drawback  provision under which exporters are allowed 
to select particular import shipments on which drawback is claimed shall not of itself 
be considered by the Commission to convey a subsidy. 
 G/ADP/N/1/PAK/3 • G/SCM/N/1/PAK/3 
 
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  3. An excess drawback of import charges within th e meaning of clause (i) of para 2 of the First 
Schedule, would be deemed to exist where a government paid interest on any monies refunded under its drawback schemes, to the extent of an interest actually paid or payable.  
 
 
MOHAMMAD RIAZ 
Secretary 
 
 
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