. /.  WORLD TRADE  
ORGANIZATION  G/ADP/Q1/HRV/6 
G/SCM/Q1/HRV/6 11 April 2005 
 
(05-1486) 
Committee on Anti-Dumping Practices 
Committee on Subsidies and Countervailing Measures Original:   English 
 
 
 
NOTIFICATIONS OF LAWS AND REGULATIONS UNDER ARTICLE 18.5 
AND ARTICLE 32.6 OF THE AGREEMENTS 
 
Replies to Questions Posed by the EUROPEAN COMMUNITIES1 
Regarding the Notification of CROATIA2 
   The following communication, dated 6 April 2005, is being circulated at the request of the Delegation of Croatia. 
 
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Q1. The EC notes that not all provisions of the Anti-Dumping Agreement (ADA) have been 
incorporated in the Regulation.  This is the case,  for example, of provisions on disclosure, access 
to non-confidential information, non-confiden tial summaries and other aspects of Article 6 
ADA.  Could Croatia please confirm that, even in the absence of a specific provision, all aspects of anti-dumping investigations which are not foreseen in the Regulation will be dealt with in conformity with the ADA. 
A1.
 Yes.  Croatia confirms that, even in the absence of specific provision, all aspects of anti-
dumping investigation which are not foreseen in the Re gulation will be dealt with  in conformity with 
the ADA.  
Q2. Article 2 (5) and 2 (7):  Could Croatia please explain the reference to “directly 
competitive products” in these provisions? 
A2.
 Directly competitive products are products with id entical characteristics, or in the absence of 
such a product, another product which, although not a like in all respects, h as characteristics closely 
resembling to those of the products under consideration. 
Q3. Article 2 (8):  The EC notes that the definition of related parties (“commercial 
connection”) does not fully correspond to that se t out in footnote 11 of the ADA.  Should the 
wording “the one or the other are directly or i ndirectly controlled by a third person” be read as 
“both are directly or indirectly controlled by a third person”?  Could Croatia also clarify 
whether it also applies the remaining part of footnote 11 which is not incorporated in Article 2 (8)? 
A3.
 Yes.  The wording «the one or the other are dir ectly or indirectly controlled by a third person» 
will be read as follows «both are directly or indirect ly controlled by a third person».  Croatia confirms 
that it also applies the remaining part of footnote  11 which is not incorporated in Article 2 (8). 
                                                      
1 G/ADP/Q1/HRV/4 - G/SCM/Q1/HRV/4 
2 G/ADP/N/1/HRV/2 - G/SCM/N/1/HRV/2 G/ADP/Q1/HRV/6 
G/SCM/Q1/HRV/6 Page 2 
 
 
Q4. Article 5, paragraph 1:  Would the investigating authority of Croatia also accept a lower 
ratio than five per cent where the evidence demons trates that domestic sales at such lower ratio 
are nonetheless of sufficient magnitude to provide  for a proper comparison, in accordance with 
footnote 2 ADA? 
A4.
 Yes.  Croatian authority would also accept a lo wer ratio than 5 per cen t where the evidence 
demonstrates that domestic sales at such lower ratio are nonetheless of sufficient magnitude to 
provide for a proper comparison, in accordance with footnote 2 ADA.  
Q5. Article 10:  Could Croatia please confirm th at the constructed export price would only 
be determined on the basis of other available data if the products are not resold to an 
independent buyer or not resold in the condition as imported, in accordance with Article 2.3 ADA? 
A5.
 Yes.  Croatia confirms that the constructe d export price would only be determined on the 
basis of other available data if the products are not re sold to an independent buyer or not resold in the 
condition as imported, in accordance with Article 2.3 ADA. 
 
Q6. Article 26:  This provision reflects Article 3.4 ADA.  Could Croatia please clarify how it is ensured that Article 3.5 ADA is also complied with? 
A6.
 As clarified earlier in our answer to the first question, in cases where Croatian legislation does 
not provide level of specificity achieved in ADA,  the provisions of ADA would be respected and 
implemented.  
 
Q7. Article 27, third indent:  Would the investigating authority of Croatia also examine whether the imports would likely increase demands  for further imports, in accordance with 
Article 3.7(iii) ADA? 
A7.
 Yes.  Croatian investigation authority will also examine whether the imports would likely 
increase demands for further imports, in  accordance with Article (iii) ADA. 
 
Q8. Article 28:  Could Croatia please confirm th at it will not publicize the application for the 
initiation of an investigation, unless a decision has been made to initiate an investigation, as required by Article 5.5 ADA? 
A8.
 Yes.  Croatia confirms that it will not pu blicize the application for the initiation of 
investigation, unless a decision has been made to in itiate an investigation, as required by Article 5.5 
ADA.  
Q9. Article 38, last indent:  Could Croatia please clarify whether margins established on the 
basis of facts available would also be ignored, in accordance with Article 9.4 ADA?  
A9.
 In all cases not provided for in its Regulation Croatia shall implement ADA provisions. 
 
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