WORLD TRADE  
ORGANIZATION  G/ADP/Q1/AUS/6 
G/SCM/Q1/AUS/6 11 April 2005 
 
(05-1485) 
Committee on Anti-Dumping Practices 
Committee on Subsidies and Countervailing Measures Original:   English 
 
 
 
NOTIFICATION OF LAWS AND REGULATIONS UNDER 
ARTICLES 18.5 AND 32.6 OF THE AGREEMENTS 
 
Replies to Questions posed by JAPAN1 
Regarding the Notification of AUSTRALIA2 
   The following communication, dated 6 April 2005, is being circulated at the request of the Delegation of Australia. 
 
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Customs Amendment Regulations 2004(No.2) 
 
180   Determination of cost of production or manufacture 
 Question 1
 
  Part (6) provides that “[f]or this regulatio n, the Minister may disregard any information 
that he or she considers to be unreliable”.  Plea se explain how Australia define the “unreliable” 
or where the definition is provided in the laws and regulations.  Does the Minister provide the interested party the opportunity to clarify the reliability of information?  
 
Reply
 
 
 There is no definition of “unreliability” in  our legislation.  Hence, the question of 
“reliability/unreliability” is a question of fact to  be determined on a case-by-case basis.  Generally, 
information is regarded as reliable if it could be su pported and substantiated by adequate source data 
and suitable evidence.  The Minister and the inves tigating authority in Australia always provide the 
interested parties with ample opportunities in clar ifying the reliability of the information.  Upon 
receipt of adequate response from interested partie s, the investigating authority in Australia would 
conduct detailed verification visits to authenticate and establish veracity of the information presented 
by interest parties.  The inter ested parties are given ample opportunities to clarify reliability of the 
information during the verification visits.    
                                                     
 
1 G/ADP/Q1/AUS/5-G/SCM/Q1/AUS/5 
2 G/ADP/N/1/AUS/2/Suppl.2 G/ADP/Q1/AUS/6 
G/SCM/Q1/AUS/6 Page 2 
 
 
 181   Determination of administrative, selling and general costs 
 Question 2.
 
 
 With respect to part (3) (b) and (c), how often does Australia use those method?  Could 
Australia let us know the example of the using “any other reasonable method” provided in part 
(3)(c)?  
 
Reply  
 
 The provisions of Customs Regulation 181(3)(b) and (c) are very rarely used.  An example of the potential use of 181(3)(b) is in a case where an exporter could not reasonably demonstrate the 
administrative, selling and general costs associated with the sale of like goods, nor could it reasonably 
demonstrate those costs associated  with the sale of the same general category of goods, in the 
domestic market.  In this case, Customs may use th e weighted average amount of administrative, 
selling and general costs that were verified at ot her producers that sold like goods in the domestic 
market.   An example of where Australia might consider  “any other reasonable method” might be in a 
similar case to that outlined above, but where no other exporter data was available. 
 
Question 3.
 
  Part (7) provides that “[f]or this regulatio n, the Minister may disregard any information 
that he or she considers to be unreliable”.  Plea se explain how Australia define the “unreliable” 
or where the definition is provided in the laws and regulations.  Does the Minister provide the 
interested party the opportunity to clarify the reliability of information?  
 
Reply
 
  See response to Question 1. 
 
181A   Determination of profit 
 Question 4.
 
 
 With respect to part (3) (b) and (c), how often does Australia use those method? Could 
Australia let us know the example of the using “any other reasonable method” provided in part 
(3)(c)? 
 
Reply  
 
 The provisions of Customs Regulation 181A(3)(b) and (c) are very rarely used.  An example 
of the potential use of 181A(3)(b) is in a case wher e an exporter could not reasonably demonstrate the 
profit associated with the sale of like goods, nor could it reasonably demonstrate profit associated with the sale of the same general category of goods, in the domestic market.  In this case, Customs 
may use the weighted average amount of profit verifi ed at other producers that sold like goods in the 
domestic market. 
  An example of where Australia might consider  “any other reasonable method” might be in a 
similar case to that outlined above, but where no other exporter data was available.     G/ADP/Q1/AUS/6 
 G/SCM/Q1/AUS/6 
 Page 3 
 
 
  In the event that profit established under Regul ation 181A(3)(c) exceeds the amount of profit 
normally realised by other producers on sales of the same general category in the domestic market, the 
excess profit is disregarded – refer Regulation 181A(4). 
 Question 5.
 
  Part (5) provides that “[f]or this regulatio n, the Minister may disregard any information 
that he or she considers to be unreliable”.  Plea se explain how Australia define the “unreliable” 
or where the definition is provided in the laws and regulations.  Does the Minister provide the 
interested party the opportunity to cl arify the reliability of information? 
 
Reply
 
  See response to Question 1. 
 
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