WORLD TRADE  
ORGANIZATION  G/SG/Q1/ISR/2 
11 May 2009 
 (09-2293) 
Committee on Safeguards Original:   English 
  
 
NOTIFICATION OF LAWS AND REGULATIONS UNDER 
ARTICLE 12.6 OF THE AGREEMENT 
 
Replies to Questions Posed by the UNITED STATES
1 
Regarding the Notification of ISRAEL2 
 
  The following communication, dated 5 May 2009, is being circulated at the request of the 
Delegation of Israel.    
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Question 1 
 
 It is not clear from Title G:  Miscellane ous Provisions, paragraph 10, Commencement 
and Transition Provision, whether the Main Law  has been enacted and is currently in effect.  
Could Israel please clarify whether the Main Law  has been implemented, and, if the Main Law  
has been implemented, the date of implementation?   
 
Reply
 
 
 The phrase " the Main Law " refers to the Israeli Trade Levies Law of 1991.  The Main Law  
has been in force since  1991.  Chapter B2 rega rding safeguard measures was enacted in 2008 and is 
in force since 5 December 2008.    
Question 2 
 
 Several sections of the Main Law  discuss the existence of injury (serious injury) to the 
domestic industry including:  Title B:  Inqui ry Proceedings, Application to Carry Out an 
Inquiry due to Increased Imports – 3C, paragraph (b)(2);  Title C:  Commissioner's Findings, 
Conclusions and Recommendations, Conclusion of Inquiry and Submission of Findings, 
Conclusions and Recommendations – 3J, paragr aph (a)(1);  and Title C:  Commissioner's 
Findings, Conclusions and Recommendations, Dete rmining the Existence of Serious Injury – 
3K.  However, the Main Law  does not specify the criteria that will be applied in determining 
whether serious injury or threat of serious injury  exists.  Could Israel please identify the criteria 
that it will apply in determining whether seriou s injury or threat of serious injury exists?   
                                                     
 
1 G/SG/Q1/ISR/1.   
2 G/SG/N/1/ISR/2/Suppl.1.   G/SG/Q1/ISR/2 
Page 2  
 
  Reply
 
  The criteria for determining whether serious injury or threat of serious injury exists is elaborated in section 3.11 in Chapter B2.    Question 3 
 
 The Main Law  is unclear as to who is entitled to be an interested party, the deadline date 
by which such a party must identify its interest , and the rights an interested party has if it 
notifies its interest in a timely manner.  In the definitions section in Title A, section 3B, the term 
"interested party" appears to be defined broadly.  However, section 3E(b) of Title B appears to 
suggest that the complainant may have a role in  determining who is an interested party and is 
thus notified.  Section 3E(d) suggests that the term may be limited to those persons who request a copy of the complaint and the Commissioner's decision to initiate an inquiry within 7 business days of publication in newspapers of the decision to initiate an inquiry.   
 
• Please clarify who may participate as an "interested party", including whether the term 
is limited to persons identified as "interested parties" by the complainant, or to those persons who request a copy of the complain t and Commissioner's decision to initiate 
within 7 days of publication of the notice;   
 
• Please indicate the date by which a person mu st indicate its interest, including whether a 
person who determines after the deadline that it has an interest may request that it be 
added to the list of interested parties, and also whether such requests are likely to be 
routinely granted;   
 
• Please indicate whether copies of the comp laint and the Commissioner's decision to 
begin an inquiry will be made available to p ersons with an interest when the request is 
made more than 7 days after the notice is published in newspapers;   
 
• Please describe the rights that an "interested party" has in an investigation, including 
whether an interested party has a right to receive (or is there an obligation to serve) any subsequent notices relating to the investigatio n, the right to request a hearing, the right 
to review draft questionnaires, and the right to  receive and/or inspect non-confidential 
versions of submissions made by the comp lainant and other interested parties during 
the proceeding.   
 
Reply
 
 
• Anyone fulfilling the definition of an "interested  party" as defined in section 3B is entitled to 
participate as an "interested party", whether or not that party has been identified in the 
complaint.   
• Anyone who qualifies as an interested party but h as indicated its interest after the deadline for 
requesting documents from the Commissioner will generally be allowed to participate as an 
interested party, but submissions must be made in the time frame of the law, unless an extension was granted.  A decision regarding such  extensions is made on a case by case basis.   
• Normally copies of the complaint and the Commiss ioner's decision to begin an inquiry will be 
made available to persons with an interest when  the request is made more than 7 days after 
the notice is published in newspapers.   
• An "interested party" will receive all subseque nt notices relating to the investigation and non-
confidential versions of submissions made by th e complainant and by other interested parties 
during the proceeding and can request a hearing.    G/SG/Q1/ISR/2 
 Page 3 
 
 
  Question 4 
 
 With regard to Title B:  Inquiry Proceedings, Notification of the Commissioner of 
Initiating an Investigation – 3E, of the Main Law , can Israel please clarify whether the official 
date of initiation of the investigation will be th e date of the Commissioner's decision, the date of 
publication in newspapers, the date of publicatio n on the website of the Ministry of Industry 
Trade and Labor or the date that notificati on letters are sent to the parties noted in 
paragraph 3E (b)?   
 
Reply  
 
 The official date of initiation of the investigati on is  the date of the Commissioner's decision.   
 
Question 5 
 
 Title B:  Inquiry Proceedings, Respon se Document – 3F, paragraph (a)(1) of the Main 
Law states "An interested party shall be entitled to submit to the Commissioner its response to 
the complaint, in writing, within 30 days from th e date on which it was presented with a copy of 
the complaint and of the Commissioner's decision  to initiate an inquiry…".  The timeline by 
which the interested party shall submit its response is not entirely clear since it appears that the 
date on which the interested party was presented with a copy of the complaint and the date of 
the Commissioner's decision to initiate an inquiry could differ.  Accordingly, 
 
• Please clarify the timeline for submitting a response to the initiation of the investigation.   
 
• How is the date of receipt of the complaint by interested parties determined?   
 
• What provisions are included for non-confiden tial summaries of data and information 
to be made available to all parties?    
 
Reply  
 
• The response should be submitted within 30 days from the date on which the interested party 
was presented with a copy of the application toge ther with a copy of the initiation decision.   
• According to section 32.37 of the Main Law , which applies also to safeguard investigations, 
"Notifications sent pursuant to the provisions of this chapter by registered mail, shall be 
presumed to have reached their destination if sent to an address in Israel − within three days 
from the date of submission for dispatch, a nd if sent to an address outside of Israel − within 
10 days from said date".   
• Section 32.2 of the Main Law , which applies also to safeguard investigations, states as 
follows:   
 
"32.2 Confidential Information (a) The Commissioner may determine, with regard to information that was given 
pursuant to the provisions of this chapter,  pursuant to a written request from the party 
providing the information or at his own initia tive, that the information is confidential 
because its disclosure is likely to cause damage to the party that provided it or to another person.   
   
 G/SG/Q1/ISR/2 
Page 4  
 
  (b) Should the provider of the information request to determine that information 
is confidential pursuant to the provisions of s ubsection (a), it shall attach to its request 
a summary of the information for which it requests confidentiality;  said summary 
shall contain details that are not confidentia l regarding the nature of the information 
for which the confidentiality is requested, to  the extent that it is possible to do so 
without causing damage to the provider of th e information or to another person; if the 
provider of the information believes that the information cannot be summarized without causing damage as stated, it shall specify the reasons for this in writing. (c) Should the Commissioner determine, pursuant to the provisions of subsection (a), that the information is not confidential, it shall so inform the provider 
of the information;  should the provider of the information not consent to enabling 
disclosure of the information within th e period determined therefor by the 
Commissioner, said information shall not be  taken into account by the Commissioner 
for the purpose of determining his findings and making a decision pursuant to the provisions of this chapter.   
(d) A person who, while fulfilling his duty or in the course of his work, received 
information that was determined to be confidential information, pursuant to the 
provisions of subsection (a), shall not discl ose it to another and shall not make any 
use thereof other than under the provisions of this law or any other law or pursuant to an express written authorization from the part y that requested the confidentiality of 
the information." 
 
Question 6 
 
 Regarding Title B:  Inquiry Proceedings, R esponse Document – 3F, paragraph (c) of the 
Main Law , can Israel please clarify under what circumstances the Commissioner may decide to 
shorten the periods for interested parties to  submit comments/responses per the previous 
paragraphs?  How will interested parties be noti fied of any expedited deadline?  Furthermore, 
will interested parties be able to challenge an expedited deadline?   
 
Reply
 
 
 The "special circumstances" allowing for the shortening of the timelines are not pre-
determined but rather will be decided in specific cases where the issue arises.  Notification of such 
shortened deadlines will be given the same way as all other notices regarding the investigation, and if 
possible – by e-mail.  There is no separate proc edure for challenging the decision to shorten the 
deadline.   
 
Question 7 
  Regarding Title B:  Inquiry Proceedings, Rights of an Interested Party and of a Competent Authority in an Exporting Country – 3G, paragraph (a) of the Main Law , does the 
Commissioner intend to make available to all int erested parties comments that are submitted 
orally, thereby insuring that written summaries of these oral comments also appear in the 
official case file?     This provision of the Main Law  seems to indicate that a hearing will be held for 
interested parties to provide oral comments.  May an interested party request such a hearing or 
will the Commissioner hold hearings at specific point(s) during the investigation?   
  With regard to section 3G, paragraph (b), will the Commissioner also ensure that suitable non-confidential summaries of confidential  information will be placed in the public case 
file and made available to all interested parties?    G/SG/Q1/ISR/2 
 Page 5 
 
 
  Reply  
 
• An interested party may request a hearing and the Commissioner will decide whether to 
accept the request.   
• As regards confidential information see respon se to question 5 above concerning section 32.2 
of the Main Law.   
 
Question 8 
  Title B:  Rights of an Interested Party and of a Competent Authority in an Exporting Country – 3G, paragraph (a) of the Main Law , refers to an "involved party", but does not define 
the term.  It is not clear whether the term refers  to the complainant, responding interests, or to 
some other combination of involved or interested persons.   
 
• Please explain the meaning of the term "involved party" and how it differs from the 
term "interested party".  Are the rights of an "involved party" different than those of an "interested party"?  If so, please explain.   
 
Reply
 
  The term "involved party" is defined in secti on 3G(a) as an "interested party" who has  
submitted a response document.  The rights granted by the law to an "involved party" are more 
extensive than those granted to an "interested part y".  For example, the "involved party" has the right 
to see any information in the Commissioner's file  pertaining to the investigation (subject to 
confidentiality rules), has the right to request a h earing, the right to receive the findings of the 
investigation and receive the notice regarding the minister's decision whether to apply safeguard 
measures.    
Question 9 
 
 Title B:  Inquiry Proceedings, Preliminary Decision regarding Imposing Temporary 
Guarantee – 3H, paragraph (e) of the Main Law  notes that an appeal of the Commissioner's 
preliminary decision may be filed within 15 days  from the date on which the appellant learned 
of the decision.   
 
• Please clarify how the Commissioner will dete rmine the date on which the appellant 
learned of the decision.   
 
• Will there be a deadline established after the pr eliminary decision is made after which 
no such further appeals may be accepted?   
 
• Please describe any other deadlines and time constraints that may apply to interested 
parties desiring to file an appeal of the preliminary decision?   
 
Reply
 
 
• The date on which the appellant learned of the decision will be gene rally determined in 
accordance with the above mentioned section 32.37 of the Main Law .   
• The deadline for the submission of appeals is the 15 day period referred to in section 3H(e).   
• The deadlines and time constraints for filing an appeal are those referred to in section 3H(e) 
of the Main Law.    
 G/SG/Q1/ISR/2 
Page 6  
 
  Question 10 
 
 Will interested parties have the opportunity to  respond to the conclusion of inquiry and 
submission of findings, conclusions and recomm endations discussed in Title B:  Inquiry 
Proceedings, Conclusion of Inquiry and S ubmission of Findings, Conclusions and 
Recommendations – 3J of the Main Law ?  If so, in what manner will interested parties be able to 
provide comment and what time consideration s will be observed for comments that are 
submitted?   
 
Reply
 
 
 The Law does not provide for res ponses to the Inquiry Findings.   
 
Question 11 
 
 Title C:  Commissioner's Findings, Conclu sions and Recommendations – 3J paragraph 
(a)(1) of the Main Law, refers to conclusions regarding increased  imports based on the "average 
amount of imported goods during the last three representative years…".    
• Please explain how Israel would decide which years constitute the "last three 
representative years". 
 
• Must these years be consecutive years, and must all three be recent years?   
 
Reply
 
  The choice of the "three representative years" w ill be made on a case to case basis, according 
to the specific circumstances of the case.   
 
Question 12 
 
 Title C:  Commissioner's Findings, Conclusions and Recommendations – 
3J paragraph (a)(2)(a) of the Main Law  requires the Commissioner, in recommending a 
safeguard measure, to take into account, among other things, the need for the measure "for the 
benefit of the economy in its entirety…".    
• Please explain how this provision is consistent with Articles 5.1 and 7.1 of the WTO 
Agreement on Safeguards, which state that a member may apply a measure only to the 
extent necessary "to prevent or remedy seriou s injury and to facilitate adjustment".   
 Reply
 
  The necessity "to prevent or remedy serious in jury and to facilitate adjustment" is a pre-
condition for imposing safeguard measures.  Section 3J  paragraph (a)(2)(a) in lin e with Article 3.1 of 
the Agreement on Safeguards serves as a guideline fo r considering the public interest when deciding 
to impose safeguard measures.    G/SG/Q1/ISR/2 
 Page 7 
 
 
  Question 13 
 
 Title C:  Commissioner's Findings, Conclusions and Recommendations – 
3J paragraph (a)(2)(b) of the Main Law  Section suggests that the Commissioner, whenever he 
recommends a safeguard measure in the form of a quota, must recommend specific country by 
country allocations.   
 
• Must the Commissioner recommend a country  by country allocation whenever he 
recommends a quota, or could he recommend a global quota?   
 
Reply  
 
 Although we have no actual experience yet appl ying a safeguard measure in accordance with 
Chapter B2 we assume at this point that as a ma tter of practice the Commissioner will allocate a quota 
among the exporting countries of the relevant goods.     Question 14 
 
 Title E:  Type of Safeguard Measu res, Applicability, Rate and Validity – 
3O paragraph (b) of the Main Law appears to state that that Israel may apply a safeguard 
measure only "to prevent the serious inju ry" as opposed to "prevent or remedy
 serious injury".   
 
• Please clarify whether the statute actually intends that a safeguard measure may be 
applied only to prevent  serious injury, rather than to p revent or remedy serious injury.  
If so, please explain how this is consistent with Article 5.1 of the WTO Agreement on Safeguards.   
 
Reply
 
 
 The safeguard measure is intended to prevent or remedy serious injury.    
Question 15 
 
 Regarding Title E:  Type of Safeguard Me asures, Applicability, Rate and Validity – 
3O paragraph (c) of the Main Law  is unclear.  It suggests that a safeguard measure may be 
applied against a subset of the imported goods found to cause serious injury or the threat of serious injury to the domestic industry.  It also suggests that Israel may apply the measure 
selectively against goods from certain countries as  opposed to goods from all sources.   
 
• Please clarify the meaning of this paragraph and explain how it is consistent with the 
requirements of Article 2.2 of the WTO Agreement on Safeguards.   
 
Reply
 
  The safeguard measures will be applied to the product under investigation.  Applying a 
safeguard measure against goods from a certain count ry will only be imposed in such circumstances 
which are consistent with Israel's WTO commitments.   G/SG/Q1/ISR/2 
Page 8  
 
  Question 16 
 
 Title E:  Type of Safeguard Measures, App licability, Rate and Validity – 3P paragraph 
(a) of the Main Law  states that a safeguard levy may be based on the value of the imported good 
"at a fixed amount or according to a different calculation…".   
 
• Please explain what is meant by this term, a nd particularly what "different" methods of 
calculation might be considered or applied.  Please explain how this provision is consistent with Articles 5.1 and 7.1 of th e WTO Agreement on Safeguards, particularly 
if the method of calculation allows the measure to become more restrictive.   
 Reply
 
  Choice of calculation or method will be made on a case by case basis according to the circumstances, and consistent with the WTO Agreement on Safeguards.    Question 17 
 
 Title E:  Type of Safeguard Measures, App licability, Rate and Validity – 3Q paragraph 
(a) of the Main Law  Section provides that any safeguard measure imposed by Israel in the form 
of an import quota must allow entry of a quant ity of goods that is not less than the average 
quantity of imported goods "during the last three  representative years pr eceding the date of 
imposing the quota ...".   
 
• Would the "last three representative years" for purposes of section 3Q(a) be the same as 
for the purpose of making a finding that  imports are in increased quantities under 
section Title C – 3J paragraph (a)(1)?  If it is  different, please clarify how the "last three 
representative years" preceding the date of im position of the quota are determined.   
 
Reply
 
  Generally, the "last three representative years" for purposes of section 3Q(a) will be the same as for the purpose of section 3J(a)(1), unless there are specific circumstances to justify differently.    
 
Question 18 
 
 Regarding Title F:  Re-Examination and Va lidity Extension, Re-Examination – 3U of 
the Main Law , please confirm that re-examinations of safeguard measures will be used to 
maintain the scheduled liberalization of the measures or to increase the liberalization of the 
measures but not used to decrease the liberalizatio n of the measures in accordance with Article 
7.4 of the WTO Agreement on Safeguards.   
 
Reply
 
 
 The Re-Examination shall not be used to decrease the liberalization of the safeguard 
measures.     
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