COMMISSION OF THE EUROPEAN COMMUNITIES 
Brussels, 11.02.1997 
COM(97)44 final 
Proposal for a 
COUNCIL flEQULATlQN (EC) 
amending Council Regulation (EEC) No 738/92 of 23 March 1992 imposing 
a definitive anti-dumping duty on imports of cotton yarn originating 
in Brazil and Turkey 
(presented by the Commission) 

EXPLANATORY MEMORANDUM 
1. According to Article 11(4) of the Council Regulation (EC) No 384/96, in all cases 
where sampling has been used, the possibility of a new exporter review under that 
provision is excluded. The consequence is that the residual duty is applied to all new 
exporters in these instances. In cases where no sampling has been applied, however, 
the new exporter, pursuant to Article 11(4), can seek a review in order to receive an 
individual duty. 
2. In order to mitigate the effects of the above situation, an article whereby new 
exporters may, under certain requirements, be subject to the average duty resulting 
from the sample, could be included in Regulations adopting definitive measures 
where sampling has been used to calculate dumping. In this way, these companies 
will receive the same treatment as was given to co-operating companies not included 
in the sample during the investigation. 
3. In implementing such an article, when a firm provides sufficient evidence of being a 
genuine new exporter (and subject to an assessment of its new exporter status), the 
Commission will consult the Anti-dumping Advisory Committee in order to propose 
to the Council that the enterprise be added to the list of the companies subject to the 
weighted average duty in the regulation imposing measures. 
4. Council Regulation (EEC) No 738/92 imposed a definitive anti-dumping duty on 
imports of cotton yarn originating, inter alia, in Turkey. Sampling was used in the 
investigation that led to the imposition of duties. 
5. In application of the above, it.is proposed the Council adopt the Regulation annexed 
amending Council Regulation (EEC) No 738/92, in order to include an article 
whereby exporters which satisfy the definition of a new exporter as set out in the 
second paragraph of Article 11(4) can be assigned the weighted average duty. 
0 
COUNCIL REGULATION (EC) No 
of 
amending Council Regulation (EEC) No 738/92 of 23 March 1992 imposing 
a definitive anti-dumping duty on imports of cotton yarn originating 
in Brazil and Turkey. 
THE COUNCIL OF THE EUROPEAN UNION, 
Having regard to the Treaty establishing the European Community, 
Having regard to Council Regulation (EC) No 384/96 of 22 December 1995' on 
protection against dumped imports from countries not members of the European 
Community. 
Having regard to the proposal from the Commission, after consulting the Advisory 
Committee, 
Whereas: 
1 OJ No L 56,6.3.1996, p. I. 
7 
A. PREVIOUS PROCEDURE 
(1) The Council, by Regulation (EEC) No 738/922, imposed definitive anti-dumping 
duties on imports of cotton yarn falling within CN Codes 5205 11 00 to 5205 45 90 and 
5206 11 00 to 5206 45 90 originating, inter alia, in Turkey. Sampling was applied to 
Turkish exporters, and individual duties ranging from 4,9% to 12.1% were imposed on 
the companies in the sample, while other co-operating companies not included in the 
sample received a weighted average duty of 9%. A duty of 12.1% was imposed on 
companies which either did not make themselves known or did not co-operate in the 
investigation. 
B. AMENDMENT 
(2) In accordance with the provisions of Article 11(4) of the Council Regulation (EC) No 
384/96, a new exporter's review to determine individual dumping margins could not be 
initiated in this proceeding, as sampling was used in the original investigation. However, 
in order to ensure equal treatment between any new exporters and the co-operating 
companies not included in the sample during the original investigation, it is considered 
that provision should be made for the weighted average duty imposed on the latter 
companies to be applied to any new exporters which would otherwise be entitled to a 
review pursuant to Article 11(4). 
2 OJ No L 82, 27.3.1992, p. 1. 
HAS ADOPTED THIS REGULATION: 
Article 1 
The following paragraph shall be added to Article 1 of Council Regulation (EEC) No 
738/92: 
'6. Where any party provides sufficient evidence to the Commission that it did not export 
the goods described in Article 1(1) during the investigation period, that it is not related to 
any exporter or producer subject to the measures imposed by this Regulation and that it 
has exported the goods concerned after the investigation period, or that it has entered into 
an irrevocable contractual obligation to export a significant quantity to the Community, 
then the Council, acting by simple majority on a proposal submitted by the Commission 
after consulting the Advisory Committee, may amend Article 1(2) by adding that party to 
Article 1(2).' 
Article 2 
This Regulation shall enter into force on the day following its publication in the Official 
Journal of the European Communities. 
This Regulation shall be binding in its entirety and directly applicable in all Member 
States. 
Done at Brussels, 
Ç 
ISSN 0254-1475 
COM(97) 44 final 
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Catalogue number : CB-CO-97-042-EN-C 
ISBN 92-78-15587-X 
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