Dean JacquiTRADE (ANTI-DUMPING AND COUNTERVAILING DUTIES) AMENDMENT BILLThird ReadingHon JACQUI DEAN (Minister of Commerce and Consumer Affairs): I move That the Trade (Anti-dumping and Countervailing Duties) Amendment Bill be now read a third time. I acknowledge the work of the Committee of the whole House yesterday and commend it for progressing the bill to this stage and for adopting Supplementary Order Paper 289. I thank the members of the Commerce Committee who have worked so hard and those who have supported this bill.The bill amends the Dumping and Countervailing Duties Act of 1988. The amendments in this bill will make the trade remedies regime more responsive to New Zealand's best interests by ensuring that imposing anti-dumping and countervailing duties is in the interest of New Zealand in each case. It also gives the trade remedies regime more flexibility in the cases of natural disasters. This bill is common sense. New Zealand needs a trade remedies regime that considers the wider effects of taking action against dumping and subsidisation including the effects on those who would be negatively affected by the imposition of duties while continuing to protect our domestic industry appropriately against unfair practices.To remind the House dumping is when a product is exported for a price that is cheaper than it is sold at in its own country. When a complaint is made the Government investigates whether dumped imports are materially injuring our domestic industries. If they are duties can be imposed. Countervailing duties are similar duties that are imposed to level the playing field with products that can be imported cheaply because of subsidies by the exporting Government.This speech gives me a final opportunity to emphasise some key aspects of the bill before the House. The bill does four things. Firstly it inserts a public interest test into the trade remedies regime. Currently the Act only allows the Government to consider the effect of a duty on the domestic industry. The Act does not allow the Government to consider the wider public interest before imposing duties. This means that the Government could impose duties even if the costs to New Zealand materially outweigh the benefits. The bill fixes this problem by introducing a public interest test similar to those in the EU and Canada.Secondly the bill gives the Government the power to suspend defer terminate or not impose duties in the case of a natural disaster or emergency. This will ensure that the trade remedies regime is flexible to New Zealand's unique circumstances and will not become an obstruction to disaster recovery.Thirdly the bill extends the suspension of anti-dumping duties on residential building materials for another 2 years. This suspension is part of the Government's commitment to making the construction of residential housing more affordable by reducing the import costs of building materials. This provision came to be part of the bill during the Committee of the whole House yesterday through Supplementary Order Paper 289 and I thank the members who contributed.Finally the bill makes a number of minor and technical changes to clarify the Act in accordance with World Trade Organization requirements and restructures the Act to make it easier to understand in a modern context.I want to emphasise the importance of having a trade remedies regime that works for all New Zealanders. Currently the Government only considers the interests of New Zealand industries which means that the Government can only consider half of the picture. This bill will allow the Government to also consider the effect on downstream industries and consumers before imposing duties. The public interest test has a presumption in favour of imposing duties. This means the public interest test will only prevent duties from being imposed if the costs to downstream industries and consumers materially outweigh the benefits.When drafting this bill the Government has been careful to promote dual objectives—supporting competition and consumer welfare and maintaining an effective trade remedies regime. Canada and the European Union have both successfully introduced public interest tests in their anti-dumping regimes. Our public interest test takes features from both Canada and the EU while adapting them to New Zealand's particular economic geographic and commercial context.I once again thank the Committee of the whole House for its valuable contribution to the development of this bill and particularly the Commerce Committee led by Melissa Lee. I am confident that the bill will provide a sustainable responsible trade remedies system that meets the needs of New Zealand industries and consumers and contributes to the prosperity of all New Zealanders both now and into the future. I commend the bill to the House.