CELEX: 51996EC0384
Language: en
Date: 2007-02-06
Title: Proposal for a Council Regulation (EC) No …/… of […] on protection against dumped imports from countries not members of the European Community (codified version)

EN

|[pic]                     |COMMISSION OF THE EUROPEAN COMMUNITIES                                                                           |

                                        Brussels,
                                        COM (2006)

                                                                  Proposal for a

                                                          COUNCIL REGULATION (EC) No …/…

                                                                      of […]

                            on protection against dumped imports from countries not members of the European Community

                                                                (Codified version)

                                                              EXPLANATORY MEMORANDUM

1.    In the context of a people’s Europe, the Commission attaches great importance to simplifying and clarifying Community law so as to make  it
       clearer and more accessible to the ordinary citizen, thus giving him new opportunities and the chance to make use of the  specific  rights
       it gives him.

       This aim cannot be achieved so long as numerous provisions that have  been  amended  several  times,  often  quite  substantially,  remain
       scattered, so that they must be sought partly in the original instrument and partly in later amending ones.  Considerable  research  work,
       comparing many different instruments, is thus needed to identify the current rules.

       For this reason a codification of rules that have frequently been amended  is  also  essential  if  Community  law  is  to  be  clear  and
       transparent.

2.    On 1 April 1987 the Commission therefore decided[1] to instruct its staff that all legislative acts should be codified after no  more  than
       ten amendments, stressing that this is a minimum requirement and that departments should endeavour to codify at even shorter intervals the
       texts for which they are responsible, to ensure that the Community rules are clear and readily understandable.

3.    The Conclusions of the Presidency of the Edinburgh  European  Council  (December 1992)  confirmed  this[2],  stressing  the  importance  of
       codification as it offers certainty as to the law applicable to a given matter at a given time.

       Codification must be undertaken in full compliance with the normal Community legislative procedure.

       Given that no changes of substance may be made to the instruments affected by codification, the European Parliament, the Council  and  the
       Commission have agreed, by an interinstitutional agreement dated 20 December 1994, that an accelerated procedure may be used for the fast-
       track adoption of codification instruments.

4.    The purpose of this proposal is to undertake a codification of Council Regulation (EC) No 384/96 of 22 December 1995 on protection  against
       dumped imports from countries not members of the European Community[3]. The new Regulation will supersede the various acts incorporated in
       it[4]; this proposal fully preserves the content of the acts being codified and hence does no more than bringing them together  with  only
       such formal amendments as are required by the codification exercise itself.

5.    The codification proposal was  drawn  up  on  the  basis  of  a  preliminary  consolidation,  in  all  official  languages,  of  Regulation
       (EC) No 384/96 and the instruments amending it, carried out by the Office for Official Publications of the European Communities, by  means
       of a data-processing system. Where the Articles have been given new numbers, the correlation between the old and the new numbers is  shown
       in a table contained in Annex II to the codified Regulation.

                                            ê 384/96

                                                                  Proposal for a

                                                         COUNCIL REGULATION (EC) No […/…]

                                                                      of […]

                            on protection against dumped imports from countries not members of the European Community

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty establishing the European Community, and in particular Article 133 thereof,

Having regard to the Regulations establishing the common organization of agricultural markets and the Regulations  adopted  pursuant  to  Article
308 of the Treaty applicable to goods manufactured from agricultural products, and in particular the provisions of those Regulations which  allow
for derogation from the general principle that protective measures at frontiers may be replaced solely by the  measures  provided  for  in  those
Regulations,

Having regard to the proposal from the Commission,

Having regard to the opinion of the European Parliament[5],

Having regard to the opinion of the European Economic and Social Committee[6],

                                            ê 

Whereas:

   1) Council Regulation (EC) No 384/96 of 22 December 1995 on protection against dumped imports from  countries  not  members  of  the  European
      Community[7], has been substantially amended several times[8]. In the interests of clarity and rationality the said  Regulation  should  be
      codified.

                                            ê 384/96 Recital 3 (adapted)

   2) The multilateral trade negotiations concluded in 1994 led to new Agreements on the implementation of Article VI of Ö the General  Agreement
      on Tariffs and Trade (hereinafter referred to as ‘GATT’) Õ. In the light of the different nature of the new rules for dumping and subsidies
      respectively, it is also desirable to have a separate body of Community rules in each of  those  two  areas.  Consequently,  the  rules  on
      protection against subsidies and countervailing duties are contained in a separate Regulation.

                                            ê 384/96 Recital 5 (adapted)

   3) The agreement on dumping, namely, the Agreement on Implementation of Article VI  of  the  General  Agreement  on  Tariffs  and  Trade  1994
      (hereinafter referred to as ‘the 1994 Anti-Dumping Agreement’), contains detailed rules, relating  in  particular  to  the  calculation  of
      dumping, procedures for initiating and pursuing an investigation, including the establishment and treatment of the facts, the imposition of
      provisional measures, the imposition and collection of anti-dumping duties, the duration and review of anti-dumping measures and the public
      disclosure of information relating to anti-dumping investigations. In Ö order Õ to ensure a proper and transparent application of Ö these Õ
      rules, the language of the agreement should be brought into Community legislation as far as possible.

                                            ê 384/96 Recital 4

   4) In applying the rules it is essential, in order to maintain the balance of rights and obligations which  the  GATT  Agreement  establishes,
      that the Community take account of how they are interpreted by the Community's major trading partners.

                                            ê 384/96 Recital 6 and 1972/2002 Recital 2 (adapted)

   5) It is desirable to lay down clear and detailed rules on the calculation of normal value. In particular such value should in  all  cases  be
      based on representative sales in the ordinary course of trade in the exporting country. Ö It is expedient  to  give  guidance  as  to  when
      parties may be considered as being related for the purpose of determining dumping. Õ It is expedient to define the circumstances  in  which
      domestic sales may be considered to be made at a loss and may be disregarded, and in which recourse may be had to remaining  sales,  or  to
      constructed normal value, or to sales to a third country. It is also desirable to provide for a proper allocation of costs, even in  start-
      up situations. It is also appropriate to lay down guidance as to definition of start-up and the extent and method of allocation. It is also
      necessary, when constructing normal value, to indicate the methodology that is to be  applied  in  determining  the  amounts  for  selling,
      general and administrative costs and the profit margin that should be included in such value.

                                            ê 384/96 Recital 7

   6) When determining normal value for non-market economy countries, it appears prudent to set out rules for choosing  the  appropriate  market-
      economy third country that is to be used for such purpose and, where it is not possible to find a suitable third country, to  provide  that
      normal value may be established on any other reasonable basis.

                                            ê 905/98 Recital 5 (adapted) and 2238/2000 Recital 5 (adapted)

   7) It is appropriate to revise the Community's anti-dumping practice in order to be able to take account of the changed economic conditions in
      the People's Republic of China Ö , Ukraine, Vietnam and Kazakhstan Õ. In particular, it is appropriate to specify that normal value may  be
      determined in accordance with the rules applicable to market economy countries in cases where  it  can  be  shown  that  market  conditions
      prevail for one or more producers subject to investigation in relation to the manufacture and sale of the product concerned.

                                            ê 2238/2000 Recital 6

   8) It is also appropriate to grant similar treatment to imports from such countries which are members of the World Trade Organisation (WTO) at
      the date of the initiation of the relevant anti-dumping investigation.

                                            ê 905/98 Recital 6

   9) It is appropriate to specify that an examination of whether market conditions prevail  will  be  carried  out  on  the  basis  of  properly
      substantiated claims by one or more producers subject to investigation who wish to avail themselves of the possibility to have normal value
      determined on the basis of rules applicable to market economy countries.

                                            ê 384/96 Recital 8

  10) It is expedient to define the export price and to enumerate the adjustments which are to be made in those cases where a  reconstruction  of
      this price from the first open-market price is deemed necessary.

                                            ê 384/96 Recital 9

  11) For the purpose of ensuring a fair comparison between export price and normal value, it is advisable to list the factors which  may  affect
      prices and price comparability and to lay down specific rules as to when and how the adjustments should be made, including  the  fact  that
      any duplication of adjustments should be avoided. It is also necessary to provide that comparison may be made using average prices although
      individual export prices may be compared to an average normal value where the former vary by customer, region or time period.

                                            ê 384/96 Recital 10

  12) It is desirable to lay down clear and detailed guidance as to the factors which may be relevant for the determination of whether the dumped
      imports have caused material injury or are threatening to cause injury. In demonstrating that the volume and price levels  of  the  imports
      concerned are responsible for injury sustained by a Community industry, attention should be given to the effect of  other  factors  and  in
      particular prevailing market conditions in the Community.

                                            ê 384/96 Recital 11

  13) It is advisable to define the term ‘Community industry’ and to provide that parties related to exporters may be excluded from such industry
      and to define the term ‘related’. It is also necessary to provide for anti-dumping action to be taken on behalf of producers in a region of
      the Community and to lay down guidelines on the definition of such region.

                                            ê 384/96 Recital 12

  14) It is necessary to lay down who may lodge an anti-dumping complaint, including the extent to which it should be supported by the  Community
      industry, and the information on dumping, injury and causation which such complaint should contain. It is also  expedient  to  specify  the
      procedures for the rejection of complaints or the initiation of proceedings.

                                            ê 384/96 Recital 13

  15) It is necessary to lay down the manner in which interested parties should be given notice of the information which the authorities require,
      and should have ample opportunity to present all relevant evidence and to defend their interests. It is also desirable to set  out  clearly
      the rules and procedures to be followed during the investigation, in particular the rules whereby interested parties are to make themselves
      known, present their views and submit information within specified time limits, if such views and information are to be taken into account.
      It is also appropriate to set out the conditions under which an interested party may have access to, and comment on, information  presented
      by other interested parties. There should also be  cooperation  between  the  Member  States  and  the  Commission  in  the  collection  of
      information.

                                            ê 384/96 Recital 14

  16) It is necessary to lay down the conditions under which provisional duties may be imposed, including the condition that they may be  imposed
      no earlier than 60 days from initiation and not later than nine months thereafter. For administrative reasons,  it  is  also  necessary  to
      provide that such duties may in all cases be imposed by the Commission, either directly for a nine-month period or in two stages of six and
      three months.

                                            ê 384/96 Recital 15

  17) It is necessary to specify procedures for accepting undertakings which eliminate dumping and injury  instead  of  imposing  provisional  or
      definitive duties. It is also appropriate to lay down the consequences of breach or withdrawal of undertakings and that provisional  duties
      may be imposed in cases of suspected violation or where further investigation  is  necessary  to  supplement  the  findings.  In  accepting
      undertakings, care should be taken that the proposed undertakings, and their enforcement, do not lead to anti-competitive behaviour.

                                            ê 384/96 Recital 16

  18) It is necessary to provide that the termination of cases should, irrespective of whether definitive measures are adopted or  not,  normally
      take place within 12 months, and in no case later than 15 months, from the initiation of the investigation. Investigations  or  proceedings
      should be terminated where the dumping is de minimis or the injury is negligible, and it  is  appropriate  to  define  those  terms.  Where
      measures are to be imposed, it is necessary to provide for the termination of investigations and to lay down that measures should  be  less
      than the margin of dumping if such lesser amount would remove the injury, as well as to specify the method  of  calculating  the  level  of
      measures in cases of sampling.

                                            ê 384/96 Recital 17

  19) It is necessary to provide for retroactive collection of provisional duties if that is deemed appropriate and to define  the  circumstances
      which may trigger the retroactive application of duties to avoid the undermining of the definitive measures  to  be  applied.  It  is  also
      necessary to provide that duties may be applied retroactively in cases of breach or withdrawal of undertakings.

                                            ê 384/96 Recital 18

  20) It is necessary to provide that measures are to lapse after five years unless a review indicates that they should be maintained. It is also
      necessary to provide, in cases where sufficient evidence is submitted of changed circumstances, for interim reviews or  for  investigations
      to determine whether refunds of anti-dumping duties are warranted. It is also appropriate to lay down that in any recalculation of  dumping
      which necessitates a reconstruction of export prices, duties are not to be treated as a cost incurred between importation and resale  where
      the said duty is being reflected in the prices of the products subject to measures in the Community.

                                            ê 384/96 Recital 19

  21) It is necessary to provide specifically for the reassessment of export prices and dumping margins where the duty is being absorbed  by  the
      exporter through a form of compensatory arrangement and the measures are not being reflected in the  prices  of  the  products  subject  to
      measures in the Community.

                                            ê 384/96 Recital 20 (adapted)

  22) The 1994 Anti-Dumping Agreement does not contain provisions regarding the circumvention of anti-dumping measures, though a separate Ö WTO Õ
      Ministerial Decision recognizes circumvention as a problem and has referred it to the Ö WTO Õ Anti-dumping Committee for resolution.  Given
      the failure of the multilateral negotiations so far and pending the outcome of the referral to the Ö WTO Õ Anti-Dumping  Committee,  it  is
      necessary to introduce provisions into Community legislation to deal with practices, including mere assembly of goods in the Community or a
      third country, which have as their main aim the circumvention of anti-dumping measures.

                                            ê 461/2004 Recital 24 (adapted)

  23) It is also desirable to clarify which practices constitute circumvention of the measures in place. Circumvention practices may  take  place
      either inside or outside the Community. It is consequently necessary to provide that exemptions from the extended duties which may  already
      be granted to importers may also be granted to exporters when duties are being extended to address circumvention taking place  outside  the
      Community.

                                            ê 384/96 Recital 21

  24) It is expedient to permit suspension of anti-dumping measures where there is a temporary  change  in  market  conditions  which  makes  the
      continued imposition of such measures temporarily inappropriate.

                                            ê 384/96 Recital 22

  25) It is necessary to provide that imports under investigation may be made subject  to  registration  upon  importation  in  order  to  enable
      measures to be applied subsequently against such imports.

                                            ê 384/96 Recital 23

  26) In order to ensure proper enforcement of measures, it is necessary that Member States monitor, and report to  the  Commission,  the  import
      trade of products subject to investigation or subject to measures, and also the amount of duties collected under this Regulation.

                                            ê 384/96 Recital 24

  27) It is necessary to provide for consultation of an Advisory Committee at regular and specified stages of the  investigation.  The  Committee
      should consist of representatives of Member States with a representative of the Commission as chairman.

                                            ê 461/2004 Recital 17 (adapted)

  28) Information provided to Member States in the Advisory Committee is often of a highly technical nature and involves  an  elaborate  economic
      and legal analysis. In order to provide Member States with sufficient time to  consider  this  information,  it  should  be  sent  at  Ö an
      appropriate time Õ before the date of a meeting set by the Chairman of the Advisory Committee.

                                            ê 384/96 Recital 25

  29) It is expedient to provide for verification visits to check information submitted on  dumping  and  injury,  such  visits  being,  however,
      conditional on proper replies to questionnaires being received.

                                            ê 384/96 Recital 26

  30) It is essential to provide for sampling in cases where the number of parties or transactions is large in  order  to  permit  completion  of
      investigations within the appointed time limits.

                                            ê 384/96 Recital 27

  31) It is necessary to provide that where parties do not cooperate satisfactorily other information may be used to establish findings and  that
      such information may be less favourable to the parties than if they had cooperated.

                                            ê 384/96 Recital 28

  32) Provision should be made for the treatment of confidential information so that business secrets are not divulged.

                                            ê 384/96 Recital 29

  33) It is essential that provision be made for proper disclosure of essential facts and  considerations  to  parties  which  qualify  for  such
      treatment and that such disclosure be made, with due regard to the decision-making process in the Community, within  a  time  period  which
      permits parties to defend their interests.

                                            ê 384/96 Recital 30

  34) It is prudent to provide for an administrative system under which arguments can be presented as to whether measures are  in  the  Community
      interest, including the consumers' interest, and to lay down the time periods within which such information has to be presented as well  as
      the disclosure rights of the parties concerned,

                                            ê 384/96

HAS ADOPTED THIS REGULATION:

                                                                    Article 1

                                                                    Principles

1. An anti-dumping duty may be applied to any dumped product whose release for free circulation in the Community causes injury.

2. A product is to be considered as being dumped if its export price to the Community is less than a comparable price for the  like  product,  in
the ordinary course of trade, as established for the exporting country.

3. The exporting country shall normally be the country of origin. However, it may be an intermediate country,  except  where,  for  example,  the
products are merely transhipped through that country, or the products concerned are not produced in that  country,  or  there  is  no  comparable
price for them in that country.

4. For the purpose of this Regulation, the term ‘like product’ shall be interpreted to mean a product which is identical, that is to  say,  alike
in all respects, to the product under consideration, or in the absence of such a product,  another  product  which  although  not  alike  in  all
respects, has characteristics closely resembling those of the product under consideration.

                                                                    Article 2

                                                             Determination of dumping

                                                                 A. NORMAL VALUE

1. The normal value shall normally be based on the prices paid or payable, in the ordinary course of  trade,  by  independent  customers  in  the
exporting country.

However, where the exporter in the exporting country does not produce or does not sell the like product, the normal value may be  established  on
the basis of prices of other sellers or producers.

Prices between parties which appear to be associated or to have a compensatory arrangement with each other may not be considered  to  be  in  the
ordinary course of trade and may not be used to establish normal value unless it is determined that they are unaffected by the relationship.

                                            ê 1972/2002 Art. 1 pt. 1

In order to determine whether two parties are associated account may be taken of the definition of related parties set  out  in  Article  143  of
Commission Regulation (EEC) 2454/93[9].

                                            ê 384/96

2. Sales of the like product intended for domestic consumption shall normally be used to determine normal value if such sales volume  constitutes
5 % or more of the sales volume of the product under consideration to the Community. However, a lower volume of  sales  may  be  used  when,  for
example, the prices charged are considered representative for the market concerned.

3. When there are no or insufficient sales of the like product in the ordinary course of  trade,  or  where  because  of  the  particular  market
situation such sales do not permit a proper comparison, the normal value of the like product shall be calculated on the  basis  of  the  cost  of
production in the country of origin plus a reasonable amount for selling, general and administrative costs and for profits, or on  the  basis  of
the export prices, in the ordinary course of trade, to an appropriate third country, provided that those prices are representative.

                                            ê 1972/2002 Art. 1 pt. 2

A particular market situation for the product concerned within the meaning of the preceding sentence may be deemed to  exist,  inter  alia,  when
prices are artificially low, when there is significant barter trade, or when there are non-commercial processing arrangements.

                                            ê 384/96

4. Sales of the like product in the domestic market of the exporting country,  or  export  sales  to  a  third  country,  at  prices  below  unit
production costs (fixed and variable) plus selling, general and administrative costs may be treated as not being in the ordinary course of  trade
by reason of price, and may be disregarded in determining normal value, only if it is determined that such sales  are  made  within  an  extended
period in substantial quantities, and are at prices which do not provide for the recovery of all costs within a reasonable period of time.

If prices which are below costs at the time of sale are above weighted average costs for the  period  of  investigation,  such  prices  shall  be
considered to provide for recovery of costs within a reasonable period of time.

The extended period of time shall normally be one year but shall in no case be less  than  six  months,  and  sales  below  unit  cost  shall  be
considered to be made in substantial quantities within such a period when it is established that the weighted average selling price is below  the
weighted average unit cost, or that the volume of sales below unit cost is not less than 20 % of sales being used to determine normal value.

5. Costs shall normally be calculated on the basis of records kept  by  the  party  under  investigation,  provided  that  such  records  are  in
accordance with the generally accepted accounting principles of the country concerned and that it is shown that the  records  reasonably  reflect
the costs associated with the production and sale of the product under consideration.

                                            ê 1972/2002 Art. 1 pt. 3

If costs associated with the production and sale of the product under investigation are not reasonably reflected in  the  records  of  the  party
concerned, they shall be adjusted or established on the basis of the costs of other producers or exporters in the same  country  or,  where  such
information is not available or cannot be used, on any other reasonable basis, including information from other representative markets.

                                            ê 384/96

Consideration shall be given to evidence submitted on the proper allocation of costs, provided that it is shown that such allocations  have  been
historically utilized. In the absence of a more appropriate method, preference shall be given  to  the  allocation  of  costs  on  the  basis  of
turnover. Unless already reflected in the cost allocations under this  subparagraph,  costs  shall  be  adjusted  appropriately  for  those  non-
recurring items of cost which benefit future and/or current production.

Where the costs for part of the period for cost recovery are affected by the use of new production facilities  requiring  substantial  additional
investment and by low capacity utilization rates, which are the result of start-up operations which take place  within  or  during  part  of  the
investigation period, the average costs for the start-up phase shall be those applicable, under the abovementioned allocation rules, at  the  end
of such a phase, and shall be included at that level, for the period concerned, in the weighted average costs referred  to  in  the  second  sub-
paragraph of paragraph 4. The length of a start-up phase shall be determined in relation  to  the  circumstances  of  the  producer  or  exporter
concerned, but shall not exceed an appropriate initial portion of the period for cost recovery. For this adjustment to  costs  applicable  during
the investigation period, information relating to a start-up phase which extends beyond that period shall be  taken  into  account  where  it  is
submitted prior to verification visits and within three months of the initiation of the investigation.

6. The amounts for selling, for general and administrative costs and for profits shall be based on  actual  data  pertaining  to  production  and
sales, in the ordinary course of trade, of the like product, by the exporter or  producer  under  investigation.  When  such  amounts  cannot  be
determined on this basis, the amounts may be determined on the basis of:

(a)   the weighted average of the actual amounts determined for other exporters or producers subject to investigation in  respect  of  production
       and sales of the like product in the domestic market of the country of origin;

(b)   the actual amounts applicable to production and sales, in the ordinary course of trade, of the same general category of  products  for  the
       exporter or producer in question in the domestic market of the country of origin;

(c)   any other reasonable method, provided that the amount for profit so established shall not exceed the  profit  normally  realized  by  other
       exporters or producers on sales of products of the same general category in the domestic market of the country of origin.

                                            ê 905/98 Art. 1
                                            è1 2238/2000 Art. 1

7.    (a)   In the case of imports from non-market economy countriesè1 ç, normal value  shall  be  determined  on  the  basis  of  the  price  or
           constructed value in a market economy third country, or the price from such  a  third  country  to  other  countries,  including  the
           Community, or where those are not possible, on any other reasonable basis, including the  price  actually  paid  or  payable  in  the
           Community for the like product, duly adjusted if necessary to include a reasonable profit margin.

            An appropriate market economy third country shall be selected in a not unreasonable manner, due account being taken of  any  reliable
           information made available at the time of selection. Account shall also be taken of time limits; where appropriate, a market  economy
           third country which is subject to the same investigation shall be used.

            The parties to the investigation shall be informed shortly after its initiation of the market economy  third  country  envisaged  and
           shall be given 10 days to comment.

                                            ê 2238/2000 Art. 1
                                            è1 2117/2006

       (b)  In anti-dumping investigations concerning imports from the People's Republic of China, è1 [10] ç, Vietnam and Kazakhstan and any non-
           market-economy country which is a member of the WTO at the date of  the  initiation  of  the  investigation,  normal  value  will  be
           determined in accordance with paragraphs 1 to 6, if it is shown, on the basis  of  properly  substantiated  claims  by  one  or  more
           producers subject to the investigation and in accordance with the criteria and procedures set out in  subparagraph  (c)  that  market
           economy conditions prevail for this producer or producers in respect of the manufacture and sale of the like product concerned.  When
           this is not the case, the rules set out under subparagraph (a) shall apply.

                                            ê 905/98 Art.1

       (c)  A claim under subparagraph (b) must be made in writing and contain sufficient  evidence  that  the  producer  operates  under  market
           economy conditions, that is if:

              – decisions of firms regarding prices, costs and inputs, including for instance raw  materials,  cost  of  technology  and  labour,
                output, sales and investment, are made in response to market signals reflecting supply and demand, and without significant  State
                interference in this regard, and costs of major inputs substantially reflect market values,

              – firms have one clear set of basic accounting records which are  independently  audited  in  line  with  international  accounting
                standards and are applied for all purposes,

              – the production costs and financial situation of firms are not subject to significant distortions carried  over  from  the  former
                non-market economy system, in particular in relation to depreciation of assets, other write-offs, barter trade  and  payment  via
                compensation of debts,

              – the firms concerned are subject to bankruptcy and property laws which guarantee legal certainty and stability for  the  operation
                of firms, and

              – exchange rate conversions are carried out at the market rate.

            A determination whether the producer meets the abovementioned criteria shall be made within three months of  the  initiation  of  the
           investigation, after specific consultation of the Advisory Committee and after the Community industry has been given  an  opportunity
           to comment. This determination shall remain in force throughout the investigation.

                                            ê 384/96

                                                                 B. EXPORT PRICE

8. The export price shall be the price actually paid or payable for the  product  when  sold  for  export  from  the  exporting  country  to  the
Community.

9. In cases where there is no export price or where it appears that the export price is unreliable because of an association  or  a  compensatory
arrangement between the exporter and the importer or a third party, the export price may be constructed on the basis of the price  at  which  the
imported products are first resold to an independent buyer, or, if the products are not resold to an independent buyer, or are not resold in  the
condition in which they were imported, on any reasonable basis.

In these cases, adjustment for all costs, including duties and taxes, incurred between importation and resale, and for  profits  accruing,  shall
be made so as to establish a reliable export price, at the Community frontier level.

The items for which adjustment shall be made shall include those normally borne by an importer but paid by any party, either  inside  or  outside
the Community, which appears to be associated or to have a compensatory arrangement with the importer or  exporter,  including  usual  transport,
insurance, handling, loading and ancillary costs; customs duties, any anti-dumping duties, and other taxes payable in the  importing  country  by
reason of the importation or sale of the goods; and a reasonable margin for selling, general and administrative costs and profit.

                                                                  C. COMPARISON

10. A fair comparison shall be made between the export price and the normal value. This comparison shall be made at the same level of  trade  and
in respect of sales made at as nearly as  possible  the  same  time  and  with  due  account  taken  of  other  differences  which  affect  price
comparability. Where the normal value and the export price as established are not on such a comparable  basis  due  allowance,  in  the  form  of
adjustments, shall be made in each case, on its merits, for differences in factors which are claimed, and  demonstrated,  to  affect  prices  and
price comparability. Any duplication when making adjustments shall be avoided, in particular in relation to discounts,  rebates,  quantities  and
level of trade. When the specified conditions are met, the factors for which adjustment can be made are listed as follows:

(a)   Physical characteristics

      An adjustment shall be made for differences in the physical characteristics of the product concerned. The amount of  the  adjustment  shall
       correspond to a reasonable estimate of the market value of the difference.

(b)   Import charges and indirect taxes

      An adjustment shall be made to normal value for an amount corresponding to any import charges or indirect taxes borne by the  like  product
       and by materials physically incorporated therein, when intended for consumption in the exporting country and not collected or refunded  in
       respect of the product exported to the Community.

(c)   Discounts, rebates and quantities

      An adjustment shall be made for differences in discounts and rebates, including those given for differences in  quantities,  if  these  are
       properly quantified and are directly linked to the sales under consideration. An adjustment may also be made for  deferred  discounts  and
       rebates if the claim is based on consistent practice in prior periods, including compliance with the conditions required  to  qualify  for
       the discount or rebates.

                                            ê 2331/96 Art. 1 pt. 1

(d)   Level of trade

       (i)  An adjustment for differences in levels of trade, including any differences which may arise in OEM (Original Equipment  Manufacturer)
           sales, shall be made where, in relation to the distribution chain in both markets, it is shown that the  export  price,  including  a
           constructed export price, is at a different level of trade from the normal value and the difference has affected price  comparability
           which is demonstrated by consistent and distinct differences in functions and prices of the seller for the different levels of  trade
           in the domestic market of the exporting country. The amount of the adjustment shall be based on the market value of the difference.

       (ii) However, in circumstances not envisaged under (i), when an existing difference in level of trade cannot be quantified because of  the
           absence of the relevant levels on the domestic market of the exporting countries, or where certain functions  are  shown  clearly  to
           relate to levels of trade other than the one which is to be used in the comparison, a special adjustment may be granted.

                                            ê 384/96

(e)   Transport, insurance, handling, loading and ancillary costs

      An adjustment shall be made for differences in the directly related costs incurred for conveying the product concerned  from  the  premises
       of the exporter to an independent buyer, where such costs are included in  the  prices  charged.  Those  costs  shall  include  transport,
       insurance, handling, loading and ancillary costs.

(f)   Packing

      An adjustment shall be made for differences in the directly related packing costs for the product concerned.

(g)   Credit

      An adjustment shall be made for differences in the cost of any credit granted for the sales under consideration,  provided  that  it  is  a
       factor taken into account in the determination of the prices charged.

(h)   After-sales costs

      An adjustment shall be made for differences in the direct costs of providing warranties, guarantees, technical assistance and services,  as
       provided for by law and/or in the sales contract.

(i)   Commissions

      An adjustment shall be made for differences in commissions paid in respect of the sales under consideration.

                                            ê 1972/2002 Art. 1 pt. 5

      The term ‘commissions’ shall be understood to include the mark-up received by a trader of the product or the like product if the  functions
       of such a trader are similar to those of an agent working on a commission basis.

                                            ê 384/96

(j)   Currency conversions

      When the price comparison requires a conversion of currencies, such conversion shall be made using the rate of  exchange  on  the  date  of
       sale, except that when a sale of foreign currency on forward markets is directly linked to the export sale involved, the rate of  exchange
       in the forward sale shall be used. Normally, the date of sale shall be the date of invoice but the date of  contract,  purchase  order  or
       order confirmation may be used if these more appropriately establish the material terms of sale. Fluctuations in exchange rates  shall  be
       ignored and exporters shall be granted 60 days to reflect a sustained movement in exchange rates during the investigation period.

                                            ê 2331/96 Art. 1 pt. 2

(k)   Other factors

      An adjustment may also be made for differences in other factors not provided for under subparagraphs (a) to (j) if it is demonstrated  that
       they affect price comparability as required under this paragraph, in particular that customers consistently pay different  prices  on  the
       domestic market because of the difference in such factors.

                                            ê 384/96

                                                                D. DUMPING MARGIN

11. Subject to the relevant provisions governing fair comparison, the existence of margins of  dumping  during  the  investigation  period  shall
normally be established on the basis of a comparison of a weighted average normal  value  with  a  weighted  average  of  prices  of  all  export
transactions to the Community, or by a comparison of individual normal values and individual export prices to the Community on a  transaction-to-
transaction basis. However, a normal value established on a  weighted  average  basis  may  be  compared  to  prices  of  all  individual  export
transactions to the Community, if there is a pattern of export prices which differs significantly among different  purchasers,  regions  or  time
periods, and if the methods specified in the first sentence of this paragraph would not reflect the full degree of dumping being practised.  This
paragraph shall not preclude the use of sampling in accordance with Article 17.

12. The dumping margin shall be the amount by which the normal value exceeds the export price. Where dumping margins  vary,  a  weighted  average
dumping margin may be established.

                                                                    Article 3

                                                             Determination of injury

1. Pursuant to this Regulation, the term ‘injury’ shall, unless otherwise specified, be taken to mean material injury to the Community  industry,
threat of material injury to the Community industry or material retardation of the establishment of such an industry and shall be interpreted  in
accordance with the provisions of this Article.

2. A determination of injury shall be based on positive evidence and shall involve an objective examination of both:

(a)   the volume of the dumped imports and the effect of the dumped imports on prices in the Community market for like products; and

(b)   the consequent impact of those imports on the Community industry.

3. With regard to the volume of the dumped imports, consideration shall be given to whether there has  been  a  significant  increase  in  dumped
imports, either in absolute terms or relative to production or consumption in the Community. With regard to the effect of the dumped  imports  on
prices, consideration shall be given to whether there has been significant price undercutting by the dumped imports as compared  with  the  price
of a like product of the Community industry, or whether the effect of such imports is otherwise to depress prices  to  a  significant  degree  or
prevent price increases, which would otherwise have occurred, to a significant degree. No one or more  of  these  factors  can  necessarily  give
decisive guidance.

4. Where imports of a product from more than one country are simultaneously subject to anti-dumping investigations, the effects of  such  imports
shall be cumulatively assessed only if it is determined that:

(a)   the margin of dumping established in relation to the imports from each country is more than de minimis as defined in Article 9(3) and  that
       the volume of imports from each country is not negligible; and

(b)   a cumulative assessment of the effects of the imports is appropriate in light of the conditions of competition  between  imported  products
       and the conditions of competition between the imported products and the like Community product.

5. The examination of the impact of the dumped imports on the Community industry concerned shall include an evaluation of all  relevant  economic
factors and indices having a bearing on the state of the industry, including the fact that an industry is still  in  the  process  of  recovering
from the effects of past dumping or subsidization, the magnitude of the actual  margin  of  dumping,  actual  and  potential  decline  in  sales,
profits, output, market share, productivity, return on investments, utilization of capacity;  factors  affecting  Community  prices;  actual  and
potential negative effects on cash flow, inventories, employment, wages, growth, ability to raise  capital  or  investments.  This  list  is  not
exhaustive, nor can any one or more of these factors necessarily give decisive guidance.

6. It must be demonstrated, from all the relevant evidence presented in relation to paragraph 2, that  the  dumped  imports  are  causing  injury
within the meaning of this Regulation. Specifically, this shall entail a demonstration that the volume and/or price  levels  identified  pursuant
to paragraph 3 are responsible for an impact on the Community industry as provided for in paragraph 5, and that this impact exists  to  a  degree
which enables it to be classified as material.

7. Known factors other than the dumped imports which at the same time are injuring the Community industry shall also be examined to  ensure  that
injury caused by these other factors is not attributed to the dumped imports under paragraph 6. Factors which may be considered in  this  respect
include the volume and prices of imports not sold at  dumping  prices,  contraction  in  demand  or  changes  in  the  patterns  of  consumption,
restrictive trade practices of, and competition between, third country and  Community  producers,  developments  in  technology  and  the  export
performance and productivity of the Community industry.

8. The effect of the dumped imports shall be assessed in relation to the production of the Community industry of the like product when  available
data permit the separate identification of that production on the basis of  such  criteria  as  the  production  process,  producers'  sales  and
profits. If such separate identification of that production is not possible, the effects of the dumped imports shall be assessed  by  examination
of the production of the narrowest group or range of products, which includes the like product,  for  which  the  necessary  information  can  be
provided.

9. A determination of a threat of material injury shall be based on facts and not merely on allegation, conjecture  or  remote  possibility.  The
change in circumstances which would create a situation in which the dumping would cause injury must be clearly foreseen and imminent.

In making a determination regarding the existence of a threat of material injury, consideration should be given to such factors as:

(a)   a significant rate of increase of dumped imports into the Community market indicating the likelihood of substantially increased imports;

(b)   sufficient freely disposable capacity of the exporter or an imminent and substantial increase in such capacity  indicating  the  likelihood
       of substantially increased dumped exports to the Community, account being taken of the availability of other export markets to absorb  any
       additional exports;

(c)   whether imports are entering at prices that would, to a significant degree, depress prices  or  prevent  price  increases  which  otherwise
       would have occurred, and would probably increase demand for further imports; and

(d)   inventories of the product being investigated.

No one of the factors listed above by itself can necessarily give decisive guidance but the totality of the factors considered must lead  to  the
conclusion that further dumped exports are imminent and that, unless protective action is taken, material injury will occur.

                                                                    Article 4

                                                         Definition of Community industry

1. For the purposes of this Regulation, the term ‘Community industry’ shall be interpreted as referring to the Community producers as a whole  of
the like products or to those of them whose collective output of the products constitutes a major proportion, as defined in Article 5(4), of  the
total Community production of those products, except that:

(a)   when producers are related to the exporters or importers or are themselves importers of the allegedly dumped product, the  term  ‘Community
       industry’ may be interpreted as referring to the rest of the producers;

(b)   in exceptional circumstances the territory of the Community may, for the production in question, be divided into two  or  more  competitive
       markets and the producers within each market may be regarded as a separate industry if:

       (i)  the producers within such a market sell all or almost all of their production of the product in question in that market,; and

       (ii) the demand in that market is not to any substantial degree supplied by producers of the product in question located elsewhere in  the
           Community. In such circumstances, injury may be found to exist even where a major portion of the total Community industry the  demand
           is not injured, provided there is a concentration of dumped imports into such an isolated market and provided further that the dumped
           imports are causing injury to the producers of all or almost all of the production within such a market.

2. For the purpose of paragraph 1, producers shall be considered to be related to exporters or importers only if:

(a)   one of them directly or indirectly controls the other; or

(b)   both of them are directly or indirectly controlled by a third person; or

(c)   together they directly or indirectly control a third person provided that there are grounds for believing or suspecting that the effect  of
       the relationship is such as to cause the producer concerned to behave differently from non-related producers.

For the purpose of this paragraph, one shall be deemed to control another when the former is legally or operationally in a position  to  exercise
restraint or direction over the latter.

3. Where the Community industry has been interpreted as referring to the producers  in  a  certain  region,  the  exporters  shall  be  given  an
opportunity to offer undertakings pursuant to Article 8 in respect of the  region  concerned.  In  such  cases,  when  evaluating  the  Community
interest of the measures, special account shall be taken of the interest of the region. If an adequate undertaking is  not  offered  promptly  or
the situations set out in Article 8(9) and (10) apply, a provisional or definitive duty may be imposed in respect of the Community  as  a  whole.
In such cases, the duties may, if practicable, be limited to specific producers or exporters.

4. The provisions of Article 3(8) shall be applicable to this Article.

                                                                    Article 5

                                                            Initiation of proceedings

1. Except as provided for in paragraph 6, an investigation to determine the existence,  degree  and  effect  of  any  alleged  dumping  shall  be
initiated upon a written complaint by any natural or legal person, or any association not having legal  personality,  acting  on  behalf  of  the
Community industry.

The complaint may be submitted to the Commission, or to a Member State, which shall forward it to  the  Commission.  The  Commission  shall  send
Member States a copy of any complaint it receives. The complaint shall be deemed to have been lodged on  the  first  working  day  following  its
delivery to the Commission by registered mail or the issuing of an acknowledgement of receipt by the Commission.

Where, in the absence of any complaint, a Member State is in possession of sufficient  evidence  of  dumping  and  of  resultant  injury  to  the
Community industry, it shall immediately communicate such evidence to the Commission.

2. A complaint under paragraph 1 shall include evidence of dumping, injury and a causal  link  between  the  allegedly  dumped  imports  and  the
alleged injury. The complaint shall contain such information as is reasonably available to the complainant on the following:

(a)   identity of the complainant and a description of the volume and value of the Community production of the like product by  the  complainant.
       Where a written complaint is made on behalf of the Community industry, the complaint shall identify the industry on behalf  of  which  the
       complaint is made by a list of all known Community producers of the like product (or associations  of  Community  producers  of  the  like
       product) and, to the extent possible, a description of the volume and value of Community production of the like product accounted  for  by
       such producers;

(b)   a complete description of the allegedly dumped product, the names of the country  or  countries  of  origin  or  export  in  question,  the
       identity of each known exporter or foreign producer and a list of known persons importing the product in question;

(c)   information on prices at which the product in question is sold when destined for consumption in the domestic  markets  of  the  country  or
       countries of origin or export (or, where appropriate, information on the prices at which the product is sold from the country or countries
       of origin or export to a third country or countries or on the constructed value of the product) and information on export prices or, where
       appropriate, on the prices at which the product is first resold to an independent buyer in the Community;

(d)   information on changes in the volume of the allegedly dumped imports, the effect of those imports on prices of  the  like  product  on  the
       Community market and the consequent impact of the imports on the Community industry, as  demonstrated  by  relevant  factors  and  indices
       having a bearing on the state of the Community industry, such as those listed in Article 3(3) and (5).

3. The Commission shall, as far as possible, examine the accuracy and adequacy of the evidence provided in the  complaint  to  determine  whether
there is sufficient evidence to justify the initiation of an investigation.

4. An investigation shall not be initiated pursuant to paragraph 1 unless it has been determined, on the  basis  of  an  examination  as  to  the
degree of support for, or opposition to, the complaint expressed by Community producers of the like product, that the complaint has been made  by
or on behalf of the Community industry. The complaint shall be considered to have been made by or on behalf of the Community industry  if  it  is
supported by those Community producers whose collective output constitutes more than 50 % of the total production of the  like  product  produced
by that portion of the Community industry expressing either support for or opposition to  the  complaint.  However,  no  investigation  shall  be
initiated when Community producers expressly supporting the complaint account for less  than  25 %  of  total  production  of  the  like  product
produced by the Community industry.

5. The authorities shall avoid, unless a decision has been made to initiate an investigation,  any  publicising  of  the  complaint  seeking  the
initiation of an investigation. However, after receipt of a properly documented complaint and before proceeding  to  initiate  an  investigation,
the government of the exporting country concerned shall be notified.

6. If in special circumstances, it is decided to initiate an investigation without having received a written complaint by or  on  behalf  of  the
Community industry for the initiation of such investigation, this shall be done on the basis of sufficient evidence  of  dumping,  injury  and  a
causal link, as described in paragraph 2, to justify such initiation.

7. The evidence of both dumping and injury shall be considered simultaneously in the decision on whether or not to initiate an  investigation.  A
complaint shall be rejected where there is insufficient evidence of either dumping or of injury to justify proceeding with the case.  Proceedings
shall not be initiated against countries whose imports represent a market share of below 1 %, unless such countries collectively account for  3 %
or more of Community consumption.

8. The complaint may be withdrawn prior to initiation, in which case it shall be considered not to have been lodged.

9. Where, after consultation, it is apparent that there is sufficient evidence to justify initiating a proceeding, the  Commission  shall  do  so
within 45 days of the lodging of the complaint and shall publish a notice in the Official Journal  of  the  European  Union.  Where  insufficient
evidence has been presented, the complainant shall, after consultation, be so informed within 45 days of the  date  on  which  the  complaint  is
lodged with the Commission.

10. The notice of initiation of the proceedings shall announce the initiation of an investigation, indicate the product and countries  concerned,
give a summary of the information received, and provide that all relevant information is to be communicated to the  Commission;  it  shall  state
the periods within which interested parties may make themselves known, present their views in writing and submit information if  such  views  and
information are to be taken into account during the investigation; it shall also state the period within which interested parties  may  apply  to
be heard by the Commission in accordance with Article 6(5).

11. The Commission shall advise the exporters, importers and representative associations of importers or exporters known to it to  be  concerned,
as well as representatives of the exporting country and the complainants, of the initiation of the  proceedings  and,  with  due  regard  to  the
protection of confidential information, provide the full text of the written complaint received pursuant to paragraph 1 to  the  known  exporters
and to the authorities of the exporting country, and make it available upon request to other interested parties involved.  Where  the  number  of
exporters involved is particularly high, the full text of the written complaint may instead be provided only to the authorities of the  exporting
country or to the relevant trade association.

12. An anti-dumping investigation shall not hinder the procedures of customs clearance.

                                                                    Article 6

                                                                The investigation

1. Following the initiation of the proceeding, the Commission, acting in cooperation with the Member States, shall commence an  investigation  at
Community level. Such investigation shall cover both dumping and injury and these shall be investigated simultaneously.  For  the  purpose  of  a
representative finding, an investigation period shall be selected which, in the case of dumping shall, normally, cover a period of not less  than
six months immediately prior to the initiation of the proceeding. Information relating to a period subsequent to the investigation period  shall,
normally, not be taken into account.

2. Parties receiving questionnaires used in an anti-dumping investigation shall be given at least 30 days to reply. The time limit for  exporters
shall be counted from the date of receipt of the questionnaire, which for this purpose shall be deemed to have been received one  week  from  the
day on which it was sent to the exporter or transmitted to the appropriate diplomatic representative of the exporting country.  An  extension  to
the 30 day period may be granted, due account being taken of the time limits of the investigation, provided that the party shows  due  cause  for
such extension, in terms of its particular circumstances.

3. The Commission may request Member States to supply information, and Member States shall take whatever steps are necessary  in  order  to  give
effect to such requests. They shall send to the Commission the information requested together within the results of all  inspections,  checks  or
investigations carried out. Where this information is of general interest or where its transmission has been requested by  a  Member  State,  the
Commission shall forward it to the Member States, provided it is not confidential, in which case a non-confidential summary shall be forwarded.

4. The Commission may request Member States to carry out all necessary checks  and  inspections,  particularly  amongst  importers,  traders  and
Community producers, and to carry out investigations in third countries, provided that the firms  concerned  give  their  consent  and  that  the
government of the country in question has been officially notified and  raises  no  objection.  Member  States  shall  take  whatever  steps  are
necessary in order to give effect to such requests from the Commission. Officials of the Commission shall be authorized, if the Commission  or  a
Member State so requests, to assist the officials of Member States in carrying out their duties.

5. The interested parties which have made themselves known in accordance with Article 5(10) shall be  heard  if  they  have,  within  the  period
prescribed in the notice published in the Official Journal of the European Union, made a written request for a hearing showing that they  are  an
interested party likely to be affected by the result of the proceeding and that there are particular reasons why they should be heard.

6. Opportunities shall, on request, be provided for the importers, exporters, representatives of the government of the exporting country and  the
complainants, which have made themselves known in accordance with Article 5(10), to meet those parties with adverse interests, so  that  opposing
views may be presented and rebuttal arguments offered. Provision of such opportunities must take account of the need to preserve  confidentiality
and of the convenience to the parties. There shall be no obligation on any party to attend  a  meeting,  and  failure  to  do  so  shall  not  be
prejudicial to that party's case. Oral information provided under this paragraph shall be taken into account in so  far  as  it  is  subsequently
confirmed in writing.

7. The complainants, importers and exporters and their representative associations, users and consumer organizations, which have made  themselves
known in accordance with Article 5(10), as well as the  representatives  of  the  exporting  country  may,  upon  written  request,  inspect  all
information made available by any party to an investigation, as distinct from internal documents prepared by the authorities of the Community  or
its Member States, which is relevant to the presentation of their cases and not confidential within the meaning of Article 19,  and  that  it  is
used in the investigation. Such parties may respond to such information and their comments shall be taken into consideration, wherever  they  are
sufficiently substantiated in the response.

8. Except in the circumstances provided for in Article 18, the information which is supplied by interested parties and upon  which  findings  are
based shall be examined for accuracy as far as possible.

9. For proceedings initiated pursuant to Article 5(9), an investigation shall, whenever possible, be concluded within one  year.  In  any  event,
such investigations shall in all cases be concluded within 15 months of initiation, in accordance with the findings made pursuant  to  Article  8
for undertakings or the findings made pursuant to Article 9 for definitive action.

                                                                    Article 7

                                                               Provisional measures

1. Provisional duties may be imposed if proceedings have been initiated in accordance with Article 5, if a notice has been given to  that  effect
and interested parties have been given adequate opportunities to submit information and make comments in accordance  with  Article  5(10),  if  a
provisional affirmative determination has been made of dumping and consequent injury to the Community industry, and  if  the  Community  interest
calls for intervention to prevent such injury. The provisional duties shall be imposed no earlier  than  60  days  from  the  initiation  of  the
proceedings but not later than nine months from the initiation of the proceedings.

2. The amount of the provisional anti-dumping duty shall not exceed the margin of dumping as provisionally established, but  it  should  be  less
than the margin if such lesser duty would be adequate to remove the injury to the Community industry.

3. Provisional duties shall be secured by a guarantee, and the release of the products concerned for free circulation in the Community  shall  be
conditional upon the provision of such guarantee.

4. The Commission shall take provisional action after consultation or, in cases of extreme urgency, after informing the Member  States.  In  this
latter case, consultations shall take place 10 days, at the latest, after  notification  to  the  Member  States  of  the  action  taken  by  the
Commission.

5. Where a Member State requests immediate intervention by the Commission and where the conditions in paragraph 1 are met, the  Commission  shall
within a maximum of five working days of receipt of the request, decide whether a provisional anti-dumping duty shall be imposed.

6. The Commission shall forthwith inform the Council and the Member States of any decision taken under paragraphs 1 to 5. The Council, acting  by
a qualified majority, may decide differently.

7. Provisional duties may be imposed for six months and extended for a further three months or they may be  imposed  for  nine  months.  However,
they may only be extended, or imposed for a nine-month period, where exporters representing a significant percentage of  the  trade  involved  so
request or do not object upon notification by the Commission.

                                                                    Article 8

                                                                   Undertakings

                                            ê 461/2004 Art. 1 pt. 1

1. Upon condition that a provisional affirmative determination of dumping and injury has  been  made,  the  Commission  may  accept  satisfactory
voluntary undertaking offers submitted by any exporter to  revise  its  prices  or  to  cease  exports  at  dumped  prices,  if,  after  specific
consultation of the Advisory Committee, it is satisfied that the injurious effect of the dumping is thereby eliminated. In such  a  case  and  as
long as such undertakings are in force, the provisional duties imposed by the Commission in  accordance  with  Article  7(1)  or  the  definitive
duties imposed by the Council in accordance with Article 9(4) as the case may be  shall  not  apply  to  the  relevant  imports  of  the  product
concerned manufactured by the companies referred to in the Commission decision accepting undertakings, as subsequently amended.  Price  increases
under such undertakings shall not be higher than necessary to eliminate the margin of dumping and they should be less than the margin of  dumping
if such increases would be adequate to remove the injury to the Community industry.

                                            ê 384/96

2. Undertakings may be suggested by the Commission, but no exporter shall be obliged to enter into such an undertaking. The fact  that  exporters
do not offer such undertakings, or do not accept an invitation to do so, shall in no way prejudice consideration of the case. However, it may  be
determined that a threat of injury is more likely to be realized if the dumped imports continue. Undertakings shall not  be  sought  or  accepted
from exporters unless a provisional affirmative determination of dumping and injury caused by such dumping has been  made.  Save  in  exceptional
circumstances, undertakings may not be offered later than the end of the period during which representations may  be  made  pursuant  to  Article
20(5).

3. Undertakings offered need not be accepted if their acceptance is considered impractical, if such as where the number of  actual  or  potential
exporters is too great, or for other reasons, including reasons of general policy. The exporter concerned may be provided with  the  reasons  for
which it is proposed to reject the offer of an undertaking and may be given an opportunity to make comments thereon. The  reasons  for  rejection
shall be set out in the definitive decision.

4. Parties which offer an undertaking shall be required to provide a non-confidential version of  such  undertaking,  so  that  it  may  be  made
available to interested parties to the investigation.

5. Where undertakings are, after consultation, accepted and where there is no objection raised within the Advisory Committee,  the  investigation
shall be terminated. In all other cases, the Commission shall submit to the Council forthwith a  report  on  the  results  of  the  consultation,
together with a proposal that the investigation be terminated. The investigation shall be deemed terminated if, within one  month,  the  Council,
acting by a qualified majority, has not decided otherwise.

6. If the undertakings are accepted, the investigation of dumping and injury shall  normally  be  completed.  In  such  a  case,  if  a  negative
determination of dumping or injury is made, the undertaking shall automatically lapse, except in cases where  such  a  determination  is  due  in
large part to the existence of an undertaking. In such cases it may be required that an undertaking be maintained for  a  reasonable  period.  In
the event that an affirmative determination of dumping and injury is made, the undertaking shall continue  consistent  with  its  terms  and  the
provisions of this Regulation.

7. The Commission shall require any exporter from which an undertaking has been accepted to provide, periodically, information  relevant  to  the
fulfilment of such undertaking, and to permit verification of pertinent data. Non-compliance with such  requirements  shall  be  construed  as  a
breach of the undertaking.

8. Where undertakings are accepted from certain exporters during the course of an investigation, they shall, for the purpose of  Article  11,  be
deemed to take effect from the date on which the investigation is concluded for the exporting country.

                                            ê 461/2004 Art. 1 pt. 2

9. In case of breach or withdrawal of undertakings by any party to the undertaking, or in case of withdrawal of acceptance of the undertaking  by
the Commission, the acceptance of the undertaking shall, after consultation, be withdrawn by Commission Decision  or  Commission  Regulation,  as
appropriate, and the provisional duty which has been imposed by the Commission in accordance with Article 7 or  the  definitive  duty  which  has
been imposed by the Council in accordance with Article 9(4) shall automatically apply, provided that the exporter concerned has, except where  he
himself has withdrawn the undertaking, been given an opportunity to comment.

Any interested party or Member State may submit information showing  prima  facie  evidence  of  a  breach  of  an  undertaking.  The  subsequent
assessment of whether or not a breach of an undertaking has occurred shall normally be concluded within six months, but in  no  case  later  than
nine months following a duly substantiated request. The Commission may request the assistance of the competent authorities of the  Member  States
in the monitoring of undertakings.

                                            ê 384/96

10. A provisional duty may, after consultation, be imposed in accordance with Article 7 on the basis of the  best  information  available,  where
there is reason to believe that an undertaking is being breached, or in case of breach or withdrawal of an undertaking  where  the  investigation
which led to the undertaking has not been concluded.

                                                                    Article 9

                                          Termination without measures; imposition of definitive duties

1. Where the complaint is withdrawn, the proceeding may be terminated unless such termination would not be in the Community interest.

2. Where, after consultation, protective measures are  unnecessary  and  there  is  no  objection  raised  within  the  Advisory  Committee,  the
investigation or proceeding shall be terminated. In all other cases, the Commission shall submit  to  the  Council  forthwith  a  report  on  the
results of the consultation, together with a proposal that the proceeding be terminated. The proceeding shall be  deemed  terminated  if,  within
one month, the Council, acting by a qualified majority, has not decided otherwise.

3. For a proceeding initiated pursuant to Article 5(9), injury shall normally be regarded as negligible where  the  imports  concerned  represent
less than the volumes set out in Article 5(7). For the same proceeding, there shall be immediate termination where  it  is  determined  that  the
margin of dumping is less than 2 %, expressed as a percentage of the export price, provided that it is  only  the  investigation  that  shall  be
terminated where the margin is below 2 % for individual exporters and they shall remain subject to the proceeding and may  be  reinvestigated  in
any subsequent review carried out for the country concerned pursuant to Article 11.

                                            ê 461/2004 Art. 1 pt. 3

4. Where the facts as finally established show that  there  is  dumping  and  injury  caused  thereby,  and  the  Community  interest  calls  for
intervention in accordance with Article 21, a definitive anti-dumping duty shall be imposed by the Council, acting on  a  proposal  submitted  by
the Commission after consultation of the Advisory Committee. The proposal shall be adopted by the Council unless it decides by a simple  majority
to reject the proposal, within a period of one month after its submission by the Commission. Where provisional duties are in  force,  a  proposal
for definitive action shall be submitted not later than one month before the expiry of such duties. The amount of  the  anti-dumping  duty  shall
not exceed the margin of dumping established but it should be less than the margin if such lesser duty would be adequate to remove the injury  to
the Community industry.

                                            ê 1972/2002 Art. 1 pt. 6

5. An anti-dumping duty shall be imposed in the appropriate amounts in each case, on a non-discriminatory basis on imports of a product from  all
sources found to be dumped and causing injury, except as to imports  from  those  sources  from  which  undertakings  under  the  terms  of  this
Regulation have been accepted. The Regulation imposing the duty shall specify the duty for each supplier or, if that  is  impracticable,  and  in
general where Article 2(7)(a) applies, the supplying country concerned.

Where Article 2(7)(a) applies, an individual duty shall, however, be specified for the exporters which can demonstrate, on the basis of  properly
substantiated claims that:

(a)   in the case of wholly or partly foreign owned firms or joint ventures, exporters are free to repatriate capita and profits;

(b)   export prices and quantities, and conditions and terms of sale are freely determined;

(c)   the majority of the shares belong to private persons. State officials appearing on the board of Directors or holding key management
       positions shall either be in minority or it must be demonstrated that the company is nonetheless sufficiently independent from State
       interference;

(d)   exchange rate conversions are carried out at the market rate; and

(e)   State interference is not such as to permit circumvention of measures if individual exporters are given different rates of duty.

                                            ê 384/96

6. When the Commission has limited its examination in accordance with Article 17, any anti-dumping duty applied  to  imports  from  exporters  or
producers which have made themselves known in accordance with Article 17 but were not included in the examination shall not exceed  the  weighted
average margin of dumping established for the parties in the sample. For the purpose of this paragraph, the Commission shall disregard  any  zero
and de minimis margins, and margins established in the circumstances referred to in Article 18. Individual duties shall  be  applied  to  imports
from any exporter or producer which is granted individual treatment, as provided for in Article 17.

                                                                    Article 10

                                                                  Retroactivity

1. Provisional measures and definitive anti-dumping duties shall only be applied to products which enter free circulation  after  the  time  when
the decision taken pursuant to Articles 7(1) or 9(4), as the case may be,  enters  into  force,  subject  to  the  exceptions  set  out  in  this
Regulation.

2. Where a provisional duty has been applied and the facts as finally established show that there  is  dumping  and  injury,  the  Council  shall
decide, irrespective of whether a definitive anti-dumping duty is to be imposed, what proportion of the provisional duty is  to  be  definitively
collected. For this purpose, ‘injury’ shall not include material retardation of  the  establishment  of  a  Community  industry,  nor  threat  of
material injury, except where it is found that this would, in the absence of provisional measures, have developed into material  injury.  In  all
other cases involving such threat or retardation, any provisional amounts shall be released and definitive duties can only be  imposed  from  the
date that a final determination of threat or material retardation is made.

3. If the definitive anti-dumping duty is higher than the provisional duty, the difference shall not be collected.  If  the  definitive  duty  is
lower than the provisional duty, the duty shall be recalculated. Where a final determination is negative,  the  provisional  duty  shall  not  be
confirmed.

4. A definitive anti-dumping duty may be levied on products which were entered for consumption not more  than  90  days  prior  to  the  date  of
application of provisional measures but not prior to the initiation  of  the  investigation,  provided  that  imports  have  been  registered  in
accordance with Article 14(5), the Commission has allowed the importers concerned an opportunity to comment, and:

(a)   there is, for the product in question, a history of dumping over an extended period, or the importer was aware  of,  or  should  have  been
       aware of, the dumping as regards the extent of the dumping and the injury alleged or found; and

(b)   in addition to the level of imports which caused injury during the investigation period, there is a further  substantial  rise  in  imports
       which, in the light of its timing and volume and other circumstances, is  likely  to  seriously  undermine  the  remedial  effect  of  the
       definitive anti-dumping duty to be applied.

5. In cases of breach or withdrawal of undertakings, definitive duties may be levied on goods entered for free circulation not more than 90  days
before the application of provisional measures, provided that imports have been registered in accordance with Article 14(5), and  that  any  such
retroactive assessment shall not apply to imports entered before the breach or withdrawal of the undertaking.

                                                                    Article 11

                                                          Duration, reviews and refunds

1. An anti-dumping measure shall remain in force only as long as, and to the extent that, it is necessary to  counteract  the  dumping  which  is
causing injury.

2. A definitive anti-dumping measure shall expire five years from its imposition or five years from the  date  of  the  conclusion  of  the  most
recent review which has covered both dumping and injury, unless it is determined in a review that the  expiry  would  be  likely  to  lead  to  a
continuation or recurrence of dumping and injury. Such an expiry review shall be initiated on the initiative of the Commission, or  upon  request
made by or on behalf of Community producers, and the measure shall remain in force pending the outcome of such review.

An expiry review shall be initiated where the request contains sufficient evidence that the expiry of the measures would be likely to  result  in
a continuation or recurrence of dumping and injury. Such likelihood may, for example, be indicated by evidence of continued  dumping  and  injury
or evidence that the removal of injury is partly or solely due to the existence of measures or evidence that the circumstances of the  exporters,
or market conditions, are such that they would indicate the likelihood of further injurious dumping.

In carrying out investigations under this paragraph, the exporters, importers, the representatives of the exporting  country  and  the  Community
producers shall be provided with the opportunity to amplify, rebut or comment on the matters set out  in  the  review  request,  and  conclusions
shall be reached with due account taken of all relevant and duly documented evidence presented in relation to the  question  as  to  whether  the
expiry of measures would be likely, or unlikely, to lead to the continuation or recurrence of dumping and injury.

A notice of impending expiry shall be published in the Official Journal of the European Union at an appropriate time in the  final  year  of  the
period of application of the measures as defined in this paragraph. Thereafter, the Community producers shall, no later than three months  before
the end of the five-year period, be entitled to lodge a review request in accordance with the  second  sub-paragraph.  A  notice  announcing  the
actual expiry of measures pursuant to this paragraph shall also be published.

3. The need for the continued imposition of measures may also be reviewed, where warranted, on  the  initiative  of  the  Commission  or  at  the
request of a Member State or, provided that a reasonable period of time of at least one year has elapsed since the imposition of  the  definitive
measure, upon a request by any exporter or importer or by the Community producers which contains sufficient evidence substantiating the need  for
such an interim review.

An interim review shall be initiated where the request contains sufficient evidence that the continued imposition of the  measure  is  no  longer
necessary to offset dumping and/or that the injury would be unlikely to continue or recur if the measure were removed  or  varied,  or  that  the
existing measure is not, or is no longer, sufficient to counteract the dumping which is causing injury.

In carrying out investigations pursuant to this paragraph, the Commission may, inter alia, consider whether  the  circumstances  with  regard  to
dumping and injury have changed significantly, or whether existing measures are achieving the intended results in removing the injury  previously
established under Article 3. In these respects, account shall be taken in the final determination of all relevant and duly documented evidence.

4. A review shall also be carried out for the purpose of determining individual margins of dumping for new exporters in the exporting country  in
question which have not exported the product during the period of investigation on which the measures were based.

The review shall be initiated where a new exporter or producer can show that it is not related to any  of  the  exporters  or  producers  in  the
exporting country which are subject to the anti-dumping measures on the product, and that it has actually exported  to  the  Community  following
the abovementioned investigation period, or where it can demonstrate that it has entered into an irrevocable contractual obligation to  export  a
significant quantity to the Community.

A review for a new exporter shall be initiated, and carried out on an accelerated basis, after consultation of the Advisory Committee  and  after
Community producers have been given an opportunity to comment. The Commission Regulation initiating a review shall repeal the duty in force  with
regard to the new exporter concerned by amending the Regulation which has imposed such duty, and by making imports  subject  to  registration  in
accordance with Article 14(5) in order to ensure that, should the review result in a determination of dumping in respect  of  such  an  exporter,
anti-dumping duties can be levied retroactively to the date of the initiation of the review.

The provisions of this paragraph shall not apply where duties have been imposed under Article 9(6).

                                            ê 461/2004 Art. 1 pt. 4

5. The relevant provisions of this Regulation with regard to procedures and the conduct of  investigations,  excluding  those  relating  to  time
limits, shall apply to any review carried out pursuant to paragraphs 2, 3 and 4 of this Article. Reviews carried out  pursuant  to  paragraphs  2
and 3 shall be carried out expeditiously and shall normally be concluded within 12 months of the date of initiation of the review. In any  event,
reviews pursuant to paragraphs 2 and 3 shall in all cases be concluded within 15 months of initiation. Reviews pursuant to paragraph 4  shall  in
all cases be concluded within nine months of the date of initiation. If a review carried out pursuant to paragraph 2 is initiated while a  review
under paragraph 3 is ongoing in the same proceeding, the review pursuant to paragraph 3 shall be concluded at the same  time  as  foreseen  above
for the review pursuant to paragraph 2.

The Commission shall submit a proposal for action to the Council not later than one month before the expiry of the above deadlines.

If the investigation is not completed within the above deadlines, the measures shall:

     – expire in investigations pursuant to paragraph 2 of this Article,

     – expire in the case of investigations carried out pursuant  to  paragraphs  2  and  3  of  this  Article  in  parallel,  where  either  the
       investigation pursuant to paragraph 2 was initiated while a review under paragraph 3 was ongoing in the  same  proceeding  or  where  such
       reviews were initiated at the same time, or

     – remain unchanged in investigations pursuant to paragraphs 3 and 4 of this Article.

A notice announcing the actual expiry or maintenance of the measures pursuant to this paragraph shall then be published in the  Official  Journal
of the European Union.

                                            ê 384/96

6. Reviews pursuant to this Article shall be initiated by the Commission after  consultation  of  the  Advisory  Committee.  Where  warranted  by
reviews, measures shall be repealed or maintained pursuant to paragraph 2, or repealed, maintained or amended pursuant to paragraphs 3 and 4,  by
the Community institution responsible for their introduction. Where measures are repealed for individual exporters, but not for the country as  a
whole, such exporters shall remain subject to the proceeding and may, automatically, be reinvestigated in any subsequent review carried  out  for
that country pursuant to this Article.

7. Where a review of measures pursuant to paragraph 3 is in progress at the end of the period of application of measures as defined in  paragraph
2, such review shall also cover the circumstances set out in paragraph 2.

8. Notwithstanding paragraph 2, an importer may request reimbursement of duties collected where it is shown  that  the  dumping  margin,  on  the
basis of which duties were paid, has been eliminated, or reduced to a level which is below the level of the duty in force.

In requesting a refund of anti-dumping duties, the importer shall submit an application to the Commission. The  application  shall  be  submitted
via the Member State of the territory in which the products were released for free circulation, within six  months  of  the  date  on  which  the
amount of the definitive duties to be levied was duly determined by the competent authorities or of  the  date  on  which  a  decision  was  made
definitively to collect the amounts secured by way of provisional duty. Member States shall forward the request to the Commission forthwith.

An application for refund shall only be considered to be duly supported by evidence where it  contains  precise  information  on  the  amount  of
refund of anti-dumping duties claimed and all customs documentation relating to the calculation  and  payment  of  such  amount.  It  shall  also
include evidence, for a representative period, of normal values and export prices to the Community for the exporter  or  producer  to  which  the
duty applies. In cases where the importer is not associate with the exporter or producer  concerned  and  such  information  is  not  immediately
available, or where the exporter or producer is unwilling to release it to the importer, the application  shall  contain  a  statement  from  the
exporter or producer that the dumping margin has been reduced or eliminated, as specified in this  Article,  and  that  the  relevant  supporting
evidence will be provided to the Commission. Where such evidence is not forthcoming from the exporter or producer within a reasonable  period  of
time the application shall be rejected.

The Commission shall, after consultation of the Advisory Committee, decide whether and to what extent the application should be  granted,  or  it
may decide at any time to initiate an interim review, whereupon the information and findings from such review carried out in accordance with  the
provisions applicable for such reviews, shall be used to determine whether and to what extent a refund is  justified.  Refunds  of  duties  shall
normally take place within 12 months, and in no circumstances more than 18 months after the date on which a request for a refund, duly  supported
by evidence, has been made by an importer of the product subject to the anti-dumping duty. The payment of any refund authorized  should  normally
be made by Member States within 90 day of the abovementioned decision.

9. In all review or refund investigations carried out pursuant to this Article, the  Commission  shall,  provided  that  circumstances  have  not
changed, apply the same methodology as in the investigation which led to the duty, with due account being taken of Article 2, and  in  particular
paragraphs 11 and 12 thereof, and of Article 17.

10. In any investigation carried our pursuant to this Article, the Commission shall examine the reliability of export prices in  accordance  with
Article 2. However, where it is decided to construct the export price in accordance with Article 2(9), it shall calculate it  with  no  deduction
for the amount of anti-dumping duties paid when conclusive evidence is provided that the  duty  is  duly  reflected  in  resale  prices  and  the
subsequent selling prices in the Community.

                                                                    Article 12

                                            ê 384/96 (adapted)

                                                               Ö Reinvestigation Õ

                                            ê 461/2004 Art. 1 pt. 5

1.Where the Community industry or any other interested party submit, normally within two years  from  the  entry  into  force  of  the  measures,
sufficient information showing that, after the original investigation period and prior to or following the imposition of measures, export  prices
have decreased or that there has been no movement, or insufficient movement in the resale prices or subsequent selling  prices  of  the  imported
product in the Community, the investigation may, after consultation, be  reopened  to  examine  whether  the  measure  has  had  effects  on  the
abovementioned prices.

The investigation may also be reopened, under the conditions set out above, at the initiative of the Commission or at the  request  of  a  Member
State.

                                            ê 384/96

2. During a reinvestigation pursuant to this Article, exporters, importers and Community producers shall  be  provided  with  an  opportunity  to
clarify the situation with regard to resale prices and subsequent selling prices: if it  is  concluded  that  the  measure  should  have  led  to
movements in such prices, then, in order to remove the injury previously established in  accordance  with  Article  3,  export  prices  shall  be
reassessed in accordance with Article 2 and dumping margins shall be recalculated to take account of the reassessed export prices.

                                            ê 461/2004 Art. 1 pt. 6

Where it is considered that the conditions of Article 12(1) are met due to a fall  in  export  prices  which  has  occurred  after  the  original
investigation period and prior to or following the imposition of measures, dumping margins may be recalculated to  take  account  of  such  lower
export prices.

                                            ê 461/2004 Art. 1 pt. 7

3. Where a reinvestigation pursuant to this Article shows increased dumping, the measures in force may, after consultation,  be  amended  by  the
Council, acting on a proposal from the Commission in accordance with the new findings on export prices. The proposal  shall  be  adopted  by  the
Council unless it decides by a simple majority to reject the proposal, within a period of one month after its submission by the  Commission.  The
amount of the anti-dumping duty imposed pursuant to this Article shall not exceed twice the amount of the duty imposed initially by the Council.

                                            ê 461/2004 Art. 1 pt. 8

4. The relevant provisions of Articles 5 and 6 shall apply to any reinvestigation  carried  out  pursuant  to  this  Article,  except  that  such
reinvestigation shall be carried out expeditiously and shall normally  be  concluded  within  six  months  of  the  date  of  initiation  of  the
reinvestigation. In any event, such reinvestigations shall in all cases be concluded within nine months of initiation of the reinvestigation.

The Commission shall submit a proposal for action to the Council not later than one month before the expiry of the above deadline.

If the reinvestigation is not completed within the above deadlines, measures shall remain unchanged. A notice announcing the maintenance  of  the
measures pursuant to this paragraph shall be published in the Official Journal of the European Union.

                                            ê 384/96

5. Alleged changes in normal value shall only be taken into account under this Article where complete information on revised normal values,  duly
substantiated by evidence, is made available to the Commission within the time limits set out in the notice of initiation  of  an  investigation.
Where an investigation involves a re-examination of normal values, imports may be made subject to registration in accordance with  Article  14(5)
pending the outcome of the reinvestigation.

                                                                    Article 13

                                                                  Circumvention

                                            ê 461/2004 Art. 1 pt. 9

1. Anti-dumping duties imposed pursuant to this Regulation may be extended to  imports  from  third  countries,  of  the  like  product,  whether
slightly modified or not; or to imports of the slightly modified like product from the country  subject  to  measures;  or  parts  thereof,  when
circumvention of the measures in force is taking place. Anti-dumping duties not exceeding the residual anti-dumping duty  imposed  in  accordance
with Article 9(5) of this Regulation may be extended to imports from companies benefiting from individual duties  in  the  countries  subject  to
measures when circumvention of the measures in force is taking place. Circumvention shall be defined as a change in the pattern of trade  between
third countries and the Community or between individual companies in the country subject to measures  and  the  Community,  which  stems  from  a
practice, process or work for which there is insufficient due cause or economic justification other than the imposition of the  duty,  and  where
there is evidence of injury or that the remedial effects of the duty are being undermined in terms of the prices and/or quantities  of  the  like
product, and where there is evidence of dumping in relation to the normal values previously established for the like  product,  if  necessary  in
accordance with the provisions of Article 2.

The practice, process or work referred to in paragraph 1 includes, inter alia, the slight modification of the product concerned to make  it  fall
under customs codes which are normally not subject to the measures, provided that the modification does not alter its essential  characteristics;
the consignment of the product subject to measures via third countries; the reorganisation by  exporters  or  producers  of  their  patterns  and
channels of sales in the country subject to measures in order to eventually have their products  exported  to  the  Community  through  producers
benefiting from an individual duty rate lower than that applicable to the products of the manufacturers;  and,  in  the  circumstances  indicated
below under Article 13(2), the assembly of parts by an assembly operation in the Community or a third country.

                                            ê 384/96

2. An assembly operation in the Community or a third country shall be considered to circumvent the measures in force where:

(a)   the operation started or substantially increased since, or just prior to, the initiation of the anti-dumping investigation  and  the  parts
       concerned are from the country subject to measures; and

(b)   the parts constitute 60 % or more of the total value of the parts of the assembled product, except that in no case shall  circumvention  be
       considered to be taking place where the value added to the parts brought in, during the assembly or completion operation, is greater  than
       25 % of the manufacturing cost, and

(c)   the remedial effects of the duty are being undermined in terms of the prices and/or quantities of the assembled like product and  there  is
       evidence of dumping in relation to the normal values previously established for the like or similar products.

                                            ê 461/2004 Art. 1 pt. 10

3. Investigations shall be initiated pursuant to this Article on the initiative of the Commission or at the request of  a  Member  State  or  any
interested party on the basis of sufficient evidence regarding the factors set out in paragraph 1. Initiations shall be made, after  consultation
of the Advisory Committee, by Commission Regulation which may also instruct the customs authorities to make imports subject  to  registration  in
accordance with Article 14(5) or to request guarantees. Investigations shall be carried out by the Commission, which may be assisted  by  customs
authorities and shall be concluded within nine months. When the facts as finally ascertained justify the extension of  measures,  this  shall  be
done by the Council, acting on a proposal submitted by the Commission, after consultation of  the  Advisory  Committee.  The  proposal  shall  be
adopted by the Council unless it decides by a simple majority to reject the proposal, within a period of one month after its  submission  by  the
Commission. The extension shall take effect from the date on which registration was imposed pursuant to Article  14(5)  or  on  which  guarantees
were requested. The relevant procedural provisions of this Regulation with regard to initiations and the conduct of  investigations  shall  apply
pursuant to this Article.

                                            ê 461/2004 Art. 1 pt. 11

4. Imports shall not be subject to registration pursuant to Article 14(5) or measures where they are  traded  by  companies  which  benefit  from
exemptions. Requests for exemptions duly supported by evidence  shall  be  submitted  within  the  time  limits  established  in  the  Commission
Regulation initiating the investigation. Where the circumventing practice, process or work takes place outside the Community, exemptions  may  be
granted to producers of the product concerned that can show that they are not related to any producer subject to the measures and that are  found
not to be engaged in circumvention practices as defined in Article 13(1) and (2). Where the circumventing practice, process or work  takes  place
inside the Community, exemptions may be granted to importers that can show that they are not related to producers subject to the measures.

These exemptions are granted by decision of the Commission after consultation of the Advisory Committee  or  decision  of  the  Council  imposing
measures and shall remain valid for the period and under the conditions set down therein.

Provided that the conditions set in Article 11(4) are met, exemptions may also be granted after the conclusion of the  investigation  leading  to
the extension of the measures.

Provided that at least one year has lapsed from the extension of the measures, and in case  the  number  of  parties  requesting  or  potentially
requesting an exemption is significant, the Commission may decide to initiate a review of the extension of the measures. Any  such  review  shall
be conducted in accordance with the provisions of Article 11(5) as applicable to reviews pursuant to Article 11(3).

                                            ê 384/96

5. Nothing in this Article shall preclude the normal application of the provisions in force concerning customs duties.

                                                                    Article 14

                                                                General provisions

1. Provisional or definitive anti-dumping duties shall be imposed by Regulation, and collected  by  Member  States  in  the  form,  at  the  rate
specified and according to the other criteria  laid  down  in  the  Regulation  imposing  such  duties.  Such  duties  shall  also  be  collected
independently of the customs duties, taxes and other charges normally imposed on imports. No product shall be subject to  both  anti-dumping  and
countervailing duties for the purpose of dealing with one and the same situation arising from dumping or from export subsidization.

2. Regulations imposing provisional or definitive anti-dumping duties,  and  Regulations  or  Decisions  accepting  undertakings  or  terminating
investigations or proceedings, shall be published in the Official Journal of the European Union. Such Regulations or Decisions shall  contain  in
particular and with due regard to the protection of confidential information, the names of the  exporters,  if  possible,  or  of  the  countries
involved, a description of the product and a summary of the material facts and considerations relevant to the dumping and injury  determinations.
In each case, a copy of the Regulation or Decision shall be sent to known interested parties.  The  provisions  of  this  paragraph  shall  apply
mutatis mutandis to reviews.

3. Special provisions, in particular with regard to the common definition of the concept of origin, as contained in Council Regulation  (EEC)  No
2913/92[11], may be adopted pursuant to this Regulation.

                                            ê 461/2004 Art. 1 pt. 12

4. In the Community interest, measures imposed pursuant to this Regulation may, after consultation of the Advisory Committee, be suspended  by  a
decision of the Commission for a period of nine months. The suspension may be extended for a further period,  not  exceeding  one  year,  if  the
Council so decides, acting on a proposal from the Commission. The proposal shall be adopted  by  the  Council  unless  it  decides  by  a  simple
majority to reject the proposal, within a period of one month after its submission by the  Commission.  Measures  may  only  be  suspended  where
market conditions have temporarily changed to an extent that injury would be unlikely to resume as a result of the suspension, and provided  that
the Community industry has been given an opportunity to comment and these comments have been taken into account. Measures may, at  any  time  and
after consultation, be reinstated if the reason for suspension is no longer applicable.

                                            ê 384/96

5. The Commission may, after consultation of the Advisory Committee, direct the customs authorities to take the  appropriate  steps  to  register
imports, so that measures may subsequently be applied against those imports from the date of such registration. Imports may be  made  subject  to
registration following a request from the Community industry which contains sufficient evidence to justify such  action.  Registration  shall  be
introduced by Regulation which shall specify the purpose of the action and, if appropriate, the estimated amount of  possible  future  liability.
Imports shall not be made subject to registration for a period longer than nine months.

6. Member States shall report to the Commission every month, on the import trade in products subject to investigation and  to  measures,  and  on
the amount of duties collected pursuant to this Regulation.

                                            ê 461/2004 Art. 1 pt. 13

7. Without prejudice to paragraph 6, the Commission may request Member States, on a case by  case  basis,  to  supply  information  necessary  to
monitor efficiently the application of measures. In this respect, the provisions of Articles 6(3) and 6(4) shall apply.  Any  data  submitted  by
Member States pursuant to this Article shall be covered by the provisions of Article 19(6).

                                            ê 384/96

                                                                    Article 15

                                                                  Consultations

1. Any consultations provided for in this Regulation shall take place within an Advisory Committee, which shall  consist  of  representatives  of
each Member State, with a representative of the Commission as chairman. Consultations shall be held immediately at the request of a Member  State
or on the initiative of the Commission and in any event within a period of time which allows the  time  limits  set  by  this  Regulation  to  be
adhered to.

                                            ê 461/2004 Art. 1 pt. 14

2. The Committee shall meet when convened by its chairman. He shall provide the Member States, as promptly as possible,  but  no  later  than  10
working days before the meeting, with all relevant information.

                                            ê 384/96

3. Where necessary, consultation may be in writing only; in that event, the Commission shall notify the Member States and shall specify a  period
within which they shall be entitled to express their opinions or to request an oral consultation which the chairman shall arrange, provided  that
such oral consultation can be held within a period of time which allows the time limits set by this Regulation to be adhered to.

4. Consultation shall cover, in particular:

(a)   the existence of dumping and the methods of establishing the dumping margin;

(b)   the existence and extent of injury;

(c)   the causal link between the dumped imports and injury;

(d)   the measures which, in the circumstances, are appropriate to prevent or remedy the injury caused by dumping  and  the  ways  and  means  of
       putting such measures into effect.

                                                                    Article 16

                                                               Verification visits

1. The Commission shall, where it considers it appropriate, carry out visits to examine the records of  importers,  exporters,  traders,  agents,
producers, trade associations and organizations and to verify information provided on dumping and injury. In the absence of a proper  and  timely
reply, a verification visit may not be carried out.

2. The Commission may carry out investigations in third countries as required, provided that it obtains the agreement  of  the  firms  concerned,
that it notifies the representatives of the government of the country in question and that the latter does not object to  the  investigation.  As
soon as the agreement of the firms concerned has been obtained the Commission should notify the authorities  of  the  exporting  country  of  the
names and addresses of the firms to be visited and the dates agreed.

3. The firms concerned shall be advised of the nature of  the  information  to  be  verified  during  verification  visits  and  of  any  further
information which needs to be provided during such visits, though this should not preclude requests made  during  the  verification  for  further
details to be provided in the light of information obtained.

4. In investigations carried out pursuant to paragraphs 1, 2 and 3, the Commission shall be assisted by officials of those Member States  who  so
request.

                                                                    Article 17

                                                                     Sampling

1. In cases where the number of complainants, exporters or importers, types of product  or  transactions  is  large,  the  investigation  may  be
limited to a reasonable number of parties, products or transactions by using samples which are statistically valid on the  basis  of  information
available at the time of the selection, or to the largest representative  volume  of  production,  sales  or  exports  which  can  reasonably  be
investigated within the time available.

2. The final selection of parties, types of products or transactions made under these sampling provisions shall rest with the Commission,  though
preference shall be given to choosing a sample in consultation with, and with the consent of, the parties concerned, provided such  parties  make
themselves known and make sufficient information available, within three weeks of initiation of the investigation,  to  enable  a  representative
sample to be chosen.

3. In cases where the examination has been limited in accordance with this Article, an individual  margin  of  dumping  shall,  nevertheless,  be
calculated for any exporter or producer not initially selected who submits the necessary information within the time limits provided for in  this
Regulation, except where the number of exporters or producers is so large that individual examinations  would  be  unduly  burdensome  and  would
prevent completion of the investigation in good time.

4. Where it is decided to sample and there is a degree of non-cooperation by some or all of the parties selected which is  likely  to  materially
affect the outcome of the investigation, a new sample may be selected. However, if a material degree of  non-cooperation  persists  or  there  is
insufficient time to select a new sample, the relevant provisions of Article 18 shall apply.

                                                                    Article 18

                                                                 Non-cooperation

1. In cases in which any interested party refuses access to, or otherwise  does  not  provide,  necessary  information  within  the  time  limits
provided in this Regulation, or significantly impedes the investigation, provisional or final findings, affirmative or negative, may be  made  on
the basis of the facts available. Where it is found that any interested party has supplied  false  or  misleading  information,  the  information
shall be disregarded and use may be made of facts available. Interested parties should be made aware of the consequences of non-cooperation.

2. Failure to give a computerized response shall not be deemed to constitute non-cooperation, provided  that  the  interested  party  shows  that
presenting the response as requested would result in an unreasonable extra burden or unreasonable additional cost.

3. Where the information submitted by an interested party is not ideal in all respects it should nevertheless not be disregarded,  provided  that
any deficiencies are not such as to cause  undue  difficulty  in  arriving  at  a  reasonably  accurate  finding  and  that  the  information  is
appropriately submitted in good time and is verifiable, and that the party has acted to the best of its ability.

4. If evidence or information is not accepted, the supplying party shall be informed forthwith of the reasons therefor and shall  be  granted  an
opportunity to provide further explanations within the time limit specified. If the explanations are considered unsatisfactory, the  reasons  for
rejection of such evidence or information shall be disclosed and given in published findings.

5. If determinations, including those regarding normal value, are based on the provisions of paragraph 1, including the information  supplied  in
the complaint, it shall, where practicable and with due regard to the time limits of the investigation, be checked by  reference  to  information
from other independent sources which may be available, such as published  price  lists,  official  import  statistics  and  customs  returns,  or
information obtained from other interested parties during the investigation.

                                            ê 1972/2002 Art. 1 pt. 7

Such information may include relevant data pertaining to the world market or other representative markets, where appropriate.

                                            ê 384/96

6. If an interested party does not cooperate, or cooperates only partially, so that relevant information is thereby withheld, the result  may  be
less favourable to the party than if it had cooperated.

                                                                    Article 19

                                                                 Confidentiality

1. Any information which is by nature confidential, (for example, because its disclosure would be  of  significant  competitive  advantage  to  a
competitor or would have a significantly adverse effect upon a person supplying the information or upon a person from whom he  has  acquired  the
information) or which is provided on a confidential basis by parties to an investigation shall, if good cause is shown, be  treated  as  such  by
the authorities.

2. Interested parties providing confidential information shall be required to furnish non-confidential summaries thereof. Those  summaries  shall
be in sufficient detail to permit a reasonable understanding of the  substance  of  the  information  submitted  in  confidence.  In  exceptional
circumstances, such parties may indicate that such information is not susceptible of summary. In such exceptional circumstances, a  statement  of
the reasons why summarization is not possible must be provided.

3. If it is considered that a request for confidentiality is not warranted and if the supplier of the information is  either  unwilling  to  make
the information available or to authorize its disclosure in generalized or summary form, such information may be disregarded  unless  it  can  be
satisfactorily demonstrated from appropriate sources that the information is correct. Requests  for  confidentiality  shall  not  be  arbitrarily
rejected.

4. This Article shall not preclude the disclosure of general information by the Community authorities and in particular of the reasons  on  which
decisions taken pursuant to this Regulation are based, or disclosure of the evidence relied on by the Community  authorities  in  so  far  as  is
necessary to explain those reasons in court proceedings. Such disclosure  must  take  into  account  the  legitimate  interests  of  the  parties
concerned that their business secrets should not be divulged.

5. The Council, the Commission and Member States, or the officials of any of these, shall not reveal any information received  pursuant  to  this
Regulation for which confidential treatment has been requested by its supplier, without specific  permission  from  the  supplier.  Exchanges  of
information between the Commission and Member States, or any information relating to consultations made pursuant to Article 15, or  any  internal
documents prepared by the authorities of the Community or its Member States, shall not be divulged except as specifically provided  for  in  this
Regulation.

                                            ê 461/2004 Art. 1 pt. 15

6. Information received pursuant to this Regulation shall be used only for the purpose for which it  was  requested.  This  provision  shall  not
preclude the use of information received in the context of one investigation for the purpose of initiating other investigations within  the  same
proceeding in relation to the product concerned.

                                            ê 384/96

                                                                    Article 20

                                                                    Disclosure

1. The complainants, importers and exporters and their representative associations, and representatives of the  exporting  country,  may  request
disclosure of the details underlying the essential facts and considerations on the  basis  of  which  provisional  measures  have  been  imposed.
Requests for such disclosure shall be made in writing immediately following the imposition of provisional measures, and the disclosure  shall  be
made in writing as soon as possible thereafter.

2. The parties mentioned in paragraph 1 may request final disclosure of the essential facts and considerations  on  the  basis  of  which  it  is
intended to recommend the imposition of definitive measures, or the termination of an investigation or  proceedings  without  the  imposition  of
measures, particular attention being paid to the disclosure of any  facts  or  considerations  which  are  different  from  those  used  for  any
provisional measures.

3. Requests for final disclosure, as defined in paragraph 2, shall be addressed to the Commission in writing and be received, in  cases  where  a
provisional duty has been applied, not later than one month after publication of the imposition of that duty. Where a provisional  duty  has  not
been applied, parties shall be provided with an opportunity to request final disclosure within time limits set by the Commission.

4. Final disclosure shall be given in writing. It shall be made, due regard being had to the protection of confidential information, as  soon  as
possible and, normally, not later than one month prior to a definitive decision or the submission by the Commission of  any  proposal  for  final
action pursuant to Article 9. Where the Commission is not in a position to disclose certain facts or considerations at that time, these shall  be
disclosed as soon as possible thereafter. Disclosure shall not prejudice any subsequent decision which may be taken  by  the  Commission  or  the
Council but where such decision is based on any different facts and considerations, these shall be disclosed as soon as possible.

5. Representations made after final disclosure is given shall be taken into consideration only if received within a  period  to  be  set  by  the
Commission in each case, which shall be at least 10 days, due consideration being given to the urgency of the matter.

                                                                    Article 21

                                                                Community interest

1. A determination as to whether the Community interest calls for intervention shall be based on an appreciation of  all  the  various  interests
taken as a whole, including the interests of the domestic industry and users and consumers; and a determination pursuant to  this  Article  shall
only be made where all parties have been given the opportunity to make their views known pursuant to paragraph 2. In  such  an  examination,  the
need to eliminate the trade distorting effects of injurious dumping and to restore effective competition shall be  given  special  consideration.
Measures, as determined on the basis of the dumping and injury found, may not be  applied  where  the  authorities,  on  the  basis  of  all  the
information submitted, can clearly conclude that it is not in the Community interest to apply such measures.

2. In order to provide a sound basis on which the authorities can take account of all views and information in the decision as to whether or  not
the imposition of measures is in the Community interest, the complainants, importers and their representative associations, representative  users
and representative consumer organizations may, within the time limits specified in the notice of initiation of  the  anti-dumping  investigation,
make themselves known and provide information to the Commission. Such information, or appropriate summaries thereof, shall be made  available  to
the other parties specified in this Article, and they shall be entitled to respond to such information.

3. The parties which have acted in conformity with paragraph 2 may request a hearing. Such requests shall be  granted  when  they  are  submitted
within the time limits set in paragraph 2, and when they set out the reasons, in terms of the Community  interest,  why  the  parties  should  be
heard.

4. The parties which have acted in conformity with paragraph 2 may provide comments on the application of any provisional  duties  imposed.  Such
comments shall be received within one month of the application of such measures if they are to be taken into account  and  they,  or  appropriate
summaries thereof, shall be made available to other parties who shall be entitled to respond to such comments.

5. The Commission shall examine the information which is properly submitted and the extent to which it is representative and the results of  such
analysis, together with an opinion on its merits, shall be transmitted to  the  Advisory  Committee.  The  balance  of  views  expressed  in  the
Committee shall be taken into account by the Commission in any proposal made pursuant to Article 9.

6. The parties which have acted in conformity with paragraph 2 may request the facts and considerations on which final decisions  are  likely  to
be taken to be made available to them. Such information shall be made available to the extent possible and without prejudice  to  any  subsequent
decision taken by the Commission or the Council.

7. Information shall only be taken into account where it is supported by actual evidence which substantiates its validity.

                                                                    Article 22

                                                                 Final provisions

This Regulation shall not preclude the application of:

(a)   any special rules laid down in agreements concluded between the Community and third countries;

(b)   the Community Regulations in the agricultural sector and Council Regulations (EC)  No  3448/93[12],  (EEC)  No  2730/75[13]  and  (EEC)  No
       2783/75[14]. This Regulation shall operate by way of complement to those Regulations and in derogation from any provisions  thereof  which
       preclude the application of anti-dumping duties;

(c)   special measures, provided that such action does not run counter to obligations pursuant to the GATT.

                                            ê 

                                                                    Article 23

Regulation (EC) No 384/96 is repealed.

References to the repealed Regulation shall be construed as references to this Regulation and shall be read in accordance  with  the  correlation
table in Annex II.

                                            ê 384/96

                                                                    Article 24

                                                                 Entry into force

                                            ê 384/96 (adapted)

This Regulation shall enter into force on Ö 21 March 2006 Õ

                                            ê 384/96

This Regulation shall be binding in its entirety and directly applicable in all Member States.

Done at Brussels, […]

      For the Council
      The President
      […]

                                            é

                                                                     ANNEX I

                                                Repealed Regulation with its successive amendments

|Council Regulation (EC) No 384/96                                   |                                                                    |
|(OJ L 56, 6.3.1996, p. 1)                                           |                                                                    |
|Council Regulation (EC) No 2331/96                                   |                                                              |
|(OJ L 317, 6.12.1996, p. 1)                                          |                                                              |
|Council Regulation (EC) No 905/98                                    |                                                              |
|(OJ L 128, 30.4.1998, p. 18)                                         |                                                              |
|Council Regulation (EC) No 2238/2000                                 |                                                              |
|(OJ L 257, 11.10.2000, p. 2)                                         |                                                              |
|Council Regulation (EC) No 1972/2002                                 |                                                              |
|(OJ L 305, 7.11.2002, p. 1)                                          |                                                              |
|Council Regulation (EC) No 461/2004                                  |Article 1                                                     |
|(OJ L 77, 13.3.2004, p. 12)                                          |Article 3, only as regards the reference to Regulation (EC) No|
|                                                                     |384/96.                                                       |

                                                                    __________

                                                                     ANNEX II

                                                                Correlation table

|Regulation (EC) No 384/96                                           |This Regulation                                                     |
|Article 1                                                           |Article 1                                                           |
|Article 2                                                           |Article 2                                                           |
|Article 3(1)                                                        |Article 3(1)                                                        |
|Article 3(2)                                                        |Article 3(2), introductory wording and points (a) and (b)           |
|Article 3(3)                                                        |Article 3(3)                                                        |
|Article 3(4)                                                        |Article 3(4), introductory wording and points (a) and (b)           |
|Article 3(5) to (9)                                                 |Article 3(5) to (9)                                                 |
|Article 4(1) introductory wording                                   |Article 4(1) introductory wording                                   |
|Article 4(1)(a)                                                     |Article 4(1)(a)                                                     |
|Article 4(1)(b)                                                     |Article 4(1)(b), introductory wording and points (i) and (ii)       |
|Article 4(2)                                                        |Article 4(2), first subparagraph, introductory wording and points   |
|                                                                    |(a), (b) and (c)                                                    |
|                                                                    |Article 4(2) second subparagraph                                    |
|Article 4(3) and (4)                                                |Article 4(3) and (4)                                                |
|Articles 5 to 22                                                    |Articles 5 to 22                                                    |
|Article 23                                                          |_                                                                   |
|_                                                                   |Article 23                                                          |
|Article 24 first paragraph                                          |Article 24                                                          |
|Article 24 second paragraph                                         |_                                                                   |
|_                                                                   |Annex I                                                             |
|_                                                                   |Annex II                                                            |

                                                                    __________

                                                             -----------------------
[1]   COM(87) 868 PV.
[2]   See Annex 3 to Part A of the Conclusions.
[3]   Carried out pursuant to the Communication from the Commission to the European Parliament and the  Council  –  Codification  of  the  Acquis
      communautaire, COM(2001) 645 final.
[4]   See Annex I to this proposal.
[5]   OJ C (…), (…), p.(…).
[6]   OJ C (…), (…), p.(…).
[7]   OJ L 56, 6.3.1996, p. 1. Regulation as last amended by Regulation (EC) No 461/2004 (OJ L 77, 13.3.2004, p. 12).
[8]   See Annex I.
[9]   OJ L 253, 11.10.1993, p. 1.
[10]  Including  Albania,  Armenia,  Azerbaijan,  Belarus,  Georgia,  North  Korea,  Kyrgyzstan,  Moldova,  Mongolia,  Tajikistan,  Turkmenistan,
      Uzbekistan.
[11]  OJ L 302, 19.10.1992, p. 1.
[12]  OJ L 318, 20.12.1993, p. 18.
[13]  OJ L 281, 1.11.1975, p. 20.
[14]  OJ L 282, 1.11.1975, p. 104.