RESTRICTED
WORLD TRADE G/ADP/Q1/EEC/51
G/SCM/Q1/EEC/5
ORGANIZATION 1December 1997
(97-4392)
Original: Spanish Committee onAnti-Duping Practices
Committee onSubsidies andCountervailing Measures
NOTIFICATION OFLAWS AND REGULATIONS UNDER
ARTICLES 18.5AND 32.6OFTHE AGREEMENTS
Questions from Mexico tothe
European Community2
Thefollowing communication, dated 30September 1997, hasbeenreceived fromthePermanent
Mission ofMexico.
________________
Mexico wishes toputthefollowing questions totheEuropean Union concerning thenotification
ofCommission Decision 2277/96/ECSC of28November 1996.
1. Where there isacontradiction between theWTO Agreements andCommission Decision
No.2277/96/ECSC, howwillitberesolved bythecompetent authority oftheEuropean Union?
2. What kindofcharacteristics willbetaken intoaccount todetermine thelikeness ofproducts
inaccordance withArticle 1.4?
3. Which countries doestheECconsider tobelong tothenon-market-economy group?
4. Article 1.3oftheDecision refers towhere "products are[merely] transshipped": please explain
howtheinvestigating authority defines goods intransit?
5. Article 2.1provides thatthenormal value maybeestablished onthebasis ofother sellers or
producers. What ismeant byother sellers orproducers? Howshould thisbeunderstood taking into
account thattheAnti-Dumping Agreement doesnotexplicitly provide forthispossibility? Before having
recourse toinformation fromoutside thecompany, should theinvestigating authority notfirstexhaust
thepossibilities expressly provided forintheCode orusepartial information from theenterprise in
question supplemented byoutside information?
6. Article 2.1mentions thatprices between parties which areassociated orhaveacompensatory
arrangement canbeusedtoestablish thenormal value ifitisdetermined thattheyareunaffected by
therelationship. What criteria doestheinvestigating authority usetoconsider thatthese prices are
notaffected bytherelationship?
1Thisdocument cancels andreplaces document G/ADP/Q1/EEC/5, circulated 13October 1997.
2G/ADP/N/1/EEC/2 +Corr.1 +Suppl.1G/ADP/Q1/EEC/5
G/SCM/Q1/EEC/5
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7. Article 2.3mentions asoneoftheoptions fornormal value thecostofproduction inthecountry
oforigin plusareasonable amount forselling, general andadministrative costsandforprofits, orthe
export prices toanappropriate thirdcountry. Inthisregard, isthere anorder ofpreference forusing
oneoption ortheother? Ifnot,whatcriteria would beused?
8. What degree ofinjury isnecessary todetermine thatthere ismaterial injury, andhowisthis
conclusion reached under Article 3.6?
9. Inaccordance withArticle 4.1(a), would thedivision oftheterritory oftheCommunity into
isolated markets involve theterritory ofacountry orofagroup ofcountries, orcanitbeadivision
byeconomic regions?
10. Howisthedegree ofsupport fororopposition totheinitiation ofaninvestigation determined?
How isthisdoneinthecaseofisolated markets?
11. Whyistheorder ofparagraphs (a)and(b)ofArticle 6different from theorder established
inArticle 2.2.2, subparagraphs (i)and(ii)oftheAnti-Dumping Agreement?
12. Under Article 8.6,inwhatcasescanthetemporary maintenance ofanundertaking beconsidered
inthecaseofanegative determination ofdumping orinjury? What evidence willtheinvestigating
authority usetocomplete theinvestigation once aprice undertaking hasbeenagreed between the
interested parties?
13. With regard toArticle 2.10(a), whatismeant by"areasonable estimate ofthemarket value
ofthedifference" inphysical characteristics? Please specify themethod ofestimation andthepreferred
sources from which itisobtained?
14. Withregard toArticle 2.10(d), whatismeant bydifferences inlevels oftrade andhowisthis
different fromother types ofdifferences included indiscounts, rebates, quantities andother terms and
conditions ofsale?
15. What ismeant by"areasonable estimate ofthemarket value ofthephysical difference", and
whatisthemethod ofestimation, andthepreferred sources forobtaining suchestimation?
16. Withregard tothecalculation ofthemargin ofpricediscrimination onthebasisofacomparison
transaction bytransaction, howarethetransactions tobecompared selected -i.e.considering clients,
dates orsome other criterion?
17. With respect toArticle 2.12, please explain theweighting factor used tocalculate the
weighted-average price discrimination margin.
18. What istheroleoftheconsultations provided forinArticle 15,paragraph 3,inthedetermination
oftheexistence andamount ofinjury?
19. With regard toArticle 16.1, arethereasons given theonlyonesforwhich verification ofthe
information willnotbecarried out?
20. With regard toArticle 16,whataretheconsequences ofnotaccepting averification visit?
21. What sampling criteria areconsidered statistically validintheCommunity 'sviewinaccordance
withArticle 17.1?G/ADP/Q1/EEC/5
G/SCM/Q1/EEC/5
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22. With regard toArticle 17,howistheprice discrimination margin calculated forenterprises
thatarenottaken intoaccount inthesample butexpress aninterest inparticipating, orforenterprises
which provide information andevensoarenottaken intoaccount forthesample under Article 17,
paragraph 3?
23. What isthemeaning of"alessfavourable result" inArticle 18.6?
24. With regard toArticle 18,whatistheprobative value oftheapplicant 'sassertions inrelation
tothepartial information provided bysome other party appearing intheproceedings?