WORLD TRADE G/ADP/N/1/ISL/1
G/SCM/N/1/ISL/1
ORGANIZATION 23May1995
(95-1378)
Original: English Committee onAnti-Dumping Practices
Committee onSubsidies andCountervailing Measures
NOTIFICATION OFLAWS AND REGULATIONS
UNDER ARTICLES 18.5AND 32.6OFTHE AGREEMENTS
ICELAND
Thefollowing communication, dated 16May1995, hasbeenreceived from thePermanent
Mission ofIceland.
_______________
Please findenclosed acopyofArticles 115-119 ofIceland 'sCustoms LawNo.55/1987 and
Regulation No.351/1994, inaccordance withArticle 18.5oftheAgreement onImplementation of
Article VIoftheGATT 1994 andArticle 32.6oftheAgreement onSubsidies andCountervailing
Measures. ThePermanent Mission wishes toinform thatthislegislation isunder review inlightof
therelevant provisions oftheWTO Agreements.G/ADP/N/1/ISL/1
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Anti-Dumping andCountervailing Duties;
Customs LawNo.55/1987,
asamended byLawNo.66/1994 (inbrackets)
Article 115
When itmaybeconsidered thatforeign goods arebeing imported oroffered ondumping terms
andthatsuchdumping islikely tocause realprejudice todomestic business activities ormaycause
seriousimpedimenttosuchactivities,theMinistermayimposeanti-dumpingduties,asacountermeasure
against suchtrade.
Forthesamepurposeandonthesameconditions,theMinistermayimposespecialcountervailing
duties when export bounty, subsides, refund andthelike,granted abroad, maybeexpected tocause
inthiscountry theconditions described inparagraph 1.
[TheMinister may, furthermore, impose anti-dumping andcountervailing duties onforeign
trade inservices onthesame conditions asapplicable totrade ingoods inaccordance withprovisions
ofthisChapter.
TheMinister 'sdecisions onthismatter shallenter intoforce onthedaytheyarepublished
inStjórnarti õindi(theGovernment Gazette) andshallnotbeinforce foralonger duration thanfive
years.
TheMinister canappoint acommittee toinvestigate complaints regarding theimportation of
goods ondumping terms orwithsubsidies andtomake recommendations totheMinister onthe
imposition ofanti-dumping andcountervailing duties. Provisions ofthisLawshallapply tothetasks
ofthecommittee, rights andobligations, asfarasapplicable.]
Article 116
InthisLaw, dumping ordumping terms shallbedeemed toapply totheimportation oroffering
offoreign goods
(a) atapricelower thancomparable prices ofsuchgoods under normal business conditions
intheexport country, or
(b) when suchaprice isunavailable intheexport country, either
1. ataprice lower thanthemaximum export price ofsuchgoods tosome other
country, or
2. ataprice lower thanthecostofproducing thegoods inthecountry oforigin,
withtheaddition ofareasonable mark-up formarketing costandprofit.
Inthecomparison mentioned inparagraph 1,consideration shallbegiven todifferences in
salesanddelivery terms, transportation cost,taxes andother factors which maybeofrelevance.G/ADP/N/1/ISL/1
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Article 117
Anti-dumping duties must notexceed thedumping margin, i.e.thedifference between the
dumping price andtheprice being compared.
Countervailing duties mustnotexceed thepayments orsubsidies which aredirectly orindirectly
granted inconnection withthemanufacture, processing, exportation ortransportation ofthegoods.
Article 118
Anti-dumpingandcountervailingdutiesinaccordancewiththeaboveprovisionsmaybeimposed
upononeormore articles ortypes ofgoods, ongoods fromoneormore consignors, orongoods from
oneormore countries.
Anti-dumping andcountervailing duties maybeimposed temporarily untilfurther information
isavailable, ifadelay isconsidered likely tocause damage. [Such temporary duties, however, may
notbeimposed foralonger duration than12months.]
TheMinister canissue further provisions concerning anti-dumping andcountervailing duties
andpayment thereof. Thelegalprotection ofthese duties shallbeinaccordance withtheprovisions
ofArticle 111.
Article 119
[Anti-dumping andcountervailing duties shallnotbeimposed retroactively except:
(a) When aproduct hasbeenimported ingreat quantities during ashort period oftime
andoffered ondumping terms which havecaused damage domestically. Insuchcases
anti-dumping duties maybeimposed retroactively onimportation ifsuchaction islikely
toprevent further importation ondumping terms.
(b) When aproduct having benefited from export bounty, subsidies, refund andthelike
hasbeenimported ingreatquantities during ashort period oftimeandcauses damage
difficult tocompensate for. Insuchcases countervailing duties maybeimposed
retroactively onimportation ifsuchaction islikely toprevent further importation of
products subsidized inthismatter.
(c) When apromise tostopimportation, falling within paragraphs 1-3ofArticle 115,has
beenbroken.
Anti-dumping orcountervailing duties imposed retroactively, cancover products imported up
to90daysbefore theMinister ofFinance received acomplaint regarding importation subject to
paragraphs 1-3ofArticle 115.]G/ADP/N/1/ISL/1
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REGULATION
No.351/1994, onthepreparation andimplementation oflevyandcollection of
anti-dumping andcountervailing duties
CHAPTER I
General Provisions
Applicability
Article 1
ThisRegulation laysdown provisions onspecial measures forpreventing foreign goods from
being imported oroffered forsaleondumping terms orsubject toexport bounty, subsidies, refund
andthelikeabroad, causing orthreatening tocause injury todomestic industries orcausing serious
impediment thereto. Thisregulation isequally applicable totrade inservices.
Intheimplementation ofthisRegulation, consideration must begiven toprovisions offree
trade agreements andinternational agreements towhich Iceland isaparty.
Advisory Committee
Article 2
TheMinister ofFinance shallappoint seven experts, foraperiod offouryears eachtime, to
anAdvisory Committee which shalldealwithcomplaints inaccordance withArticle 23andperform
other duties which areentrusted totheCommittee inthisRegulation. Onecommittee member shall
benominated bytheMinister ofTrade andIndustry, another bytheMinister ofFisheries, thethird
bytheMinister ofAgriculture, thefourth bytheMinister ofForeign Affairs, theFifth bythe
Competition Authority, thesixth shallbetheGeneral Director ofCustoms orhisdeputy, butone
committee member shallbeappointed without nomination. TheMinister shallappoint oneofthe
committee members aschairman oftheAdvisory Committee. TheCompetition Authority andthe
Directorate ofCustoms shallrender assistance totheCommittee asneeded. Thecostofthework of
theAdvisory Committee shallbepaidbytheState Treasury.
Dumping
Article 3
Theterm"dumping" means thattheexport priceofaproduct, asdefined inArticle 10,islower
thanthenormal value ofthelikeproduct, asdefined inArticles 5to9.
Subsidies
Article 4
Theterm"subsidies" means anysubsidy bestowed directly orindirectly inthecountry oforigin
orexport upon themanufacture, production, export ortransport ofaproduct.
Theexemption ofaproduct from import charges orindirect taxes effectively borne bythe
likeproduct andbymaterials incorporated therein, when destined forconsumption inthecountry of
origin orexport, ortherefund ofsuchcharges ortaxes, shallnotbeconsidered asasubsidy forthe
purposes ofthisRegulation.G/ADP/N/1/ISL/1
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Normal Value
Article 5
Forthepurposes ofthisRegulation, thenormal value shallbe:
1. Thecomparable priceactually paidorpayable intheordinary course oftradeforthelikeproduct
intended forconsumption intheexporting country orcountry oforigin. Consideration shallbegiven
todiscounts orrefund directly linked totheproduct under investigation, provided thataninterested
party claims andsupplies sufficient evidence thatsuch discounts orrefund hasbeen granted.
Consideration maybegiven todeferred discounts ifevidence isproduced toshow thatthediscounts
were granted inaccordance withprior business transactions orinaccordance withanunder taking
tocomply withtheconditions required toqualify forthedeferred discount.
2. When there arenosalesofthelikeproduct intheordinary course oftrade onthedomestic
market oftheexporting country orthecountry oforigin, orwhen suchsalesdonotpermit aproper
comparison, thenormal value shallbeeither:
(a) thecomparable price ofthelikeproduct when suchaproduct isexported toathird
country, which maybethehighest export pricebutordinarily corresponds tothatwhich
isnormal intrade.
(b) Theconstructed value,calculated onthebasis ofthecostofproduction ofthelike
product withtheaddition ofareasonable mark-up formarketing costandprofit. The
costofproduction shallbecomputed onthebasis ofallcosts intheordinary course
oftrade inthecountry oforigin, including bothfixed andvariable costs, materials
andlabour, aswellasareasonable mark-up forselling, administrative andothergeneral
expenses. Theamount forselling, administrative andother general expenses andprofit
shallbecalculated onthebasisoftheexpenses incurred andtheprofit realized bythe
producer orexporter ontheprofitable salesoflikeproducts onthedomestic market.
Ifsuchdataisunavailable, unreliable ornotsuitable forusetheyshallbecalculated
onthebasis oftheexpenses incurred andtheprofit realized byother producers or
exporters inthecountry oforigin orexport onprofitable sales ofthelikeproduct.
Ifneither ofthese twomethods canbeapplied, theexpenses incurred andtheprofit
realized shallbecalculated byreference tothesalesmade byanexporter orproducer
inthesame business sector intheexporting country orthecountry ororigin oron
anyother reasonable basis.
3. Where theexporter inthecountry oforigin neither produces norsellsthelikeproduct inthe
country oforigin, thenormal value shallbeestablished onthebasisofprices orcostsofother sellers
orproducers inthecountry oforigin inthesame manner asmentioned insubparagraphs (a)and(b).
Normally theprices orcosts oftheexporter 'ssupplier shallbeusedforthispurpose.G/ADP/N/1/ISL/1
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Article 6
Whenevertherearereasonablegroundsforsuspectingthatthepriceatwhichaproductisactually
soldforconsumption inthecountry oforigin islessthanthecostofproduction asdefined inArticle 5,
paragraph 1,point 2,salesatsuchprices willbeconsidered asnothaving beenmade intheordinary
course oftrade if:
1. Asubstantial quantity isinvolved during theinvestigation period, cf.Article 25,
paragraph 4.
2. Atprices which donotpermit recovery, inthenormal course oftrade andwithin the
period referred toinpoint 1,ofallcosts reasonably allocated.
Ifaproduct isnotsoldintheordinary course oftrade inaccordance withparagraph 1,the
normal value maybedetermined onthebasisofsalesduring periods otherthantheinvestigation period,
provided thattherelevant price isnotlessthanthecostofproduct. Ifnosuchsaleshavetaken place
thenormal value maybedetermined inaccordance withArticle 5,paragraph 2.
Ifthenormal value cannot bedetermined inaccordance withparagraph 2,thenormal price
ofaproduct maybedetermined bywayofeliminating lossandproviding forareasonable profit.
Article 7
Inthecaseofimports fromnon-market economy countries, normal value shallbedetermined
inanappropriate andreasonable manner onthebasis ofoneofthefollowing criteria:
1. Based ontheprice atwhich thelikeproduct ofamarket economy third country is
actually soldforconsumption onthedomestic market ofthatcountry, ortoother
countries.
2. Based ontheconstructed value ofthelikeproduct inamarket economy thirdcountry.
3. Based ontheprice actually paidorpayable inthiscountry forthelikeproducts, duly
adjusted, ifnecessary, toinclude areasonable profit margin, ifneither price nor
constructed value asestablished under points 1.and2.provides anadequate basis.
Article 8
Where aproduct isnotimported directly from thecountry oforigin, thenormal value shall
bethecomparable price actually paidorpayable forthelikeproduct onthedomestic market ofthe
exporting country. Where aproduct ismerely transshipped through thecountry ofexport, notproduced
there andnocomparable price forthelikeproduct exists inthecountry ofexport, thebasis shallbe
theprice inthecountry oforigin.G/ADP/N/1/ISL/1
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Article 9
Forthepurpose ofdetermining normal value inaccordance withthisRegulation, transactions
between parties which areconsidered toberelated under thedefinition ofArticle 8oftheCustoms
Laworhaveacompensatory arrangement witheachother, shallbeconsidered asnotbeing inthe
ordinary course oftrade unless theAdvisory Committee, cf.Article 2,issatisfied thattheprices and
costs involved arecomparable tothose involved intransactions between parties which havenosuch
link.
Export Price
Article 10
Theexport price shallbetheprice actually paidorpayable foraproduct atimportation net
ofalltaxes, discounts andrebates actually granted anddirectly related tothesalesunder consideration.
Deferred discounts shallalsobetaken intoconsideration iftheyareactually granted anddirectly related
tothesalesunder consideration.
Incases where there isnoexport price orwhere itappears thatthere isarelationship ora
compensatory arrangement between theexporter andtheimporter orathirdparty, orthatforother
reasons theprice actually paidorpayable fortheproduct upon importation isunreliable, theexport
pricemaybeconstructed onthebasisofthepriceatwhich theproduct isfirstresold toanindependent
party. Iftheproduct isnotresold toanindependent party ornotresold inthecondition imported,
theprice maybedetermined onanother reasonable basis. Insuchcases, allowance shallbemade for
allcostsincurred between importation andresale andforareasonable profit margin. Suchallowances
shallinclude, inparticular, thefollowing:
1. Usual transport, insurance, loading andancillary costs.
2. Customs duties, anti-dumping duties andother taxes payable inthiscountry byreason
oftheimportation orsaleofthegoods.
3. Areasonable margin foroverheads andprofit and/or anycommission usually paidor
agreed.
Comparison
Article 11
Thenormal value andtheexport price inaccordance withthisRegulation, shallbecompared
asnearly aspossible atthesame time. Forthepurpose ofensuring afaircomparison, dueallowance
shallbemade forfactors affecting thecomparability, i.e.fordifferences in:
1. Physical characteristics; normal value asdetermined inaccordance withArticles 5
to9shallbeadjusted byanamount corresponding toareasonable estimate ofthevalue
ofthedifference inthephysical characteristics oftheproduct concerned.
2. Import charges andindirect taxes; normal value shall bereduced byanamount
corresponding toanyimport charges orindirect taxes borne bythelikeproduct and
bymaterials physically incorporated therein, when destined forconsumption intheG/ADP/N/1/ISL/1
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country oforigin orexport andnotcollected orrefunded inrespect ofgoods imported
tothecountry.
3. Selling expenses resulting from sales made atdifferent levels oftrade, indifferent
quantities orunder different conditions andterms ofsale. Selling expenses include,
interalia:
(a) Transport, insurance, loading andancillary costs:Normal value shall be
reduced bycosts incurred forconveying theproduct concerned from the
premises oftheexporter tothefirstindependent buyer. Theexport priceshall
bereduced bycosts incurred bytheexporter forconveying theproduct
concerned fromitspremises intheexporting country toitsdestination inthis
country.
(b) Packing :Normal value shallbereduced bythecosts ofthepacking forthe
product concerned.
(c) Credit :Normal value shallbereduced bythecostofanycredit granted for
thesaleoftheproduct under consideration. Theamount ofthereduction shall
becalculated byreference tothenormal commercial credit rateapplicable in
thecountry oforigin orexport.
(d) Warranties, guarantees, technical assistance andother after-sale services :
Normal value shallbereduced byanamount corresponding todirect costsof
providing warranties, guarantees, technical assistance andother services.
(e) Other selling expenses :Normal value shall bereduced byanamount
corresponding tocommissions paidinrespect ofthesaleunder consideration.
Thesalaries paidtosalesmen, i.e.personnel wholly engaged indirect selling
activities, shallalsobededucted.
Theamount ofanyadjustment shall becalculated onthebasis ofrelevant dataforthe
investigation period orthedataforthelastfinancial year. Aclaim foradjustment which isinsignificant
inrelation tothepriceorvalue oftheaffected transaction shallbedisregarded. Ordinarily, individual
adjustments inaccordance withparagraph 1,points 1.to3.having aneffect oflessthan0.5percent
oftheprice ofaproduct shallbeconsidered insignificant.
LikeProduct
Article 12
Forthepurposes ofthisRegulation, "likeproduct" means aproduct which isidentical inall
respects totheproduct under consideration, or,intheabsence ofsuchaproduct, another product which
hascharacteristics closely resembling those oftheproduct under consideration.G/ADP/N/1/ISL/1
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Article 13
Theterm"domestic industries" shall beinterpreted asreferring toalldomestic producers
producing products likethose offered ondumping terms orsubsidized, orthose producers whose
collective output oftheproducts constitutes amajor proportion ofthetotaldomestic production of
those products, excluding however producers whoarerelated toexporters orimporters under the
definition ofArticle 8oftheCustoms Law, orarethemselves importers oftheproducts under
consideration foralleged importation ondumping terms orsubsidized.
Dumping Margin
Article 14
"Dumping margin" refers tothedifference between thenormal value andtheexport price,
when thenormal value exceeds theexport price. Where dumping margins varytheirweighted averages
maybecalculated.
Article 15
Ifthedifference between thenormal value andtheexport priceis5percentorless,proceedings
inaccordance withthisRegulation shallbeterminated.
Allocation ofCosts
Article 16
Ingeneral, allcostcalculations shallbebased onavailable accounting dataandallocated in
proportion totheturnover foreachproduct andmarket under consideration.
Averaging andSampling
Article 17
Where prices vary:
1. Normal value shallnormally becalculated onaweighted average basis.
2. Export prices shallnormally becompared withthenormal value onatransaction-by-
transaction basisexcept where theuseofweighted averages would notmaterially affect
theresults oftheinvestigation.
3. Sampling techniques maybeusedwhen asignificant volume oftransaction isinvolved,
e.g.theuseofthemostfrequently occurring price maybeapplied toestablish normal
value orexport prices.G/ADP/N/1/ISL/1
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Calculation ofSubsidies
Article 18
Theamount ofthesubsidy shallbecalculated perunitofthesubsidized product imported to
thecountry.
Incalculating theamount ofanysubsidy thefollowing elements shallbededucted from the
totalsubsidy, provided thataninterested party claims adeduction andproves thattheclaim isjustified.
1. Application feeorother comparable costs.
2. Export taxes, duties orother charges levied ontheimport oftheproduct tothecountry
andspecially intended tooffset thesubsidy.
Where thesubsidy isgranted byreference toquantities, theamount shallbedetermined by
allocating thevalue ofthesubsidy, asappropriate, overthelevelofproduction orexports oftheproducts
concerned during asuitable production period. Normally thisperiod shallbetheaccounting yearof
thebeneficiary.
Where thesubsidy isbased upontheacquisition offixed assets, thevalue ofthesubsidy shall
becalculated byspreading thesubsidy across aperiod which reflects thenormal depreciation ofsuch
assets intheindustry concerned. Where theassets arenon-depreciating, thesubsidy shallbevalued
asaninterest-free loan.
Inthecaseofimports from anon-market economy country, theamount ofanysubsidy may
bedetermined inanappropriate andreasonable manner, bycomparing theexport pricewiththenormal
value. Theprovisions ofArticle 11shallapply tosuchacomparison.
Where theamount ofsubsidization varies, weighted averages maybeestablished.
Injury
Article 19
Anti-dumping orcountervailing duties shallbelevied inaccordance withprovisions ofthis
Regulation onlyifthedumped orsubsidized imports havecaused orthreatened tocause injury to
domestic industries orcaused serious impediment thereto. Injuries, threatened injuries orserious
impediment todomestic industries caused byother factors, suchasalarge volume orlowprices of
imports which arenottheresult ofdumping orsubsidization, shallnotbecounteracted bymeans of
anti-dumping orcountervailing duties.
Article 20
Anassessment ofinjury shall, interalia,involve thefollowing factors:
1. Volume ofdumped orsubsidized imports, inparticular whether there hasbeen a
significant increase, either inabsolute terms orrelative toproduction orconsumption
inthiscountry.G/ADP/N/1/ISL/1
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2. Theprices ofdumped orsubsidized imports, inparticular whether there hasbeena
significant price under cutting ascompared withtheprice ofalikeproduct inthis
country.
3. Theconsequent impact ontheindustry concerned asindicated byactual orpotential
trends intherelevant economic factors, suchasproduction, utilization ofcapacity,
stocks, sales, market share, prices, e.g.depression ofprices orprevention ofprice
increases which otherwise would haveoccurred, return oninvestment, cashflowand
thenumber ofemployees.
Article 21
Athreat ofinjury onlyexists where aparticular situation islikely todevelop intoanactual
injury. Inthisregard account maybetaken offactors suchas:
1. Rateofincrease ofthedumped orsubsidized exports tothecountry.
2. Export capacity inthecountry oforigin orexport, already inexistence orwhich will
beoperational intheforeseeable future, andthelikelihood ofimports tothecountry,
3. Thenature ofanysubsidy andthetrade effects likely toarisetherefrom.
Article 22
Theeffect ofthedumped orsubsidized imports shallbassessed inrelation tothedomestic
production ofthelikeproduct when available datapermit itsseparate identification. When thedomestic
production ofthelikeproduct hasnoseparate identity, theeffect ofthedumped orsubsidized imports
shallbeassessed inrelation totheproduction ofthenarrowest group orrange ofproduction which
includes thelikeproduct.
CHAPTER II
Procedure
Complaint
Article 23
Parties considering thataproduct isbeing imported ondumping terms orsubsidized maylodge
awritten complaint withtheMinistry ofFinance. Thecomplaint shallcontain sufficient evidence of
theexistence ofdumping orsubsidization having caused injury orthreatened tocause injury orserious
impediment todomestic industries.
Thecomplaint mustbesubmitted forthwith totheAdvisory Committee, cf.Article 2,which
carries outapreliminary examination ofthematter. Thechairman oftheCommittee must convene
ameeting within fivedaysfrom thelodging ofthecomplaint withtheMinistry ofFinance.
Proceedings shallbeterminated ifacomplaint iswithdrawn, unless suchtermination would
beconsidered nottobeintheinterest ofdomestic industries.G/ADP/N/1/ISL/1
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Preliminary Examination
Article 24
Thepreliminary examination shallinparticular cover:
1. Theexistence ofdumping orofasubsidy inconnection withtheproduct against which
acomplaint hasbeenlodged andthemethods ofestablishing thedumping margin or
theamount ofthesubsidy.
2. Theexistence andextent ofinjury.
3. Thecausal linkbetween thedumped orsubsidized imports andtheinjury oralleged
injury.
4. Themeasures which, inthecircumstances, areappropriate toprevent orremedy the
injury caused bydumping orthesubsidy andtheways andmeans forputting such
measures intoeffect.
Whereitbecomesapparentafterthepreliminaryexaminationthatthecomplaintdoesnotprovide
sufficient evidence tojustify initiating andinvestigation, theAdvisory Committee must inform the
Ministry ofFinance thereof andtheMinistry shallinwriting notify thecomplainant oftheoutcome.
Investigation
Article 25
If,afterthepreliminaryexaminationhasbeenconcluded,cf.Article24,theAdvisoryCommittee
findsthatthereissufficient evidence tojustify initiating aproceeding, aninvestigation mustcommence
forthwith.
Thecommencement ofaninvestigation shallbeannounced inLogbirtingabladid (theLegal
Bulletin). Suchannouncements shallindicate theproduct under investigation andtherelevant country
ofexport ororigin. Furthermore, theyshallgiveasummary oftheinformation received andshall
statetheperiod within which interested parties maysubmit information andmake known theirviews
inwriting.
TheCommitteemustnotifythecomplainantandotherknowninterestedparties,suchasexporters,
importers andauthorities intheexporting country, ofthecommencement ofaninvestigation.
Aninvestigationshall,dependingonthecircumstances,coverbothdumpingand/orsubsidization
andinjury resulting therefrom. Theinvestigation shallnormally cover aperiod ofnotlessthansix
months immediately prior tothedateoftheannouncement concerning thecommencement ofthe
investigation.
Article 26
During theinvestigation ofacasetheAdvisory Committee shallseekallinformation itdeems
tobenecessary andhavetherecords ofrelevant importers, exporters, traders, agents, producers, trade
associations andorganizations examined.G/ADP/N/1/ISL/1
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TheAdvisoryCommitteemayrequestauthoritiesinthiscountrytorenderassistanceinprocuring
information andtocarry outnecessary checks andinspections, particularly amongst importers, traders
andproducers inthiscountry.
When considered necessary, theAdvisory Committee canhaveinvestigations carried outabroad
totheextent possible. TheAdvisory Committee shall beofassistance toofficials oftherelevant
countries intheinvestigation ofthecasewhen sorequested.
Article 27
TheAdvisory Committee maydecide togiveparties theopportunity tostatetheircaseorally
iftheoutcome ofacaseislikely toaffect theirinterests andarguments areinfavour oforalpresentation.
Furthermore theCommittee cangivetheparties directly concerned anopportunity tomeet
before theCommittee sothatopposing views maybepresented andanyrebuttal argument putforward.
There shallbenoobligation onanyparty toattend suchameeting andfailure todososhallnotbe
prejudicial tothatparty'scase.
Article 28
Incases inwhich anyinterested party, cf.Article 25,paragraph 2,refuses access toordoes
notprovide necessary information within areasonable period, orsignificantly impedes theinvestigation,
afinalruling onthecomplaint maybemade orprovisory measures maybetaken onthebasis ofthe
factsavailable. Where theCommittee finds thatanyinterested party hassupplied itwithfalseor
misleading information, itmaydisregard anysuchinformation anddisallow anyclaim towhich this
refers.
Article 29
Anti-dumping orcountervailing investigations shallnotconstitute abartocustoms clearance
oftheproduct concerned.
Aninvestigation shall beconcluded either byitstermination orbydefinitive action. An
investigation should normally beconcluded within oneyearofitscommencement.
CHAPTER III
Decisions ontheConclusion ofaCase
Termination ofProceedings
Article 30
IftheAdvisory Committee considers afteraninvestigation thatmeasures areunnecessary, it
shallsubmit totheMinister ofFinance forthwith areport ontheresults together withaproposal that
theproceeding beterminated.
IftheMinister ofFinance agrees totheproposals oftheAdvisory Committee ontermination
oftheproceeding, theAdvisory Committee shallinform representatives ofthecountry oforigin orG/ADP/N/1/ISL/1
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exportandthepartiesknowntobeconcernedontheMinister'sdecisionandshall,furthermore,announce
thedecision Logbirtingabladid (theLegal Bulletin) setting forthbasicconclusions andlegalarguments.
Undertakings
Article 31
Where, during thecourse ofaninvestigation, undertakings areoffered which theAdvisory
Committee considers acceptable, theinvestigation maybeterminated.
Theundertakings arethose under which:
1. Thesubsidy iseliminated orlimited, orother satisfactory measures taken bythe
authorities ofthecountry oforigin orexport.
2. Prices arerevised orexport cease totheextent thattheAdvisory Committee issatisfied
thattheinjurious effects ofthedumping margin orsubsidies areeliminated. When
aparty waives asubsidy ordoesnotuseit,aconfirmation thereof fromtheauthorities
ofthecountry oforigin orexport mustbeprovided. Undertakings maybesuggested
bytheAdvisory Committee.
Thetermination ofaninvestigation under thisArticle doesnotpreclude thefinite collection
oftheamount ofsecurity submitted duetotheimposition ofanti-dumping orcountervailing duties
inaccordance withprovisions ofArticle 34.
Article 32
When theAdvisory Committee hasaccepted anundertaking, itcannevertheless decide to
complete theinvestigation ofacase.
IftheAdvisory Committee makes adetermination ofnoinjury, theundertaking shalllapse.
However, where adetermination ofnothreat ofinjury isduetotheexistence ofanundertaking, the
Advisory Committee mayrequire thattheundertaking bemaintained.
Article 33
TheAdvisory Committee mayrequire anyparty fromwhom anundertaking hasbeenaccepted
toprovide periodically information relevant tothefulfilment ofsuchundertakings, andtopermit
verification ofpertinent data. Non-compliance withsuchrequirements shallbeconstrued asaviolation
oftheundertaking.
WheretheAdvisoryCommitteebelievesthatanundertakinghasbeenviolatedandwhereinterests
ofdomestic industries callforsuchintervention, theMinister ofFinance may, onrecommendation
bytheCommittee andafterhaving given theexporter anopportunity tocomment, apply provisional
anti-dumping orcountervailing duties onthebasis ofthefactsestablished before theacceptance of
theundertaking.G/ADP/N/1/ISL/1
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Provisional Measures
Article 34
Where preliminary examination shows thatthereisconsiderable likelihood ofunlawful dumping
orsubsidies under Chapter Iandthereissufficient evidence ofinjury caused thereby andtheinterests
ofthedomestic industries callforintervention toprevent injury being caused during theproceeding,
theAdvisory Committee canrecommend totheMinister ofFinance theimposition ofaprovisional
anti-dumping orcountervailing duty.
Insuchcases,customsclearanceoftheproductconcernedshallbeconditionalupontheprovision
ofsecurity intheformofamonetary deposit fortheamount oftheprovisional duty, definitive collection
ofwhich shallbedetermined bythesubsequent decision oftheMinister ofFinance under Article 35.
Provisional measures shallhaveamaximum period ofvalidity of12months.
Definitive Action
Article 35
Where theAdvisory Committee concludes thattherehasbeendumping orsubsidization during
theperiod under investigation, having caused orthreatened tocause injury orserious impediment to
domestic industries, theCommittee shallmake recommendation totheMinister ofFinance onthe
imposition ofanti-dumping orcountervailing duties.
Ifthedefinitive amount ofanti-dumping orcountervailing duties islessthantheprovisional
duty, thedifference shallberefunded.
CHAPTER IV
Imposition andCollection
General Provisions onDuties
Article 36
Adecision ontheimposition ofanti-dumping orcountervailing duties shallbepublished in
Stjórnarti õindi(theGovernment Gazette). Itshallindicate theamount andtypeofdutyimposed, the
product covered, thecountry oforigin orexport andthename ofsuppliers, ifpracticable. Furthermore,
theparty involved shallbenotified ofthedecision, together withthereasons onwhich itisbased.
Theamount ofanti-dumping andcountervailing duties shallnotexceed thedumping margin
ortheamount ofthesubsidy onwhich thedutyisbased. Ifaprovisional dutyhasbeenimposed, the
definitive dutyshallnotexceed theprovisional dutyforthepassed period. Alesser amount shallbe
determined ifconsidered adequate toremove theinjury.
Article 37
Anti-dumping orcountervailing duties shallnotbeimposed retroactively except:
1. When aproduct hasbeenimported ingreatquantities inashortperiod andoffered ondumping
terms causing injury domestically. Insuch cases anti-dumping duties maybeimposed
retroactively onimports when suitable inorder topreclude therecurrence ofdumped imports.G/ADP/N/1/ISL/1
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2. When aproduct benefiting from export subsidies paidorbestowed inconsistently withthe
provisions oftheGATT hasbeenimported ingreat quantities inashort period causing injury
which isdifficult torepair. Insuchcases countervailing duties maybeimposed retroactively
onimports when suitable inorder topreclude further imports ofproducts subsidized thus.
3. When anundertaking withregard toadumped orsubsidized product hasbeenviolated.
Anti-dumping orcountervailing duties imposed retroactively cancover imports upto90days
prior toacomplaint having beensubmitted inaccordance withArticle 23.
Article 38
Where aproduct isimported intothecountry from more thanonecountry, theappropriate
dutyshallbelevied onallimports ofsuchproduct found tobedumped orsubsidized andcausing injury,
excluding however imports inrespect ofwhich undertakings havebeenaccepted.
Anti-dumping orcountervailing duties shallbelevied independently ofother customs duties,
taxes andcharges normally collected upon thecustoms clearance ofgoods.
Noproduct shallbesubject tobothanti-dumping andcountervailing duties forthepurpose
ofdealing withoneandthesame situation arising fromdumping orfromthegranting ofanysubsidy.
Article 39
Anti-dumping andcountervailing duties maybeimposed onproducts thatareintroduced into
thecommerce ofthiscountry afterhaving beenassembled orproduced inthiscountry, provided that:
1. Theassembly orproduction iscarried outbyaparty related orassociated toa
manufacturer ofthelikeexport products onwhich anti-dumping orcountervailing duties
willbeimposed.
2. Theassembly orproduction wasstarted orsubstantially increased aftertheopening
oftheanti-dumping investigation.
3. Thevalue ofparts ormaterials, usedintheassembly orproduction andoriginating
inthecountryofexportationoftheproductsubjecttotheanti-dumpingorcountervailing
duty, exceeds thevalue ofallother parts ormaterials usedbyatleast50percent.
Inapplying thisprovision, account shallbetaken ofthevariable costsincurred intheassembly
orproduction andoftheresearch anddevelopment costs andthetechnology applied.
Products assembled orproduced inthiscountry shallbedeclared tothecustoms authorities
before theyareintroduced intocommerce. Forthepurposes oflevying anti-dumping orcountervailing
duties, suchadeclaration shallbeconsidered tobeequivalent toanimport declaration under theCustoms
Law.
Theamount oftheanti-dumping orcountervailing duty shall bethatapplicable tothe
manufacturers inthecountries oforigin ofproducts which maybesubject toanti-dumping dutyand
towhich adomestic manufacturer isrelated orassociated. Theamount shallbeproportional totheG/ADP/N/1/ISL/1
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anti-dumping orcountervailing dutyapplicable tothemanufacturer ofthecomplete product onthe
c.i.f. value oftheparts ormaterials imported.
Article 40
When aparty directly concerned submits sufficient evidence showing thattheanti-dumping
orcountervailing dutyhasdirectly orindirectly beenpaidbytheexporter, e.g.thattheresale price
tothefirstbuyer oftheproduct subject totheanti-dumping dutyisnotincreased byanamount
corresponding totheanti-dumping duty, theAdvisory Committee shallinvestigate thematter, andshall
giveexporters andimporters anopportunity tocomment onthematter.
Where theAdvisory Committee concludes thattheanti-dumping orcountervailing dutyhas
beenpaidbytheexporter inwhole orinpartandwhere theinterests ofdomestic industries callfor
intervention, anadditional dutyshallbeimposed inaccordance withtheprovisions ofthisRegulation.
Additional dutymaybeapplied retroactively inaccordance withtheprovisions ofArticle 37.
Insofar astheresults oftheinvestigation show thattheabsence ofapriceincrease byanamount
corresponding totheanti-dumping dutyisnotduetoareduction inthecostsorprofits oftheimporter
concerned, thenthisshallbeconsidered asanindicator thattheanti-dumping dutyhasbeenborne by
theexporter.
Review
Article 41
Decisions toimpose anti-dumping orcountervailing duties anddecisions toaccept undertakings
shallbesubject toreview, inwhole orinpart,where warranted.
Areview maybeheldontheinitiative oftheAdvisory Committee. Areview shallalsobe
heldwhere aninterested party sorequests andsubmits evidence ofchanged circumstances sufficient
tojustify theneedforsuchreview. Arequest forreview, however, shallnotbegranted unless atleast
sixmonths haveelapsed since theconclusion oftheinvestigation. Such requests shallbeaddressed
totheMinistry ofFinance.
Where, after preliminary examination, itbecomes apparent thatreview iswarranted, the
investigation shallbereopened inaccordance withArticles 25to27,where thecircumstances sorequire.
Such reopening shallnotperseaffect themeasures already decided upon.
Ifitisrevealed thatcircumstances forthelevyofanti-dumping orcountervailing duties have
changed, suchchanges shallbetaken intoaccount.
Article 42
Anti-dumping orcountervailing duties shalllapse notlaterthanfiveyears from thedateon
which adecision concerning theirimposition waspublished inStjórnarti õindi(theGovernment Gazette).
Where aninterested partyshows totheAdvisory Committee thattheexpiry oftheanti-dumping
orcountervailing dutywould leadagain toinjury, theCommittee shallpublish inLogbirtingabladidG/ADP/N/1/ISL/1
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(theLegal Bulletin) anotice ofthereview ofthepresent measures which might leadtoadecision of
maintaining measures inaccordance withtheprovisions ofthisRegulation.
Refund
Article 43
Where animporter canshow thattheanti-dumping orcountervailing dutycollected exceeds
theactual dumping margin ortheamount ofthesubsidy, theexcess amount shall bereimbursed
forthwith. Theamount oftherefund shallbedetermined inrelation tothechanges which haveoccurred
inthedumping margin ortheamount ofsubsidy fromthetimetheoriginal investigation wascarried
out.
AnimportershallsubmittotheMinistryofFinanceawrittenapplicationforrefundinaccordance
withparagraph 1.Ifanapplication warrants refund theAdvisory Committee shallcalculate theamount
tobereimbursed andshallforward theoutcome totheMinister ofFinance fordecision.
CHAPTER V
Miscellaneous Provisions
Confidentiality
Article 44
Information received pursuant totheprovisions ofthisRegulation shallbetreated asconfidential
ifsorequested.
Neither members oftheAdvisory Committee norothers shallreveal anyinformation which
hasbeensupplied inconfidence, without awritten permission from thesupplier.
Each request forconfidential treatment shallindicate whytheinformation isconfidential and
shallbeaccompanied byanon-confidential summary oftheinformation, orastatement ofthereasons
whytheinformation isnotsusceptible ofsuchsummary.
Information shallordinarily beconsidered tobeconfidential ifitsdisclosure islikely tohave
asignificantly adverse effect upon thesupplier orthesource ofsuchinformation.
Ifitappears thatarequest forconfidentiality isnotwarranted andifthesupplier iseither
unwilling tomake theinformation public ortoauthorize itsdisclosure ingeneralized orsummary form,
theinformation inquestion maybedisregarded. Theinformation mayalsobedisregarded where such
request iswarranted andthesupplier isunwilling tosubmit asummary.
Theprovisions ofthisArticle shallnotpreclude thedisclosure ofgeneral information bythe
authorities andwhen necessary inparticular ofthereasons onwhich decisions taken pursuant tothis
Regulation arebased. Suchdisclosure make takeintoaccount legitimate interest oftheparties concerned
thattheirbusiness secrets should notbedivulged.G/ADP/N/1/ISL/1
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Legal Protection, etal.
Article 45
Thecollection andlegal protection ofanti-dumping andcountervailing duties shallinother
respects begoverned bytheprovisions oftheCustoms LawNo.55/1987, assubsequently amended.
Entry intoForce
Article 46
ThisRegulation which isissued inaccordance withauthorization inArticles 118and148of
theCustoms LawNo.55/1987, assubsequently amended, shallenter intoforce forthwith.
TheMinistry ofFinance, 15June1994
FriorikSophusson
__________
Snorri Olsen