RESTRICTED
WORLD TRADE G/ADP/W/1/Suppl.1
G/SCM/W/9/Suppl.1
ORGANIZATION 13July1995
(95-1989)
Original: English Committee onAnti-Dumping Practices
Committee onSubsidies andCountervailing Measures
QUESTIONS CONCERNING THE NOTIFICATIONS PROVIDED
BYTHE GOVERNMENT OFCHILE OFLAWS AND
REGULATIONS UNDER ARTICLES 18.5AND 32.6THE AGREEMENTS
Supplement
Thefollowing communication, dated 11July,hasbeenreceived fromtheUnited States Trade
Representative.
_______________
Enclosed areadditional questions concerning theinjury aspects ofChile'santi-dumping and
countervailing dutylegislation which weintend topursue anextweek'smeeting.
INJURY
48. Theapplicable injury standard isvariously described as"serious injury" inArticle 10ofthe
LawandArticle 1oftheRegulations, "injury" inArticle 16oftheRegulations, and"current harm"
inSection 2.3oftheGuidelines. Arethese allthesame standard? Is"serious injury" ahigher or
lower threshold forinjury than"material injury" under Article 3oftheA-DAgreement andArticle 15
oftheSCM Agreement?
49. What isthemeaning oftheterm"benefits" inSection 2.3oftheGuidelines? Howdoesthis
factor conform tothefactors specified inArticle 3.4oftheA-DAgreement andArticle 15.4ofthe
SCM Agreement?
50. Section 2.5oftheGuidelines states thattheChilean National Commission (CNC) istoengage
inan"objective examination" ofthevolume andmarket penetration ofsubject imports, butdoesnot
statewhattheconsequences ofthatexamination willbe.Isthere anyprovision thatrequires theCNC
todetermine whether thevolume ofsubject imports issignificant, asrequired byArticle 3.2ofthe
A-DAgreement andArticle 15.2oftheSCM Agreement? Intheabsence ofanexplicit provision,
howwould Chile ensure theconformity ofitspractice withtheAgreements?
51. Under Section 2.5oftheGuidelines, doestheCNC consider anincrease inimport volume
inabsolute terms, orrelative toproduction andconsumption intheimporting country? SeeA-D
Article 3.2andSCM Article 15.2.
52. Section 2.5oftheGuidelines requires anexamination oftheprices ofdumped products on
the"demanded quantity ofnational production" ofthesubject merchandise andthe"reaction oftotalG/ADP/W/1/Suppl.1
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domestic demand." What ismeant by"demanded quantity ofnational production?" Howdoesitdiffer
from "total domestic demand?"
53. DothesecriteriainSection2.5concerninganalysisofpriceeffectsconformwiththerequirements
ofArticle 3.2oftheA-DAgreement andArticle 15.2oftheSCM Agreement, which speak tosignificant
price undercutting, price depression andsuppression?
54. There isnorequirement intheLaw, Regulations, orGuidelines forconsideration ofthe
magnitude ofthedumping margin. Intheabsence ofanexplicit provision, howwould Chile ensure
theconformity ofitspractice withArticle 3.4oftheA-DAgreement?
55. How dothecriteria forthreat determinations articulated inSection 2.4oftheGuidelines
implement therequirement ofArticle 3.7oftheA-DAgreement andArticle 15.7oftheSCM Agreement
thattheinjury must be"clearly foreseen andimminent?"
56. What isthemeaning oftheterm"containing theirlegitimate [price] increases," asusedin
Section 2.4oftheGuidelines? Isthisthesame astheconcept ofprice suppression articulated in
Article 3.7(iii) oftheA-DAgreement andArticle 15.7(iv) oftheSCM Agreement?
57. Section 2.4oftheGuidelines does notstate that, when making threat determinations in
countervailing dutyinvestigations, theCNC must consider thenature ofthesubsidies inquestion.
Isthisconsistent withArticle 15.7oftheSCM Agreement?
58. Theterm"domesticindustry,"isusedinseveralsectionsoftheboththeActandtheRegulations,
butisnotdefined. Istheconcept of"domestic industry" thesame astheconcept articulated inthe
second paragraph ofSection 2.3oftheGuidelines?
59. HowdoesChile'sapplication orconstruction oftheterm"domestic industry" conform with
therequirements ofArticle 4.1oftheA-DAgreement andArticle 16.1oftheSCM Agreement?
60. Theterm"interested parties" isusedinthesecond paragraph ofArticle 11oftheLawand
inArticle 12oftheRegulations, butisnotdefined. HowdoesChile'sapplication orconstruction of
thistermconform withtherequirements ofArticle 6.11oftheA-DAgreement andArticle 12.9of
theA-DAgreement?
61. Isthere anyrequirement thatnon-confidential information received bytheCNC pursuant to
Article 14oftheRegulations beprovided toallinterested parties? Ifnot,howdoesChile conform
withtherequirements ofArticle 6.4oftheA-DAgreement andArticle 12.3oftheSCM Agreement
thatinterested parties bepermitted toseeallnon-confidential information relevant tothepresentation
oftheircases?
62. Does Chilean lawimplement therequirement ofArticle 6.9oftheA-DAgreement and
Article 12.8oftheSCM Agreement thattheauthorities shallinform interested parties of"theessential
factsunder consideration" before afinaldetermination ismade? Ifnot,howwould Chile ensure the
conformity ofitspractice withtheAgreements?
63. Theprovisions inArticle 16oftheRegulations concerning finaldeterminations donotexpressly
require thattheexplanation ofthedetermination contain reasons fortheacceptance orrejection of
arguments made byexporters andimporters. Intheabsence ofanexplicit provision, howwould Chile
ensure theconformity ofitspractice withArticle 12.2.2 oftheA-DAgreement andArticle 22.5of
theSCM Agreement?G/ADP/W/1/Suppl.1
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64. Does Chilean lawinclude aprovision oncumulation? SeeA-D Article 3.3andSCM
Article 15.3. Intheabsence ofanexplicit provision, would Chile cumulate imports from different
countries, andifso,howwould Chile ensure theconformity ofitspractice withtheAgreements?