RESTRICTED
WORLD TRADE G/ADP/W/266
G/SCM/W/276
ORGANIZATION 25January 1996
(96-0270)
Original: English Committee onAnti-Dumping Practices
Committee onSubsidies andCountervailing Measures
REPLIES TOQUESTIONS POSED BYINDIA1CONCERNING
THE NOTIFICATION OFCANADIAN LAWS AND REGULATIONS2
Thefollowing communication, dated 11January 1996, hasbeenreceived fromthePermanent
Mission ofCanada.
_______________
1. HastheCanadian legislation entered intoforce?
TheWTOAgreementImplementationAct,which,amongotherthings,amendstheSpecialImport
Measures Act(SIMA) toimplement Canada 'santi-dumping andcountervailing dutyrights/obligations,
entered intoforceon1January 1995, inaccordance withthedetermination oftheMarrakesh Ministerial
Conference.
2. Indetermining normal value, export price, margin ofdumping oramount ofsubsidy under
sections 15to30oftheSIMA, where themanner ofdetermining thevalue ofthese terms
isnotspecified orsufficient information isnotavailable toenable adetermination as
provided forinthese sections, theDeputy Minister isgiven authority tomake these
determinations insuchmanner ashemayspecify. WilltheDeputy Minister 'sdiscretion,
insuchcases, becircumscribed bytheA-DandSCM Agreements? Ifnot,whatprocedures
arefollowed?
Theauthority tospecify incertain situations doesnotconfer unfettered discretion. Inaccordance
withgeneral administrative lawprinciples, thediscretion must beexercised inamanner consistent
withthestatute 'spurpose. Inthisregard, under Canadian law,theinternational Agreements which
theSIMA,implementswouldbeappropriateguidestointerpretingandlimitingthescopeofthediscretion
tospecify.
3. Does theSIMA contemplate theapplication ofalesser dutyrule?
Consistent withthepermissive nature ofArticle 9.1oftheWTO A-DAgreement and19.2
oftheSCM Agreement, Canada hasnotadopted alesser dutyrule.Thatbeing said,where theCanadian
International Trade Tribunal isoftheopinion thattheimposition ofanti-dumping orcountervailing
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duties, infullorinpart,isnotbeinthepublic interest, section 45oftheSIMA, allows theTribunal
tosoadvise theMinister ofFinance withfactsandreasons insupport. Interested persons canmake
representations totheTribunal ontheissue ofpublic interest andduties maybeadjusted onthebasis
oftheTribunal 'sreport.
4. How doesCanada implement Article 15oftheA-DAgreement which provides thatthe
possibility ofconstructive remedies shallbeexplored before applying anti-dumping duties?
Constructive remedies, asanalternative totheapplication ofA-Dduties, would beexplored
inthecontext oftheSIMA 'sprocedures respecting theacceptance ofundertakings.
5. How doesCanadian legislation implement themandatory requirement ofArticle 13.1of
theSCM Agreement regarding consultations after aproperly documented complaint and
before theinitiation ofaninvestigation?
Atthetimeofthenotification ofthePDC, theDeputy Minister ofNational Revenue advises
theMember concerned thattheMember isentitled toconsultations (inaccordance withArticle 13.1
oftheSCM Agreement).