RESTRICTED
WORLD TRADE G/SG/W/47
20October 1995
ORGANIZATION(95-3210)
Original: English Committee onSafeguards
QUESTIONS CONCERNING THE NOTIFICATION PROVIDED
BYKOREA OFLAWS AND REGULATIONS UNDER
ARTICLE 12.3OFAGREEMENT
Thefollowing communication, dated 12October 1995, hasbeenreceived fromthePermanent
Mission ofJapan.
_______________
[Foreign Trade Act]
1. Article 32
ThisArticle anticipates possible causes forthedamage tothedomestic industry asfollows:
- increase intheimport ofspecified goods,
- increase inthetrade ofspecified goods,
- increase inthesupply ofdistribution services.
(1) What isthemeaning of"trade"? What makes itdifferent from"import" inthiscase?
(2) What isthemeaning of"supply ofdistribution services"? Howcanyoujustify taking
safeguard measures onthegrounds thattheincrease ofsuchsupply ofdistribution
services specifically byforeigners causes orthreatens tocause damages tothedomestic
industry under Article XIXofGATT ortheAgreement onSafeguards (hereinafter
referred toasSGA)?
2. Article 34
Article 34(1) enumerates possible remedial measures (safeguard measures) which maybetaken
inthecasewhere theTrede Commission hasdetermined thatthere exists anydamage tothedomestic
industry asaresult oftheinvestigation:
(1) Oneofthose measures issuspension orprohibition ofimports against specified goods
ortraders. Issuchameasure consistent withtheSGA, inparticular, withparagraph 1
ofArticle 5oftheAgreement?
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(2) What kindofeffect doesithavetodesignate aparticular industry asanindustry to
berationalized under theIndustry Development Act? What docompanies inthat
industry havetodounder theIndustry Development Act?Dothose companies include
those runbyforeigners?
[TheCustoms Act]
Wehavesome questions concerning therelationship between theForeign Trade Actandthe
Customs Act. Forexample:
1. What isthedifference between theadjustment ofcustoms tariff under Article 34(1)2 ofthe
Foreign Trade Actandtheapplication ofemergency duties under theCustoms Act?
2. Inorder toimpose theemergency duties under theCustoms Acttothespecified products, is
theinvestigation bytheTrade Commission under theArticle 33oftheForeign Trade Act
prerequisite?
3. Arethereanyinvestigative procedures tobefollowed under theCustoms Actinorder toimpose
emergency duties asasafeguard measure which aredifferent from theprocedures under the
Foreign Trade Act? Ifso,please explain them indetail. What isthename oftheauthorities
competent toinitiate andconduct suchinvestigation?