RESTRICTED
WORLD TRADE G/ADP/W/39
G/SCM/W/47
28July1995
ORGANIZATION(95-2200)
Original: Spanish Committee onAnti-Dumping Practices
Committee onSubsidies andCountervailing Measures
QUESTIONS CONCERNING THE NOTIFICATIONS PROVIDED BYTHE
GOVERNMENT OFCHILE OFLAWS AND REGULATIONS UNDER
ARTICLES 18.5AND 32.6OFTHE AGREEMENTS
Thefollowing communication, dated 14July,hasbeenreceived formthePermanent Mission
ofVenezuela.
_______________
Iamforwardingherewith,forinformationandappropriateaction,theGovernmentofVenezuela's
questions concerning thenotifications oflawsandregulations onanti-dumping practices andsubsidies
andcountervailing measures provided bytheGovernment ofChile (Document G/ADP/N/1/CHL/1
andG/SCM/M/1/CHL/1).G/ADP/W/39
G/SCM/W/47
Page2
QUESTIONS FROM VENEZUELA CONCERNING THE NOTIFICATION BY
CHILE OFITSACT AND REGULATIONS ONTHE APPLICATION OF
ANTI-DUMPING AND COUNTERVAILING MEASURES
InDocuments G/ADP/N/1/CHL/1 andG/SCM/N/1/CHL/1, dated 7April 1995, Chile notified
thattheAgreementonImplementationofArticleVIoftheGeneralAgreementonTariffsandTrade1994
andtheAgreement onSubsidies andCountervailing Measures areapplied withforce oflawinChile.
Itwasalsonoted that,atpresent, theexisting legislation, namely Article 11ofLawNo.18525
anditsRegulations, Decree No.575,isbeing applied.
I. Priority intheapplication oftherules
Inadministrative practice, whatisthehierarchical order ofapplication ofthelaws, taking into
consideration thattheAgreements oftheWorld Trade Organization formpartoftheChilean legislation
withforce oflaw?
II. Initiation ofinvestigation onowninitiative
(Article 17oftheRegulations, Article 5.4oftheAnti-Dumping Code andArticle 11.4ofthe
Subsidy Code).
1. How, under theChilean legislation, isadumping orsubsidy investigation initiated exofficio ?
2. Toinitiate aninvestigation exefficio isitsufficient fortheCommission tobeinpossession
ofinformation which justifies itinsodoing ordoesthepresent Chilean legislation require theexistence
ofsufficient evidence ofinjury tothedomestic industry caused bydumped orsubsidized imports before
theCommission canproceed?
III. Period forevidence
(Article 14oftheRegulations, Articles 6.1and6.2oftheAnti-Dumping Code andArticles 12.1
and12.1.1 oftheSubsidy Code).
According totheRules oftheWorld Trade Organization, theparties must begiven ample
opportunity topresent theirarguments. Inthisrespect, bothArticle 12.1.1 oftheAgreement on
SubsidiesandCountervailingMeasuresandArticle6.1oftheAgreementonImplementationofArticleVI
oftheGATT 1994allow exporters, domestic producers andinterested Members atleastthirty (30)days
toreply toquestionnaires. HowisArticle 14oftheRegulations under Article 11ofLawNo.18525
applied?
IV. Provisional measures
(Article 19oftheRegulations, Article and7.3and7.2oftheAnti-Dumping Code and
Articles 17.3and17.2oftheSubsidy Code).
Under theAgreements oftheWorld Trade Organization, noprovisional measure maybeapplied
sooner thansixty (60)daysfrom thedateofinitiation ofaninvestigation.G/ADP/W/39
G/SCM/W/47
Page3
1. What criterion hasbeen employed bytheCommission withregard totheapplication of
provisional measures, considering thatunder theChilean legislation suchmeasures maybeapplied
atanystage intheinvestigation andwithin aperiod ofsixty(60)daysfromthedateofitsinitiation?
Withreference toprovisional measures, boththeAgreement onSubsidies andCountervailing
Measures andtheAgreement onImplementation ofArticle VIoftheGATT 1994 specify thatthey
should preferably taketheform ofaprovisional dutywhich maybesecured byabond. However,
theChilean legislation doesnothaveanyequivalent condition.
2. Doesnotfailing toprovide fortheposting ofabondtosecure thepayment ofprovisional duties
amounttohinderinginternationaltrade,consideringthatthecashpaymentofsuchdutiesmayberegarded
asanextremely onerous burden ontheimporter orexporter, asthecasemaybe?
V. Retroactivity
(Article 24oftheRegulations, Article 10.3oftheAnti-Dumping Code andArticle 20.3of
theSubsidy Code).
1. WhydoestheChilean legislation transfer theCommission 'sresponsibility forrefunding excess
payments totheperson affected byallowing himalimited period within which toapply, withthe
consequence thathisrightmaylapse ifhefailstoapply before thetime-limit expires?