WORLD TRADE G/SCM/N/1/MEX/1
17May1995
ORGANIZATION(95-1300)
Original: Spanish Committee onSubsidies andCountervailing Measures
NOTIFICATION OFLAWS AND REGULATIONS
UNDER ARTICLE 32.6OFTHE AGREEMENT
MEXICO
Thefollowingcommunication,dated2May1995,hasbeenreceivedfromthePermanentMission
ofMexico.
_________________
Inaccordance withtheestablished procedures, Iamforwarding herewith thetextoftheMexican
LawonUnfair Practices (subsidies andcountervailing measures) andthepertinent regulations.
Itshould benoted thattherelevant Mexican unfair practices legislation ismade upofvarious
provisions oftheMexican Foreign Trade ActanditsRegulations, together withtheAgreement on
Subsidies andCountervailing Measures oftheWorld Trade Organization.
Since theAgreement onSubsidies andCountervailing Measures iswell known, this
communication includes onlytheprovisions concerning unfair practices of:
- theForeignTradeAct,publishedintheDiarioOficialdelaFederación(OfficialJournal)
of27July1993 (Annex I);and
- theRegulations under theForeign Trade Act,published intheDiario Oficial dela
Federación of30December 1993 (Annex II).G/SCM/N/1/MEX/1
Page2
ANNEX I
FOREIGN TRADE ACT
TITLE V
UNFAIR INTERNATIONAL TRADE PRACTICES
Chapter I
General Provisions
ARTICLE 28-Theterm"unfair international tradepractices" means theimportation ofgoods
under conditions ofpricediscrimination orsubsidization inthecountry oforigin orsource which cause
orthreaten tocause injury tothedomestic industry. Natural orlegal persons importing goods in
circumstances involving unfair international trade practices shallbeobliged topayacountervailing
duty, inaccordance withtheprovisions ofthisAct.
ARTICLE 29-Theexistence ofprice discrimination orsubsidies, injury orthreat ofinjury
andacausal linkbetween themandtheimposition ofcountervailing duties shallbedetermined onthe
basis ofaninvestigation, inaccordance withtheadministrative procedure prescribed inthisActand
itsRegulations.
Evidence ofinjury orthreat ofinjury shallberequired whenever thecountry oforigin orsource
ofthegoods inquestion observes reciprocity. Otherwise, theMinistry mayimpose theappropriate
countervailing duties without having toprove injury orthreat ofinjury.
Chapter III
Subsidies
ARTICLE 37-Asubsidy isabenefit conferred byaforeign government, itspublic or
semi-public agencies oritsentities, either directly orindirectly, onproducers, processors, marketing
agents orexporters ofgoods forthepurpose ofinequitably strengthening their international
competitiveness, except where suchpractices areregarded internationally asacceptable. Thisbenefit
maytaketheform ofinducements, incentives, premiums, grants orsupport ofanykind.
TheMinistry shallissue alistofexport subsidies, which shallbenon-exhaustive, inanorder
published intheDiario Oficial delaFederación.
ARTICLE 38-When theamount ofthesubsidy received onforeign goods exported toMexico
isbeing calculated, thetotalofanyexport taxes, duties orother charges payable ontheexport operation
inthecountry oforigin anddesigned tooffset thesubsidy shallbededucted.
Chapter IV
Injury andThreat ofInjury totheDomestic Industry
ARTICLE 39-Forthepurposes ofthisAct,injury means material lossorimpairment or
deprivation ofanylawful, normal gainwhich thedomestic producers ofthegoods inquestion may
suffer, orimpediment totheestablishment ofnewindustries. Threat ofinjury means theimminentG/SCM/N/1/MEX/1
Page3
andclearly foreseen riskofinjury tothedomestic industry. Adetermination ofthreat ofinjury shall
bebased onfactsandnotmerely onallegation, conjecture orremote possibility.
Theadministrative investigation mustestablish thattheinjury orthreat ofinjury tothedomestic
industry isadirect consequence ofimportation under conditions involving price discrimination or
subsidization within themeaning ofthisAct.
ARTICLE 40-Forthepurposes ofthisAct,theexpression "domestic industry" shall be
understood asreferring toatleast25percentofthedomestic production ofthegoods inquestion.
However, when certain producers arerelated totheexporters orimporters orarethemselves
importersoftheproductunderinvestigation,theterm"domesticindustry"maybeinterpretedasreferring
toatleast25percentoftherestoftheproducers. When alloftheproducers arerelated totheexporters
orimportersorarethemselvesimportersoftheproductunderinvestigation,theterm"domesticindustry"
maybeinterpreted asreferring totheentire group ofproducers ofthegoods produced during the
immediately preceding stage inthesame continuous lineofproduction.
ARTICLE 41-TheMinistry shalldetermine whether theimportation ofaparticular product
causes injury tothedomestic industry taking thefollowing criteria intoaccount:
I. Thevolume ofimports ofthegoods subject tounfair international trade practices, in
order todetermine whether there hasbeenasignificant increase insuchimports in
relation tothecountry 'sdomestic production orconsumption;
II. Theimpact which theimportation ofgoods under conditions involving unfair
international tradepractices hasormayhaveontheprices ofidentical orlikeproducts
onthedomestic market. Consideration shallbegiven inthisrespect towhether the
imported product issoldonthedomestic market ataprice considerably lower than
thatofidentical orlikeproducts orwhether theeffect ofsuchimports istodepress
prices inanabnormal manner ortoprevent areasonable price risewhich would
otherwise havetaken place; and
III. Theimpactwhichsuchimportshavehadormayhaveondomesticproducersofproducts
identical oraliketothose imported, considering alloftherelevant economic factors
andindices having abearing onthestateofthesector inquestion, suchasactual and
potential decline inoutput, sales, market share, profits, productivity, return on
investment, orutilization ofinstalled capacity; factors affecting domestic prices;
negative effects actual andpotential oncashflow, inventories, employment, wages,
ability toraisecapital, investment orproduction growth;
IV. Anyother elements which theMinistry deems appropriate.
ARTICLE 42-TheMinistry shalldetermine theexistence ofathreat ofinjury todomestic
production taking thefollowing criteria intoaccount:
I. Anincrease intheimportation intothedomestic market ofgoods subject tounfair
practices, pointing toawell-founded probability ofasignificant increase insuchimports
intheimmediate future;
II. Thefreely disposable capacity oftheexporter oranimminent substantial increase
therein, pointing tothewell-founded probability ofasignificant increase inexportsG/SCM/N/1/MEX/1
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totheMexican market inunfair conditions, withdueregard fortheavailability ofother
export markets toabsorb anyadditional exports;
III. Whether imports areentering atprices which willhaveasignificant depressing or
suppressing effect ondomestic prices, andwilllikely increase demand forfurther
imports;
IV. Inventories oftheproduct under investigation;
V. Where appropriate, theexpected return onrealizable investments;
VI. Anyother elements which theMinistry deems appropriate.
Inorder todetermine theexistence ofathreat ofinjury, theMinistry shalltakeintoaccount
alloftheabove factors which make itpossible toconclude whether further imports inunfair conditions
areimminent andwhether, unless countervailing duties areapplied, injury within themeaning ofthis
Actwilloccur.
ARTICLE 43-Forthepurposes ofassessing theelements mentioned inArticles 41and42,
theMinistry maycumulate thevolume andtheimpact ofimports ofidentical orlikeproducts from
twoormore countries under investigation, subject totheconditions andexceptions provided forin
theRegulations.
ARTICLE 44-Injury orthethreat ofinjury toproduction inanisolated market within the
national territory maybeconsidered toexistwhenever there isaconcentration ofimports intothat
market, incircumstances involving unfair practices, which adversely affects asignificant partofits
production. Insuchcases, theisolated market maybeconsidered assuchonlyifitsproducers sell
asignificant partoftheirproduction inthatmarket andifdemand isnottoanysubstantial degree supplied
byproducers located elsewhere inthenational territory.
TITLE VII
PROCEDURE INRELATION TOUNFAIR INTERNATIONAL
TRADE PRACTICES AND SAFEGUARD MEASURES
Chapter I
Common Provisions Relating totheInitiation oftheProceedings
ARTICLE 49-Theinvestigation ofunfair international tradepractices andsafeguard measures
shallbeinitiated exofficio orattherequest ofaparty, inaccordance withtheprovisions ofthenext
article.
Intheinvestigation procedure towhich thisTitle refers, anadministrative dossier shallbe
compiled toserve asabasis fortheissuance oftherelevant administrative resolutions.
ARTICLE 50-Aninterested-party request maybesubmitted bynatural andlegal persons
producing:
I. Goods identical oraliketothosebeing imported orintended forimport incircumstances
involving unfair international trade practices, orG/SCM/N/1/MEX/1
Page5
II. Goods identical oralike toordirectly competitive withthose being imported under
conditions andinvolumes suchthattheyseriously injure orthreaten seriously toinjure
thedomestic industry.
Therequesting parties must berepresentative ofthedomestic industry, within themeaning
ofArticle 40,orbelegally constituted organizations.
Inhisrequest, therequesting party mustindicate, inwriting, tothecompetent authority, with
anundertaking totellthetruth, thereasons whyitisnecessary thatcountervailing duties orsafeguard
measures beapplied. Therequest mustcomply withtherequirements laiddown intheRegulations.
Requesting parties mustattach totheirwritten communication thequestionnaire issued bytheMinistry
forthepurpose.
ARTICLE 51-Theterm"interested party" means theproducers whohavesubmitted requests,
importers andexporters oftheproduct under investigation, aswellasanyforeign legalpersons having
adirect interest intheinvestigation inquestion andthose whoaresodefined ininternational trade
agreements andtreaties.
ARTICLE 52-Within aperiod of30daysfollowing thesubmission oftherequest, theMinistry
shall:
I. Accept therequest anddeclare theinitiation oftheinvestigation through aresolution
tothateffect tobepublished intheDiario Oficial delaFederación;
II. Asktherequesting party forfurther items ofevidence andinformation which must
beprovided within amaximum of20daysfollowing receipt ofthenotification. If
therequestedelementsaredulyproduced,theMinistryshall,withinaperiodof20days,
proceed inconformity withthepreceding subparagraph. Iftherequested elements
arenotdulyproduced within thementioned deadline, therequest shallbeconsidered
ashaving beenabandoned andtherequesting party shallbepersonally sonotified;
or
III. Reject therequest ifitdoesnotfulfil therequirements setforth intheRegulations,
andpersonally notify therequesting party ofsuchrejection.
Inanycase, theMinistry shallpublish thecorresponding resolution intheDiario Oficial de
laFederación.
ARTICLE 53-Starting from thedayfollowing thepublication intheDiario Oficial dela
Federación oftheresolution toinitiate aninvestigation, theMinistry shallnotify theinterested parties
ofwhich itisaware, sothattheymayappear inorder tomake whatever statement theyseefit.The
interested parties shallbeaccorded aperiod of30daysfollowing thepublication oftheresolution to
initiate aninvestigation intheDiario Oficial delaFederación toprepare theirdefence andsubmit the
information requested.
Thenotification shallbeaccompanied byacopyoftherequest submitted andsuchattached
documents asdonotcontain confidential information or,asthecasemaybe,anyrelevant documents
regarding exofficio investigations.
ARTICLE54-TheMinistrymayrequesttheinterestedpartiestoproduceevidence,information
anddatawhich itconsiders relevant, forwhich purpose theMinistry 'squestionnaires shallbeused.G/SCM/N/1/MEX/1
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Iftheabove request isnotsatisfied, theMinistry shalldecide onthebasis oftheinformation
available.
ARTICLE 55-TheMinistry mayrequest theproducers, distributors ortraders ofthegoods
inquestion aswellasthecustoms officers, agents, representatives andpersons receiving theimported
goods, oranyother person itdeems appropriate, toprovide information anddatawhich theyhave
attheirdisposal.
ARTICLE 56-Theinterested parties inaninvestigation shallsendtheother interested parties
copies ofeachofthereports, documents oritems ofevidence which theysubmit totheauthorities during
theproceedings, except theconfidential information referred toinArticle 81.
Chapter II
Procedure inRelation toUnfair International Trade Practices
Section 1
Preliminary Resolution
ARTICLE 57-Within aperiod of130daysfromthedayfollowing thepublication intheDiario
OficialdelaFederaciónoftheresolutiontoinitiateaninvestigation,theMinistryshallissueapreliminary
resolution bywhich itmay:
I. Fixaprovisionalcountervailingdutyoncetheproceduralformalitieshavebeencomplied
withandafteraperiod ofatleast45daysfollowing thepublication intheDiario Oficial
delaFederación oftheresolution toinitiate theinvestigation;
II. Refrain from imposing acountervailing duty andcontinue theadministrative
investigation; or
III. Pronounce thetermination oftheadministrative investigation when thereisinsufficient
evidence ofprice discrimination orsubsidization, ofinjury orthreat ofinjury, orof
acausal relationship between them.
Theinterested parties shallbenotified ofthepreliminary resolution, which shallbepublished
intheDiario Oficial delaFederación.
Section 2
Final Resolution
ARTICLE 58-Oncetheinvestigation ofunfair international tradepractices hasbeenconcluded,
theMinistry shallsubmit thedraftfinalresolution totheCommission foritsopinion.
ARTICLE 59-Within aperiod of260daysfromthedayfollowing publication oftheresolution
initiating theinvestigation intheDiario Oficial delaFederación, theMinistry shall issue afinal
resolution. Inthisresolution theMinistry shall:G/SCM/N/1/MEX/1
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I. Impose afinalcountervailing duty;
II. Revoke theprovisional countervailing duty, or
III. Pronounce thetermination oftheinvestigation without imposing acountervailing duty.
Thefinalresolution shallbenotified totheinterested parties andpublished intheDiario Oficial
delaFederación.
ARTICLE 60-Once afinalcountervailing dutyhasbeenfixed, theinterested parties may
request theMinistry todecide whether agiven product issubject tothesaidduty. Insuchcasethe
Ministry shallprovide thesaidparty withananswer inconformity withtheprocedure setforthinthe
regulations. Thisanswer shallhavethecharacter ofafinalresolution andshallbepublished inthe
Diario Oficial delaFederación.
Section 3
Conciliation Meeting
ARTICLE 61-During theadministrative investigation, theinterested parties mayrequest the
Ministry toholdaconciliation meeting. Atthismeeting, proposals maybesubmitted toresolve the
caseandterminate theinvestigation, which, ifadopted, shall beapproved bytheMinistry and
incorporated intotheresolution which shallhavethecharacter ofafinalresolution. Theinterested
parties shallbenotified ofthisresolution which shallbepublished intheDiario Oficial delaFederación.
Section 4
Countervailing Duties
ARTICLE 62-TheMinistry shallfixtheamount ofthecountervailing duties which shallbe
equivalent, incases ofpricediscrimination, tothedifference between thenormal value andtheexport
price, andincases ofsubsidization, totheamount ofthebenefit.
Countervailing duties maybelessthanthemargin ofprice discrimination orthantheamount
ofthesubsidy provided theyaresufficient todiscourage imports ofgoods incircumstances involving
unfair international trade practices.
ARTICLE 63-Countervailing duties shallbeconsidered revenue within themeaning ofArticle
30oftheFederal TaxCode.
ARTICLE 64-Ifthefixing ofacountervailing dutyinvolves several suppliers from oneor
morecountries anditisimpracticable toname allthesesuppliers, theMinistry mayorder itsapplication
tothecountry orcountries concerned.
ARTICLE 65-Provisional andfinalcountervailing duties shallbecollected bytheMinistry
ofFinance andPublic Credit, which mayaccept guarantees provided inconformity withtheFederal
TaxCode inrespect ofprovisional countervailing duties.
Ifthefinalresolution confirms theprovisional countervailing duty, payment ofthesaidduty
shallbedemanded or,failing suchpayment, theguarantees provided shallbeputintoeffect. Ifthe
finalresolution modifies orrevokes theduty, thesaidguarantees shallbeannulled ormodified or,G/SCM/N/1/MEX/1
Page8
where appropriate, theamounts paidunder thisprocedure orthecorresponding difference shallbe
refunded withinterest.
ARTICLE 66-Importers ofaproduct identical oraliketotheproduct subject toaprovisional
orfinalcountervailing dutyshallnotberequired topaysuchdutyiftheycanprove thatthecountry
oforigin orsource isdifferent fromthecountry exporting thegoods incircumstances involving unfair
international trade practices.
ARTICLE 67-Final countervailing duties shallremain ineffect forthelength oftimeand
totheextent necessary tooffset theunfair practice which iscausing orthreatening tocause injury to
thedomestic industry.
ARTICLE 68-Final countervailing duties shallbereviewed annually attherequest ofaparty
andshallatalltimes besubject toexofficio reviews bytheMinistry. Inanycase,resolutions announcing
theinitiation andtheconclusion ofareview shallbepublished intheDiario Oficial delaFederación.
During thereview proceedings, theinterested parties maygivetheundertakings mentioned inArticle
72ofthisAct.
Resolutions confirming, modifying orrevoking finalcountervailing duties shallalsohavethe
character ofafinalresolution, andshallbesubmitted previously totheCommission foritsopinion.
ARTICLE 69-When finalcountervailing duties havebeenimposed tooffset thethreat ofinjury
duetoimports under conditions ofprice discrimination orsubsidy, thereview shallinclude, where
appropriate, anevaluation oftheinvestment which without thecountervailing dutycould notfeasibly
havebeenmade. Thecountervailing dutymayberevoked bytheMinistry iftheplanned investment
hasnotmaterialized.
ARTICLE 70-Final countervailing duties shallbeeliminated ifwithin aperiod offiveyears
following theirentryintoforcenoneoftheinterested parties hasrequested theirreview andtheMinistry
hasnotinitiated suchareview exofficio .
ARTICLE 71-Incases where partsorcomponents areintroduced intothenational territory
forthepurpose ofassembly onthatterritory ofgoods subject toprovisional orfinalduties withaview
toeluding payment ofsuchduties, thedutyinquestion shallbeimposed ontheimportation ofthesaid
parts orcomponents. Thesame ruleshallapply tocases where parts orcomponents areassembled
inathirdcountry andthefinished product isintroduced intothenational territory, ortotheexportation
ofproducts having relatively slight physical differences incomparison withthose subject toprovisional
orfinalcountervailing duties forthepurpose ofeluding payment ofsuchduties.
Section 5
Undertakings byExporters andGovernments
ARTICLE 72-When inthecourse ofaninvestigation theexporter ofgoods incircumstances
involving unfair international trade practices gives avoluntary undertaking torevise hisprices orto
cease exports, orifthegovernment oftheexporting country eliminates orlimits thesubsidy inquestion,
theMinistry maysuspend orterminate theinvestigation without theimposition ofcountervailing duties.
Forthispurpose, theMinistry shalldetermine whether, asaresult ofthese undertakings oranysimilar
undertakings which maybegiven, theinjurious effect oftheunfair practice iseliminated.
ARTICLE 73-IftheMinistry accepts anundertaking given bytheexporter ortheinterested
government, itshallissueanappropriate resolution declaring theadministrative investigation suspendedG/SCM/N/1/MEX/1
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orterminated. Thisresolution shallbenotified totheinterested parties andpublished intheDiario
Oficial delaFederación. Before being published, theresolution shallbesubmitted totheCommission
foritsopinion. Theundertaking given shallbeincorporated inthecorresponding resolution together
withtheCommission 'sopinion, inaccordance withtheprovisions ofArticle 6ofthisAct.
ARTICLE 74-Thefulfilment ofthese undertakings maybereviewed periodically, exofficio
orattherequest ofaparty. Ifasaconsequence ofthereview theadministrative authority finds that
theundertaking hasnotbeenfulfilled, thecollection oftheprovisional countervailing dutyshallbe
reinstated immediately bypublication ofthecorresponding resolution intheDiario Oficial dela
Federación andtheinvestigation shallbecontinued.
Chapter IV
Other Common Provisions Relating totheProceedings
ARTICLE 80-TheMinistry shallprovide timely opportunities fortheinterested parties to
seeallinformation intheadministrative dossier relevant tothepresentation oftheircases. Confidential
information shallbemade available onlytotheaccredited legalrepresentatives oftheparties interested
intheadministrative investigation, except inthecaseofrestricted commercial information which, if
divulged,couldcausesubstantialandirreversibleinjurytotheownerofthatinformation,andconfidential
government information.
Thelegalrepresentatives oftheinterested parties having access totheconfidential information
shall notusesuchinformation fortheirpersonal benefit, nordisseminate it.Infringement ofthis
requirement shallbepunishable under theprovisions ofthisAct,independently ofsuchcivilandcriminal
penalties asmaybeapplicable.
During theinvestigation proceedings referred tointhissection theMinistry shallprovide timely
access,attherequestoftheinterestedpartiesortheirrepresentatives,toanynon-confidentialinformation
forming partoftheadministrative dossier ofanyother investigation afteraperiod of60daysfollowing
thepublication oftherelevant finalresolution.
ARTICLE 81-Inthenotification referred toinArticle 53,theMinistry shallinform the
interested parties thatapublic hearing willbeheldatwhich theymayappear andsubmit arguments
indefence oftheirinterests and,inthecaseofsafeguard action, present therelevant evidence. At
thishearing, interested parties mayquestion theother interested parties. Inthecaseofinvestigations
intounfair international trade practices, thehearings shallbeheldfollowing thepublication ofthe
preliminary resolution andprior tothepublication ofthefinalresolution.
ARTICLE 82-Theinterested parties mayadduce evidence ofalltypes except statements by
theauthorities ormaterial considered contrary topublic order oroffensive tomorals ordecency.
TheMinistry mayagree atanytimetotheinstitution, repetition orextension ofanyproceedings
considered necessary andconducive tothediscovery ofthetruthregarding thematters under dispute.
Furthermore, theMinistry mayinstitute suchproceedings asitconsiders appropriate inorder toobtain
better information.
TheMinistry shallappoint aperiod forpleadings following theperiod forthepresentation
ofevidence topermit theinterested parties tomake theirsubmissions.
TheMinistry 'sdecisions toaccept agiven piece ofevidence shallnotbeopentoappeal during
theproceedings.G/SCM/N/1/MEX/1
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ARTICLE 83-TheMinistry mayverify theinformation andevidence submitted during the
course oftheinvestigation, andforthatpurpose mayissueawritten order authorizing asearch ofthe
legaldomicile, theestablishment ortheplace where therelevant information islocated. TheMinistry
mayproceed asitdeems appropriate inorder toverify thatthesaidinformation andevidence conform
withtheaccounts ofthecompany subject tothesearch, tocollate thedocuments intheadministrative
dossier ortomake attested copies.
Information andevidence submitted bytheinterested parties maybeverified inthecountry
oforigin iftheinterested parties soagree. Without theirconsent, theMinistry shallassume thatthe
requesting party'sclaims aretrue,unless there existelements which indicate otherwise.
Searches bytheMinistry forthepurpose ofverification shallbecarried outonworking days
andduring working hours byitsownaccredited staff. However, theymayalsotakeplace outside
working daysandhours where necessary, inwhich casetheofficial letter ordering thesearch shall
contain thenecessary authorization.
Detailed records ofthesearches shallbedrawn upinthepresence oftwowitnesses provided
bytheparty subject tothesearch or,intheabsence ofthesaidparty orintheevent thatthesaidparty
refuses toprovide witnesses, bytheauthority incharge oftheproceedings. These searches shallbe
subject totheprovisions oftheRegulations.
ARTICLE 84-Thenotifications referred tointhisActshallbetransmitted totheinterested
partyorhisrepresentative personally athisdomicile byregistered mailwithacknowledgement ofreceipt
orbyanyotherdirect means suchasaspecialized messenger service orelectronic mail. Thenotifications
shallenterintoforceontheworking dayfollowing thedayonwhich theywereissued. TheRegulations
shallestablish theform andcontent ofthenotifications.
ARTICLE 85-Intheabsence ofanyexpress provision inthisActconcerning theadministrative
proceedings inrespect ofunfair international trade practices andsafeguard action, theFederal Tax
Code shallapply bydefault onasupplementary basis forallmatters pertaining tothenature ofthe
saidproceedings. Thisprovision shallnotapply inrespect ofnotifications andsearches forthepurpose
ofverification.
ARTICLE86-IfinthecourseoftheproceedingsreferredtointhissectiontheMinistryobserves
thatanyoftheinterested parties isinvolved inthemonopolistic practices which arepunishable under
therelevant legislation, itshallsoinform thecompetent authority.
ARTICLE 87-Countervailing duties andsafeguard measures maybespecific, oradvalorem.
Ifspecific, theyshallbecomputed atafixed rateperunitofmeasurement, andshallbeassessed in
theequivalent inMexican currency. Ifadvalorem, theyshallbecomputed asainpercentage ofthe
customs value oftheproduct inquestion.
ARTICLE 88-When imposing acountervailing dutyorproposing theapplication ofasafeguard
measure, theMinistry shallensure asfaraspossible thatsuchmeasure, inaddition toproviding timely
defence forthedomestic industry, avoids anynegative impact onother production processes andon
consumers.
ARTICLE 89-Provisional andfinalcountervailing duties andsafeguard actions shallbeapplied
from thedayfollowing theirpublication intheDiario Oficial delaFederación.
Importers ortheirconsignees shallberequired tocalculate intherelevant import applications
theamounts oftheprovisional andfinalcountervailing duties orsafeguard duties andtopaythem,G/SCM/N/1/MEX/1
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together withtheirforeign trade taxes, without prejudice totheguarantees inrespect ofprovisional
countervailing duties pursuant toArticle 65andinrespect ofthefinalcountervailing duties pursuant
toArticle 98,subparagraph III.
TITLE IX
INFRINGEMENTS, PENALTIES AND APPEALS
Chapter I
Infringements andAdministrative Penalties
ARTICLE93-ItshallbetheresponsibilityoftheMinistrytopunishthefollowinginfringements:
III. Presentation offalseinformation ordocuments, failure toprovide valid information
ordocuments, oralteration thereof, toobtain theapplication ofcountervailing duties
orsafeguard action: byafineequivalent tothevalue oftheimported goods during
theperiod ofinvestigation inquestion;
IV. Failure toprovide theMinistry withthedocuments andreports relating tocasesreferred
toinArticle 55within thedeadline stipulated intherelevant request: byafine
equivalent to180times thelegalminimum wage;
V. Importation ofgoods insignificant quantities, ascompared tototalimports anddomestic
production, within arelatively short period, when there areprevious cases onrecord
ofunfair practices intheexport market inquestion, orwhen theimporter knew or
should haveknown thattheexporter wasengaged insuchpractices: byafineequivalent
totheamount resulting from theapplication ofthefinalcountervailing dutytothe
imports entered foruptothreemonths priortothedateofapplication oftheprovisional
countervailing duties. Thispenalty shallonlybeapplied oncetheMinistry hasissued
theresolution determining thefinalcountervailing duties; and
VI. Disclosure ofconfidential information orutilization thereof forpersonal benefit within
themeaning ofArticle 80ofthisActorinrespect ofthedispute settlement mechanisms
setforth intheinternational treaties orconventions towhich Mexico isaparty: by
afineproportional tothelosscaused ortothebenefit obtained bydisclosing orutilizing
thesaidinformation.
Forthepurposes ofthisArticle, theterm"legal minimum wage" shallbeunderstood tomean
thegeneral dailyminimum wage inforce intheFederal District atthetimeatwhich theinfringement
wascommitted.
Inapplying thefinesreferred toinsubparagraphs VandVIofthisArticle, theMinistry shall
takeaccount oftheseriousness oftheinfringement, theinjury andlosses caused, theprevious record
andthepersonal andeconomic situation oftheoffender.
Thefines referred tointhisArticle shall beimposed independently ofthepenal andcivil
sanctions applicable under thelaw. Thefinesshallonlybeimposed oncethesuspected offender has
beenheard.G/SCM/N/1/MEX/1
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Chapter II
Appeal forReversal
ARTICLE 94-Anappeal forreversal through administrative channels maybefiledinrespect
ofresolutions:
I. Concerning themarket ofthecountry oforigin ortherefusal toissue prior licences
orallow participation inimport orexport quotas;
II. Concerning certification oforigin;
III. Declaring therejection orabandonment oftherequest forinitiation ofinvestigation
proceedings asreferred toinArticle 52,paragraphs (II)and(III);
IV. Declaring theinvestigation terminated without imposition ofacountervailing duty
pursuant toArticle 57,paragraph (III)andArticle 59,paragraph (III);
V. Fixing thefinalcountervailing dutyortheactions bywhich itisimplemented;
VI. Responding torequests bytheinterested parties pursuant toArticle 60;
VII. Declaring theinvestigation terminated pursuant toArticle 61;
VIII. Rejecting arequest forreview orconcluding thereview, referred toinArticle 68,or
confirming, modifying orrevoking finalcountervailing duties, referred tointhesame
Article;
IX. Declaring theinvestigation referred toinArticle 73concluded orterminated; and
X. Imposing thepenalties referred tointhisAct.
Appeals forreversal ofresolutions inrespect ofcertification oforigin andactions bywhich
finalcountervailing duties areimplemented shallbefiledwiththeMinistry ofFinance andPublic Credit.
Allother suchappeals shallbefiledwiththeMinistry.
ARTICLE 95-Thepurpose oftheappeal forreversal referred tointhischapter istoreverse,
modify orconfirm thecontested resolution andtherulings issued shallsetforththeaction challenged,
thelegalgrounds forthedecision andthevarious points ofthedecision.
Appeal forreversal shallbehandled andresolved inaccordance withtheprovisions ofthe
Federal TaxCode, andshallbereferred totheUpper Chamber oftheFederal TaxCourt onlywhen
suchproceedings havebeenexhausted.
Resolutions issued todecide anappeal forreversal ordeclare suchappeal notreceivable shall
befinalincharacter andmaybechallenged before theUpper Chamber oftheFederal TaxCourt by
anaction substantiated inaccordance withthefinalparagraph ofArticle 239bisoftheFederal Tax
Code.
Resolutions which arenotappealed within thedeadline established bytheFederal TaxCode
shallbeconsidered tohavebeenaccepted andmaynotbechallenged before theFederal TaxCourt.G/SCM/N/1/MEX/1
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ARTICLE 96-Inrespect ofappeals forreversal ofresolutions andactions referred toinArticle
94,paragraph (V),theprovisions ofArticle 95shallapply provided thefollowing conditions aremet:
I. Theappeal shallbedirected totheauthority which issued theresolution, oragainst
theauthority which implemented it.However, incases where theappeal isdirected
against both authorities, itshall bedirected tothedepartment which fixed the
countervailing duties;
II. Ifboth arechallenged, theresolution ontheappeal against thefixing ofthe
countervailing duties shallbehanded down before theresolution ontheappeal against
theimplementing action. Theauthority competent toheartheformer shallfurnish
acopyofitsdecision tothedepartment competent tohearthelatter. Should thefinal
countervailingdutyfixedbechangedorrevoked,theappealagainstimplementingaction
shallautomatically become nullandvoid,without prejudice totherightoftheinterested
party tolodge anappeal against thenewimplementing action;
III. Should successive appeals belodged against theresolution fixing thecountervailing
dutyandagainst theimplementing action, thelatter shallbesuspended. Theappellant
shallberequired togivenotice ofthesituation totheauthorities responsible forhearing
anddeciding these appeals. Suspension maybeordered ontheinitiative ofthe
authorities themselves when foranyreason theybecome aware ofthissituation; and
IV. When acaseisbrought before theUpper Chamber oftheFederal TaxTribunal
challenging theresolution issued todecide theappeal forreversal lodged against the
fixing ofthefinalcountervailing duty, andsubsequently theresolution issued todecide
theimplementing action isalsochallenged, theinitial request mustbeextended within
therelevant deadline forchallenging thelatter resolution.
ARTICLE 97-Anyinterested party may, inrespect oftheresolutions andactions referred
toinArticle 94,paragraph (V),choose toresort tothealternative dispute settlement mechanisms with
regard tounfair practices provided forintheinternational treaties andtradeagreements towhich Mexico
isaparty. Ifsuchmechanisms arechosen:
I. Neither theappeal forreversal provided forinArticle 94,norproceedings instituted
before theUpper Chamber oftheFederal TaxCourt against theMinistry 'sresolution
determiningfinalcountervailingdutiesorimplementingactions,oragainsttheMinistry's
resolution issued asaresult ofthedecisions emanating from thesaidalternative
mechanisms, shallbeadmissible;
II. Only theresolution issued bytheMinistry asaresult ofthedecision emanating from
thealternative mechanisms shallbeconsidered final;
III. Theprovisions ofArticle 238oftheFederal TaxCode shallapply.
ARTICLE98-InadditiontotheprovisionsofArticles96and97,appealsagainsttheresolutions
referred toinArticle 94,paragraph (V),shallbesubject tothefollowing regulations:
I. Inrespect ofresolutions fixing finalcountervailing duties which aresubject toappeal
underthealternativedisputesettlementmechanismsprovidedforininternationaltreaties
oragreements towhich Mexico isaparty, thetime-limit forlodging anappeal for
reversal ofaresolution fixing thefinalcountervailing dutyortheimplementing actionsG/SCM/N/1/MEX/1
Page14
shallnotcome intoeffect untilthetime-limit provided under theinternational treaty
orconvention inquestion forlodging suchanappeal hasexpired;
II. Inrespect ofresolutions fixing thefinalcountervailing duties which aresubject toappeal
underthealternativedisputesettlementmechanismsprovidedforininternationaltreaties
oragreements towhich Mexico isaparty, anappellant whochooses tolodge anappeal
forreversal mustcomply, inaddition, withtheformalities setforthintheinternational
treaty orconvention inquestion; and
III. Interested parties wholodge anappeal forreversal, orresort toannulment proceedings
before theUpper Chamber oftheFederal TaxCourt ortothealternative dispute
settlement mechanisms referred tointhisAct,mayguarantee payment ofthefinal
countervailing duties inaccordance withtheFederal TaxCode provided theform in
which theguarantee isprovided isaccepted bytheMinistry ofFinance andPublic
Credit.G/SCM/N/1/MEX/1
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ANNEX II
TITLE IV
UNFAIR INTERNATIONAL TRADE PRACTICES
Chapter I
Definitions
ARTICLE 37.Forthepurposes ofthese Regulations:
I. Identical goods mean products which arealike inallrespects totheproduct under
investigation; and
II. Likegoods mean products which, although notalikeinallrespects, aresimilar intheir
characteristics andcomposition, thusallowing them tofulfil thesame functions and
making them commercially interchangeable withthose withwhich theyarebeing
compared.
Chapter III
Injury andThreat ofInjury totheDomestic Industry
ARTICLE 59.TheMinistry shallestablish through theappropriate investigation procedure
thatdetermination oftheinjury orthreat ofinjury towhich Article 39oftheActrefers isbased on
theminimum analysis ofalltheelements towhich Articles 41and42ofthatActrefer. Theinvestigating
authority shallunder nocircumstances determine theexistence ofinjury inaccordance withthecivil
law.
ARTICLE 60.Therequesting parties referred toinArticle 50oftheActshalldemonstrate
thattheyrepresent atleast25percentofthedomestic production ofthegoods inquestion. However,
when certain producers arerelated toexporters orimporters orarethemselves importers oftheproduct
under investigation, theterm"domestic industry" maybeconsidered asreferring toatleast25percent
oftherestoftheproducers. Inanycase,theapplicants shallsubmit therequired information ondomestic
production asdescribed inArticle 63ofthese Regulations.
ARTICLE 61.Indetermining whether producers arerelated toexporters orimporters, the
Ministry shallusecriteria generally accepted bynational legislation andinternational practice. For
thispurpose, theMinistry shalltakeintoaccount thefollowing considerations:
I. Whether theyareofficers ordirectors ofoneanother 'sbusinesses;
II. Whether theyarelegally recognized partners inbusiness;
III. Whether theyareemployer andemployee;
IV. Whether anyperson directly orindirectly owns, controls orholds 5percentormore
oftheissued voting stock, shares, securities orbonds ofbothofthem;
V. Whether oneofthem directly orindirectly controls theother;G/SCM/N/1/MEX/1
Page16
VI. Whether bothofthem aredirectly orindirectly controlled byathirdperson;
VII. Whether together theydirectly orindirectly control athirdperson; or
VIII. Whether theyaremembers ofthesame family.
Theforegoing shallapply whenever there aregrounds forpresumption thattheeffect ofthe
relationship issuchastomotivate theproducer concerned tobehave differently from non-related
producers. Aperson shallbedeemed tocontrol another when theformer islegally andactually in
aposition torestrict ordirect thelatter.
ARTICLE 62.Forthepurposes ofthesecond paragraph ofArticle 40oftheAct:
I. Tobedeemed representative ofthedomestic industry andtohavecapacity toactas
requesting parties producers mustdemonstrate thattherelationship doesnotandwill
nothavetheeffect ofrestricting competition, orwhere theyarethemselves importers
ofpartoftheproducts under investigation, thattheirimports arenotthecause of
distortion indomestic prices orthecause ofthealleged injury; and
II. Allmanufacturers ofgoods produced during thestage immediately preceding inthe
samecontinuous lineofproduction ofthegoods identical oraliketothegoods imported
incircumstances involving price discrimination orsubsidies, mayalsobedeemed
representative ofthedomestic industry when:
A. Asaresult oftherelationship theinterests oftherelated producer orthe
producer-importer coincide insuch awaywiththose oftheexporters or
importers thatthese producers accept orencourage imports under conditions
ofprice discrimination orsubsidy and,thus, would notsubmit arequest for
investigation intounfair practices;
B. Theproduct produced atthestage immediately preceding manufacture ofthe
goods identical oraliketotheimported product isarawmaterial ofagricultural
origin andisaprincipal input oftheproduct inquestion; and
C. Theinputofagriculturaloriginisusedinthesamecontinuouslineofproduction
oftheprocessed product andisutilized almost entirely fortheproduction of
theprocessed product.
TheapplicationofthisprovisionshallbeconsistentwithMexico'sobligationsunderinternational
treaties orconventions.
ARTICLE 63.Inorder todetermine theexistence ofinjury, theMinistry shallevaluate the
impact oftheimports under investigation ontotaldomestic production, oronthose domestic producers
whose collective output constitutes amajor proportion oftotaldomestic production oftheproduct in
question.
Iftherequesting parties donotrepresent thewhole ofdomestic production, theymustsubmit
totheMinistry, using theprescribed questionnaire, information ontotaldomestic production provided
thattherequired figures arereasonably available tothem. Inanycase, therequest must include a
reliable estimate ofthefigures forthetotaldomestic production concerned together withanindication
ofthemethodology used.G/SCM/N/1/MEX/1
Page17
TheMinistry shallsatisfy itselfthatthecorresponding determination ofinjury isrepresentative
ofthesituation ofdomestic production asawhole. Forthatpurpose, theMinistry shallobtain the
necessary information from domestic producers whoarenotrequesting parties whoshallsubmit to
theMinistry anyinformation thatisrequested from them.
ARTICLE 64.Forthepurposes ofArticle 41oftheAct,theMinistry shalltakeintoaccount:
I. With regard tothevolume ofimports under investigation, whether there hasbeena
considerable increase insuchimports inabsolute terms orinrelation todomestic
production forthedomestic market orinternal consumption inthecountry. The
Ministry shallassess whether theimports under investigation arecompeting inthe
domestic market toserve thesame markets orthesame actual orpotential customers
ofdomestic producers andwhether theyareutilizing thesame distribution channels;
II. Concerning theeffects ofimports subject toinvestigation ondomestic prices:
A. Thepattern andtrend ofprices oftheimports under investigation shallbe
analysed, todetermine whether theyshow areduction intheperiod under
investigation compared withprices incomparable periods, orwhether they
arelower thanother products which arenotimported under conditions ofprice
discrimination orsubsidy;
B. Whether there isasignificant correlation between thereduction inprices of
theimports andthegrowth inquantities imported;
C. Whether theimports under investigation haveaselling priceconsiderably lower
thanthecomparable selling price forthelikedomestic product;
D. Whether theeffect oftheimports under investigation istodepress domestic
prices orelsetoprevent thereasonable increase which would otherwise have
occurred; and
E. Whether theprice-level atwhich theimports under investigation arecompeting
inthedomestic market isthedetermining factor inexplaining thepattern and
share ofthose imports inthedomestic market;
III. With regard totheeffects oftheimports under investigation ondomestic production
ofidentical orlikegoods, anevaluation shallbemade oftheoperations oftheindustry
inMexico. Thisevaluation shallinclude theimpact ofthequantities andprices of
theimportsunderinvestigationonalltherelevanteconomicfactorsandindicatorswhich
influence thestateoftheindustry concerned, suchas:
A. Theactual andpotential reduction inproduction andemployment, domestic
sales, market share, productivity, utilization ofinstalled capacity andrealor
potential increase ininventories;
B. Thefactors affecting domestic prices suchasconditions orterms ofsale; and
C. Actual orpotential negative effects ofthedepressing orsuppressing ofdomestic
prices andsalesonprofits, cashflow, return oninvestment, salaries, capacity
toattract capital, investment andgrowth inproduction; andG/SCM/N/1/MEX/1
Page18
IV. Other elements thatitmayconsider appropriate concerning economic factors or
indicators relevant totheindustry inquestion andnotmentioned intheforegoing
paragraphs. Inthiscase, theMinistry shallidentify suchfactors andexplain their
significance tothecaseconcerned.
ARTICLE 65.TheMinistry shallevaluate theeconomic factors described inthepreceding
Article inthecontext oftheeconomic cycle andconditions ofcompetition specific totheindustry
affected. Forthatpurpose, therequesting parties shallsubmit information ontherelevant factors and
indicators andcharacteristics oftheindustry covering atleastthethreeyears preceding thesubmission
oftherequest, including theperiod under investigation, unless theenterprise concerned hadnotbeen
established forthewhole ofthisperiod. Inaddition, domestic producers making arequest orthe
organizations representing them shallsubmit economic studies, casestudies, technical literature and
national andinternational statistics ontheperformance ofthemarket concerned, oranyother
documentation permitting identification ofeconomic cycles andconditions ofcompetition specific to
theindustry affected.
ARTICLE 66.Theeffect ofimports subject tounfair practices shallbeevaluated inrelation
todomestic production oftheidentical orlikeproduct when theavailable dataallow itsseparate
identification onthebasissuchcriteria astheproduction process, salesbyproducers andtheirprofits.
Ifitisnotpossible toidentify production separately, theeffect ofsuchimports shallbeassessed by
analysing production ofthenarrowest group orrange ofproducts which includes theidentical orlike
product forwhich allthenecessary information toshow injury canbeprovided.
ARTICLE 67.Inorder todetermine injury, when imports ofaproduct frommore thanone
country aresimultaneously subject toinvestigation forunfair international tradepractices, theMinistry
shallcumulatively assess thevolume andeffects ofsuchimports, provided thattheimports fromthe
countries under investigation compete amongst themselves andwithproducts identical oraliketothose
imported which aremanufactured inMexico.
TheMinistryneednotcumulativelyassesstheeffectsofimportsofspecificoriginifsuchimports
arenotsignificant anddonothaveanyidentifiable adverse effect ondomestic production. Inorder
todetermine this,theMinistry shallanalyse thepattern ofsuchimports andshalltakeintoaccount
thefollowing relevant economic factors:
I. Whether therateofgrowth ofthevolume andshare oftheimports under analysis in
thedomestic market shows anysignofsustained increase during theperiod under
investigation orwhether there isanyrealprobability thatitwillincrease inthe
immediate future;
II. Whether salesoftheimported product, fromthecountry inquestion, inthedomestic
market areisolated andintermittent; and
III. Whether, given thenature oftheproduct under investigation andthespecific
characteristics ofthedomestic market, thepresence ofsuchimports hasanyidentifiable
effect ondomestic prices orthefactors which affect theprices ofthedomestic product
andtheconditions ofthedomestic industry producing theidentical orlikeproduct.
ARTICLE 68.Forthepurposes ofArticle 42oftheAct,theMinistry shalltakeintoaccount:
I. Whether thereisahighrateofgrowth oftheimports under investigation inthedomestic
market pointing toawell-founded probability thatthere willbeasignificant increase
insuchimports intheimmediate future. Likewise itshallbedetermined whether theG/SCM/N/1/MEX/1
Page19
growth ofsuchimports results inincreased andsustained growth oftheshare ofsuch
imports inthedomestic market andthewell-founded probability thatmarket share
indicators willrisetoalevelwhich mayinjure thedomestic industry. Forthispurpose,
theMinistryshallconsider,amongotherfactors,whethertheimportsunderinvestigation
arecompeting inthedomestic market toserve thesame markets orthesame actual
orpotential customers ofdomestic producers andwhether theyareutilizing thesame
distribution channels;
II. Thefreely disposable capacity oftheexporter oranimminent andsubstantial increase
therein pointing tothewell-founded probability ofasignificant increase inexports
totheMexican market under conditions ofpricediscrimination orsubsidy, taking into
account theavailability ofother export markets toabsorb anyincrease insuchexports;
III. Whether theimports under investigation areentering atprices suchthattheyhavea
significant depressing orsuppressing effect ondomestic prices. Likewise, itshallbe
determined whether there isarealprobability thattheprices oftheimports under
investigation willsignificantly increase thedemand forfurther imports. Inthatcase
thefactors thataffect domestic prices shallbetaken intoaccount, including changes
inconditions orterms ofsaletocertain customers asadirect consequence oftheimports
under investigation;
IV. Inventories oftheproduct under investigation inthedomestic market;
V. Where applicable, theexpected return onpotential investment. Investment projects
mustberelated totheproduction lineoftheproduct under investigation. Thedomestic
producersconcernedshallsubmiteconomicandfinancialstudiessupportingtheviability
oftheproject, andfinancial models which show thenegative effects oftheimports
under investigation ontheexpected profitability; and
VI. Anyother demonstrable economic trend leading totheconclusion thatunfair practices
relating toimports willinjure thedomestic industry. Indetermining thethreat ofinjury,
thegenerally accepted methods available shallbeused.
ARTICLE 69-When finalcountervailing duties havebeenimposed tooffset thethreat ofinjury
duetoimports under conditions ofprice discrimination orsubsidy, thereview shallinclude, where
appropriate, anevaluation oftheinvestment which without thecountervailing dutycould notfeasibly
havebeenmade. Thecountervailing dutymayberevoked bytheMinistry iftheplanned investment
hasnotmaterialized.
I. Thevolume andprices ofimports which arenotsubject toprice discrimination or
subsidy;
II. Contraction ofdemand orchanges inpatterns ofconsumption;
III. Trade-restrictive practices offoreign anddomestic producers, andcompetition between
them; and
IV. Technological developments, productivity andexport performance.G/SCM/N/1/MEX/1
Page20
TITLE VI
PROCEDURE INRELATION TOUNFAIR
INTERNATIONAL TRADE PRACTICES
Chapter I
General Provisions
ARTICLE 75.Therequest byaninterested party toinitiate anadministrative investigation
intounfair international trade practices, inaddition tobeing submitted inwriting andsatisfying the
requirements prescribed inArticle 50oftheAct,shallbesubmitted using thequestionnaire issued
bytheMinistry, which shallcontain thefollowing:
I. Thedesignation ofthecompetent administrative authority towhich therequest ismade;
II. Name orbusiness name anddomicile oftherequesting party and,ifapplicable, his
representative, accompanied byaccrediting documents;
III. Principal activity oftherequesting party;
IV. Volume andvalue ofdomestic production oftheproduct identical oralike tothe
imported product;
V. Description ofthevolume andvalue oftherequesting party'sshare ofdomestic
production;
VI. Ifapplicable, membership oftheorganization towhich therequesting party belongs,
indicating thenumber ofmembers andincluding information onthegoods theyproduce
asapercentage share ofdomestic production;
VII. Thelegalbasis oftherequest;
VIII. Description oftheimported product, together withspecifications anddetails showing
itsquality incomparison withthedomestic product andother distinguishing details;
thevolume andvalue imported orintended tobeimported based ontheappropriate
unitofmeasure anditstariff classification according totheschedule oftheGeneral
Import Taxes Act;
IX. Name orbusiness name anddomicile oftheimporters orintending importers ofthe
product,statingwhethertheimportconsistedorwillconsistofoneorseveralshipments;
X. Name ofthecountry orcountries oforigin orsource oftheproduct, asappropriate,
andthename orbusiness name oftheperson orpersons exporting orintending toexport
theproduct under unfair conditions toMexico;
XI. Statement ofthefactsanddata, accompanied byreasonably available evidence, on
which therequest isbased. Those factsfrom which itcanbeinferred thatthere is
awell-founded probability oftheexistence oftheunfair international trade practice
shallbestated succinctly, withclarity andprecision;G/SCM/N/1/MEX/1
Page21
XII. Indication ofthedifference between thenormal value andthecomparable export price
or,ifapplicable, theeffect ofthesubsidy ontheexport price;
XIII. Inaddition,inthecaseofsubsidies,informationandfactsconcerningtheunfairpractice,
theforeign governmental authority orbodyinvolved, theformofpayment ortransfers
andtheamount ofthesubsidy totheproducer orforeign exporter oftheproduct;
XIV. Evidence which shows thattheintroduction ofthegoods concerned intothedomestic
market iscausing orthreatens tocause injury tothedomestic industry;
XV. Ifappropriate, description ofrequests forotherregulatory ortrade-restrictive measures
concerning theproduct which isthesubject oftherequest; and
XVI. Anyother factors considered necessary.
Therequests towhich thisArticle refers shall, inaddition totheprovisions oftheforegoing
subparagraphs, contain thesignature oftheinterested party ortheperson acting inhisname or
representing him.
Therequest andannexed documents shallbesubmitted intheoriginal andinasmany copies
asthere areimporters, exporters and,where applicable, foreign governments named intherequest,
together withapublic version thereof onthemagnetic media indicated bytheMinistry.
Theinvestigation procedure shallnotprevent theclearance bythecustoms concerned ofthe
goods involved intheinvestigation.
ARTICLE 76.Theinvestigation intounfair international trade practices shall address the
existenceofpricediscriminationorsubsidyandtheinjurycausedorwhichmaybecausedtothedomestic
industry. Itshallinclude aperiod which covers imports ofgoods identical oraliketothose produced
bythedomestic industry which maybeaffected, entered overaperiod ofatleastsixmonths prior
tothecommencement oftheinvestigation.
Theperiod ofinvestigation towhich theforegoing paragraph refers maybemodified atthe
discretion oftheMinistry tocover aperiod which includes imports made subsequent tothe
commencement oftheinvestigation. Inthatcase,decisions toimpose provisional orfinalcountervailing
duties shallreferbothtotheoriginal period andtotheextended period.
ARTICLE 77.Notwithstanding theprovisions ofthepreceding Article, inevaluating injury
orthreat ofinjury todomestic industry, theMinistry mayrequire therequesting party oranyother
domestic producer orperson involved intheeconomic activity concerned, toprovide theinformation
ordataitconsiders relevant relating toamaximum period offiveyears prior tothesubmission ofthe
request.
ARTICLE 78.Iftherequest isambiguous orirregular, theMinistry shall, onceonly, advise
therequesting party sothathemayclarify, correct orcomplete it,forwhich purpose itshallbereturned
tohim,withspecific indications ofitsomissions andambiguities. When ofthetwenty daystowhich
subparagraph IIofArticle 52oftheActrefers haveelapsed, theMinistry shallproceed withorreject
therequest, asappropriate.
ARTICLE 79.Aproduct shallbedeemed tobeintended forimport when there isauthentic
evidence ofanagreement foritstransport ordispatch totheterritory ofMexico. Inthatcase, the
Ministry mayopentheinvestigation, following examination ofthelegalinstruments submitted forthatG/SCM/N/1/MEX/1
Page22
purpose. Offers, quotes ororders which donotlegally bindthesignatories areexcepted from the
foregoing.
Inthereview towhich thepreceding paragraph refers, theMinistry shallascertain thatthe
import transaction ortransactions willactually berealized.
Inorder thattheMinistry maydeclare theinitiation ofaninvestigation intointended imports,
theinterested party shall, inaddition totheprovisions ofthisArticle, comply withtheapplicable
provisions contained intheActandinthese Regulations.
ARTICLE 80.Theresolution toinitiate theinvestigation intounfair international trading
practices andthepreliminary andfinalresolutions shallcontain thefollowing information:
I. Thedesignation oftheauthority issuing theresolution;
II. Thegrounds andreasoning justifying thedecision;
III. Thename ornames orbusiness name anddomicile ofthedomestic producer or
producers ofidentical orlikegoods;
IV. Thename ornames orbusiness name anddomiciles oftheimporter orimporters,
foreign exporters or,where appropriate, known agencies orauthorities offoreign
governments;
V. Thecountry orcountries oforigin orsource ofthegoods inquestion;
VI. Thedetailed description oftheproduct imported or,where appropriate, intended for
import, where there ispresumption ofprice discrimination orsubsidy, indicating the
tariff rateapplicable under theschedule ofGeneral Import Taxes;
VII. Thedescription ofthedomestic product identical oralike totheproduct which has
beenimported orisbeing imported;
VIII. Theperiod under investigation; and
IX. Anyother elements which theMinistry deems appropriate.
Chapter II
Resolution toInitiate theInvestigation
ARTICLE 81.Inaddition totheinformation indicated inthepreceding Article, theresolution
initiating theinvestigation towhich Article 52oftheActrefers shallcontain:
I. Asummons totheinterested parties and,where applicable, foreign governments, so
thattheymayappear inorder toexercise theirrighttomake representations fit;
II. Thetimeallowed forpresenting evidence; and
III. Thedate,timeandplace forthepublic hearing andthepleadings towhich Articles 81
and82oftheActrefer.G/SCM/N/1/MEX/1
Page23
Chapter III
Preliminary Resolution
ARTICLE 82.Thepreliminary resolution towhich Article 57oftheActrefers shallcontain
inaddition tothedataindicated inArticles 80and81,subparagraph IIoftheseRegulations, thefollowing
elements:
I. Where theexistence ofunfair international trade practices hasbeenestablished:
A. Thenormal value andexport priceobtained bytheMinistry, except inthecase
ofinformationwhichaninterestedpartyconsiderstobeconfidentialorrestricted
commercial information;
B. Adescription ofthemethods usedindetermining thenormal value andthe
export price and,ifapplicable, theamount ofthesubsidy anditseffect onthe
export price, inconformity withChapters IIandIIIofTitleVoftheActand
theapplicable Articles ofChapter IIofTitleIVofthese Regulations, except
inthecaseofinformation which aninterested party considers tobeconfidential
orrestricted commercial information;
C. Themargin ofprice discrimination, thecharacteristics andamount ofthe
subsidy, anditseffect ontheexport price;
D. Adescription oftheinjury caused orwhich maybecaused tothedomestic
industry;
E. Anexplanation oftheanalysis bytheMinistry ofeachofthefactors indicated
inArticles 41and42oftheAct,andother factors taken intoaccount, which
itshallidentify andwhose significance ineachcaseinrelation totherelevant
resolution shallbeexplained indetail;
F. Ifapplicable, theexport price which would notinjure domestic industry and
adescription oftheprocedure fordetermining it;
G. Theamount oftheprovisional countervailing dutypayable; and
H. Astatement thattheMinistry ofFinance andPublic Credit shallbenotified
sothatitmaydulycollect thecountervailing duties.
II. Ifthere hasbeennochange inthegrounds forinitiating theinvestigation intounfair
international trade practices, astatement thattheadministrative investigation is
continuing without theimposition ofcountervailing duties, withtheappropriate grounds
andjustification; and
III. Ifitisestablished thatthere arenounfair international trade practices, thestatement
thattheadministrative investigation isterminated without theimposition of
countervailing duties, andasummary oftheopinion oftheCommission inexplanation
oftheresolution.G/SCM/N/1/MEX/1
Page24
Chapter IV
Final Resolution
ARTICLE83.ThefinalresolutiontowhichArticle59oftheActrefersshallcontain,inaddition
tothedataindicated inArticle 80ofthese Regulations, thefollowing elements:
I. Where theexistence ofunfair international trade practices hasbeenestablished:
A. Thenormal value andexport priceobtained bytheMinistry, except inthecase
ofinformationwhichaninterestedpartyconsiderstobeconfidentialorrestricted
commercial information;
B. Adescription ofthemethods usedindetermining thenormal value andthe
export price and,ifapplicable, theamount ofthesubsidy anditseffect onthe
export price, inconformity withChapters IIandIIIofTitleVoftheActand
theapplicable articles ofChapter IIofTitleIVofthese Regulations, except
inthecaseofinformation which aninterested party considers tobeconfidential
orrestricted commercial information;
C. Themargin ofprice discrimination, thecharacteristics andamount ofthe
subsidy, anditseffect ontheexport price;
D. Adescription oftheinjury caused orwhich maybecaused tothedomestic
industry;
E. Anexplanation oftheanalysis bytheMinistry ofeachofthefactors indicated
inArticles 41and42oftheAct,andother factors taken intoaccount, which
itshallidentify andwhose significance ineachcaseinrelation totherelevant
resolution shallbeexplained indetail;
F. Ifapplicable, theexport price which would notinjure domestic industry and
adescription oftheprocedure fordetermining it;
G. Theamount ofthefinalcountervailing duties payable;
H. Astatement thattheMinistry ofFinance andPublic Credit shallbenotified
sothatitmaydulycollect thecountervailing duties; and
I. Asummary oftheopinion oftheCommission inexplanation oftheresolution.
II. Ifitisestablished thatthere arenounfair international trade practices, thestatement
thattheadministrative investigation isterminated without theimposition of
countervailing duties, withappropriate grounds andjustification, andasummary of
theopinion oftheCommission inexplanation oftheresolution.G/SCM/N/1/MEX/1
Page25
Chapter V
Technical Information Meetings
ARTICLE 84.TheMinistry shallholdtechnical information meetings withinterested parties
whosorequest, within fivedaysfrom thedayfollowing thepublication intheDiario Oficial dela
Federación ofthepreliminary andfinalresolutions.
Thepurpose ofthetechnical meetings shallbetoexplain themethod usedindetermining the
margins ofprice discrimination andcalculation ofsubsidies, aswellasinjury orthreat ofinjury and
thearguments concerning causality.
Atthese meetings, interested parties shallhavetherighttoobtain thecomputation schedules
andcomputer programmes, where appropriate, which theMinistry mayhave used inissuing its
resolutions.
ARTICLE 85.Aninformation report ofthetechnical meetings shallbedrawn up,containing
thedetails ofthemeeting. Thereport shallbesigned byallthose present. Theinterested parties may
formulate questions which theyconsider relevant provided thattheyarerelated totheinformation
published andtherules ofconfidentiality contained intheActandthese Regulations areobserved.
Thereport shallbeincorporated intheadministrative dossier.
Chapter VI
Conciliation Meetings
ARTICLE 86.Theinterested parties mayrequest theMinistry inwriting toconvene a
conciliation meeting, fromthedateofpublication intheDiario Oficial delaFederación oftheinitiation
oftheinvestigation untilfifteen daysbefore theclose oftheperiod forsubmission ofevidence. The
request shallcontain proposed formulas forasolution andarguments toallow theireffectiveness to
beassessed.
When theMinistry considers itappropriate, itmayinvite theinterested parties toaconciliation
meeting without therequest ofaninterested party.
ARTICLE 87.Following submission oftherequest towhich Article 61oftheActrefers,
theMinistry shallstudy theproposed formulas forasolution and,ifappropriate, shallwithin fivedays
following theacceptance oftherequest convene theother interested parties sothattheycanstatetheir
views within fivedaysfollowing dayofthenotification ofthemeeting.
Theparties summoned toaconciliation meeting shallnotbeobliged toparticipate therein and
where theydosoparticipate theyshallnotbeobliged toaccept theproposed solutions.
ARTICLE 88.Intheconciliation meeting, theMinistry shallfirstallow therequesting party
toputforward itsformulas forasolution, sothattheother interested parties mayexpress theirviews
ontheproposals. Anadministrative report oftheconciliation meeting shallbedrawn up,containing
adetailed account oftheproceedings, regardless oftheresult. Thereport shallbesigned bythe
representative oftheMinistry andtheinterested parties ortheirrepresentatives whotookpart.
Agreements,understandingsorschemeswhichcontravenefreecompetitionorinanywayhinder
economic competition shallnotbeaccepted inconciliation meetings.G/SCM/N/1/MEX/1
Page26
Chapter VII
Countervailing Duties
ARTICLE 89.Countervailing duties applied toimports from foreign exporters who, after
having beengranted theopportunity todefend themselves, havenotparticipated intheinvestigation,
shallbefixed according tothemargins ofprice discrimination known totheMinistry.
ARTICLE 90.Forthepurposes ofthesecond paragraph ofArticle 62oftheAct,the
countervailing dutymaybelessthanthemargin ofprice discrimination andtheamount ofsubsidies,
provided thatitissufficient toeliminate theinjury orthreat ofinjury caused.
ARTICLE 91.Theinterested parties may,atanytime, request theMinistry todecide whether
agiven product issubject toafinalcountervailing duty, under theterms ofArticle 60oftheAct,in
conformity withthefollowing requirements andprocedures:
I. Therequest shallbepresented inwriting, tothecompetent administrative department
oftheMinistry bytheinterested party oraperson acting inhisname andonhisbehalf,
together withaccrediting documents. Therequest shallindicate precisely andclearly:
A. Thelegalgrounds andjustification fortherequest, and
B. Theproduct inquestion, itsphysical characteristics andtechnical specifications,
origin, function, use,quality andnature; ifapplicable, components orinputs
utilized initsmanufacture andother distinguishing data, aswellasthe
description andtariff classification under theschedule oftheGeneral Import
Taxes Act.Therequest shallbeaccompanied bysamples, catalogues andother
items topermit identification oftheproduct.
II. TheMinistry shalldeclare theinitiation oftheproceedings bypublication intheDiario
Oficial delaFederación. Inaddition itshallnotify theinterested parties known to
itandshallsummon persons whoconsider theyhaveaninterest intheproceedings,
sothatwithin aperiod ofsixty daysfrom thepublication oftheinitiation ofthe
proceedings intheDiario Oficial delaFederación theymayexercise theirrighttomake
representations;
III. Following receipt oftherequest, theMinistry shall issue itsresolution within a
maximum period of130daysfrom thedayofpublication intheDiario Oficial dela
Federación oftheinitiation oftheproceedings;
IV. TheMinistry shallfreely assess andanalyse theelements andarguments supporting
therequest, forwhich purpose itmayobtain information, data, reports andother
elements which itconsiders relevant toreach anappropriate resolution, and
V. Iftherequesting party considers thattheproduct should beexcluded from thefinal
countervailing duty, itshallhavetherightnottomake thepayment concerned, during
theproceedings, subject toproviding thecustoms authorities withsecurity inoneof
theforms prescribed intheFederal TaxCode.
ARTICLE 92.Forthepurposes ofthepreceding Article, iftheMinistry resolves thatthe
product inquestion shallbesubject topayment ofacountervailing duty, therequesting importer shall
paythatdutytogether withasurcharge, inconformity withtheapplicable fiscal provisions.G/SCM/N/1/MEX/1
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IftheMinistryresolvesthattheproductinquestionisnotsubjecttopaymentofthecountervailing
duty, thesecurity provided shallbecancelled and,ifapplicable, theamounts paidshallbereturned,
withtherelated interest, which shallbecalculated asprovided inthepreceding paragraph.
Theresult oftheproceedings towhich thepreceding Article refers shallbepublished inthe
Diario Oficial delaFederación andshallbenotified totheinterested parties. Theresolution shall
contain thedataindicated inArticle 80ofthese Regulations andthemeaning oftherelated response.
ARTICLE 93.Theinterested parties mayatanytime, request theMinistry toclarify orexplain
aspecific aspect oraspects oftheresolutions under which finalcountervailing duties areimposed,
inconformity withthefollowing requirements andprocedures:
I. Therequest shallbesubmitted inwriting tothecompetent administrative department
oftheMinistry, bytheinterested partyoraperson acting inhisname andonhisbehalf,
together withaccrediting documents. Therequest shallstateprecisely andclearly:
A. Thearguments insupport oftherequest;
B. Theresolution concerned andthedescription oftheaspect oraspects forwhich
clarification orexplanation isrequested, and
C. Other dataallowing theauthority toanswer therequest.
II. Onreceipt oftherequest, theMinistry shallreply totheinterested party within 130
daysfrom thedayfollowing thepresentation oftherequest, and
III. TheMinistry mayrequire theinterested party toprovide information ordata,orany
document thatitdeems necessary toresolve thematter.
Thereply totherequest towhich thisArticle refers shallbepublished intheDiario Oficial
delaFederación andshallbenotified totheinterested parties.
ARTICLE 94.Thesecurity given shallbecancelled oramended or,ifapplicable, thesums
paidorthedifference involved shallbereturned withcorresponding interest, asappropriate, when
theMinistry eliminates ormodifies finalcountervailing duties:
I. Inproceedings forreview offinalcountervailing duties;
II. Inthedecisions concerning applicability toaproduct towhich Article 60oftheAct
refers;
III. Inproceedings todecide appeals forannulment;
IV. Inapplication ofdecisions bytheFederal TaxCourt, and
V. Infinalresolutions adopted bytheMinistry asaresult ofthedecisions ofalternative
dispute settlement mechanisms concerning unfair international tradepractices contained
ininternational treaties orconventions towhich Mexico isaparty.
TheinteresttowhichthisArticlerefersshallbeequivalenttotheamountwhichwouldcorrespond
totheyieldwhich would havebeengenerated iftheamount oftheduties hadbeeninvested inFederalG/SCM/N/1/MEX/1
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Treasury Bonds, atthehighest rate,from thedatewhen thepayment ofthedutywasdueuntilthe
dateofitsreimbursement.
ARTICLE 95.Inthecasetowhich Article 44oftheActrefers, provisional orfinal
countervailing duties shallnotapply toimporters whodemonstrate totheMinistry thatthegoods subject
tosuchmeasures aredestined foramarket established outside theareaorregion concerned. Inthat
case, theinterested importers maychoose topaythecountervailing dutyorguarantee itspayment in
accordance withtheprovisions oftheFederal TaxCode.
Onpresentation oftherequest andtheevidence supporting thefactsdescribed inthepreceding
paragraph, theMinistry shalldecide thematter within 130working daysfrom thedateofreceipt of
therequest. Within thisperiod, theMinistry mayorder anyinvestigative proceeding toestablish the
truthofthestatements oftheimporters. Ifinthecorresponding resolution theMinistry confirms the
finalcountervailing duty, thesecurity given shalltakeeffect. Iftheresolution inquestion revokes
thecountervailing dutyinfavour oftheinterested importer, thesecurity shall becancelled or,if
applicable, thesums paidshallbereturned, withthecorresponding interest. Theinterest shallbe
calculatedinaccordancewiththeprovisionsofthelastparagraphoftheprecedingarticle.TheMinistry's
resolution shallbepublished intheDiario Oficial delaFederación andshallbenotified personally
totheinterested party. Thisresolution mayonlybesetaside bytheFederal TaxCourt.
ARTICLE 96.Inthecases towhich Article 71oftheActrefers, theMinistry shallpublish
theinitiation ofproceedings intheDiario Oficial delaFederación andshallnotify theimporter, exporter
or,ifapplicable, theforeign government concerned, sothatwithin amaximum ofsixty daysfrom
thedateofthesaidpublication theymayexercise theirrighttomake representations.
TheMinistry mayrequire theinterested parties toprovide further items ofevidence ordata,
which mustbeprovided within thetime-limit indicated bytheauthority. Iftherequired evidence and
dataarenotprovided within thetimeandintheform required, theproceedings shallbeconducted
onthebasis ofknown facts.
Oncompletionoftheproceduredescribedintheprecedingparagraphs,theMinistryshallpublish
theappropriate resolution intheDiario Oficial delaFederación within amaximum of130daysfrom
thepublication towhich thefirstparagraph ofthisArticle refers andshallnotify theinterested parties
known toit.
ARTICLE 97.TheMinistry shallapply thefinalresolutions issued asaresult ofanappeal
forreversal, ajudgement ofnullity oraresolution oftheMinistry adopting thedecisions ofanalternative
dispute settlement mechanism totheextent thattheyarerelevant totheother interested parties.
Inorder todetermine whether theapplication ofthefinalresolutions isrelevant totheother
interested parties, theMinistry shallonitsowninitiative orattherequest ofaparty initiate asummary
proceeding.
TheMinistry shallpublish theinitiation oftheproceedings intheDiario Oficial delaFederación
andshallnotify theinterested parties known toit.
Theinterested parties orpersons entitled toparticipate intheproceeding shallhavethirty days
tomake anyrepresentations appropriate totheirinterests andtosubmit theinformation required by
theMinistry.G/SCM/N/1/MEX/1
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ARTICLE 98.Within sixtydaysfromthepublication oftheinitiation oftheproceedings the
Ministry shallpublish theappropriate resolution intheDiario Oficial delaFederación, andshallnotify
theinterested parties whoappeared intheproceedings.
Chapter VIII
Review ofFinal Countervailing Duties
ARTICLE 99.Under theterms ofArticle 68oftheAct,theMinistry shallreview thefinal
countervailing duties intheevent ofachange inthecircumstances which determined theexistence
ofprice discrimination or,asapplicable, subsidy.
Incarrying outthereview ofthefinalcountervailing duties, thesubstantive andprocedural
provisions contained intheActandintheseRegulations shallbeobserved, together withthose relating
totheinitiation ofproceedings, preliminary resolution, final resolution, conciliation meeting,
countervailing duties, undertakings byexporters andgovernments, evidence, pleadings, public hearings,
technical information meetings, notifications, clarifications andother arrangements common tothe
proceedings.
ARTICLE 100. Thereview procedure mayberequested bytheinterested parties who
participated intheproceedings which gaverisetothefinalcountervailing dutyorbyanyproducer,
importer orexporter who,although nothaving participated intheproceedings inquestion, canestablish
hislegalinterest.
Theinitiation ofareview andtheconclusion oftherespective proceedings shallbepublished
intheDiario Oficial delaFederación andshallbenotified toknown interested parties, inaccordance
withtheprovisions ofthese Regulations.
Thereview offinalcountervailing duties initiated exofficio shallbesubject totheprocedural
rules governing theinvestigations which gaverisetotheduties subject toreview, asapplicable.
ARTICLE 101. Each year, during themonth oftheanniversary ofpublication ofthefinal
countervailing dutyintheDiario Oficial delaFederación, theinterested parties mayrequest theMinistry
inwriting tocarry outanadministrative review. Intherequest forreview offinalcountervailing duties,
theinterested party mayrequest theMinistry:
I. Inthecaseofaforeign exporter orimporter oftheproduct inquestion:
A. Toexamine orconsider hisindividual margin ofprice discrimination, and
B. Ifappropriate, tomodify oreliminate thecountervailing duty;
II. Iftherequesting party isanational producer:
A. Toexamine thenormal value andexport price determined inarepresentative
period, intheordinary course oftrade, foroneormore foreign exporters,
and
B. Ifappropriate, toconfirm orincrease thecountervailing duty.
Inanyevent, therequesting partyshallprovide therelevant information andevidence tosupport
hisrequest.G/SCM/N/1/MEX/1
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Inthecourse oftheproceedings, thedomestic producer mayrequest thatconsideration begiven
towhether modifying oreliminating thefinalcountervailing dutywould leadtoarecurrence ofthe
injury orthreat ofinjury inwhich caseitwould beuptohimtoprovide therelevant evidence.
Theinterestedpartiesshallbeobligedtosubmitwiththeirrequestthequestionnaires,established
forthatpurpose bytheMinistry, dulycompleted.
ARTICLE102.Theinterestedpartiesshallhavetheoptionofprovidingsecurityforthepayment
ofthefinalcountervailing dutyincasethereview resolution confirms ormodifies theduty. Thesecurity
shallbeestablished intheform andterms prescribed intheFederal TaxCode anditsRegulations.
ARTICLE 103. Within aperiod ofthirty daysfollowing thesubmission oftherequest, the
Ministry shall:
I. Accept therequest anddeclare theinitiation ofthereview, byanappropriate resolution
which shall benotified totheinterested parties. Theresolution towhich this
subparagraph refers shall contain theinformation specified inArticle 80ofthese
Regulations;
II. Asktherequesting party forfurther items ofevidence orinformation which shallbe
provided within amaximum oftwenty daysfollowing receipt ofthenotification. If
therequested information isdulyprovided, theMinistry shallwithin aperiod oftwenty
days proceed inconformity withthepreceding subparagraph. Iftherequested items
andinformation arenotdulyproduced within thetime-limit mentioned, therequest
shall beconsidered ashaving been abandoned andtherequesting party shall be
personally sonotified, or
III. Reject therequest when supporting information orevidence hasnotbeenpresented
andpersonally sonotify therequesting party.
Theresolutions issued inaccordance withtheprovisions ofthisArticle shallbepublished in
theDiario Oficial delaFederación.
ARTICLE104.Withinaperiodof260daysfromthedayfollowingpublicationoftheresolution
toinitiate thereview intheDiario Oficial delaFederación, theMinistry shallissuethecorresponding
resolution, which shallbepublished intheDiario Oficial delaFederación andnotified totheinterested
parties.
Theresolution declaring theconclusion ofthereview shallcontain theinformation towhich
Articles 80and83ofthese Regulations refer.
ARTICLE 105. Ifinthereview itisdecided thatthere isnomargin ofprice discrimination,
thefinalcountervailing dutyshallbeannulled andtheMinistry shall, exofficio ,review thematter each
yearforthree years inthesame month.
ARTICLE 106. Ifthereview shows margins ofpricediscrimination which aredifferent from
those determined intheinvestigation which gave risetothefinalcountervailing duties, thenew
countervailing duties which arefixed shallreplace theformer. These countervailing duties shallbe
finalandmaybereviewed inaccordance withtheprovisions oftheActandthese Regulations.
ARTICLE 107. Ifthereview shows thatduring theperiod subject toreview, theimporters
involved paidcountervailing duties tothecustoms authorities inexcess ofthose which theyshouldG/SCM/N/1/MEX/1
Page31
havepaidunder theresolution inquestion, theinterested party mayrequest fullreimbursement ofthe
difference tohiscredit withtherelated interest.
Ifasaresult ofthereview theMinistry notes that,during theperiod under review, theimporters
involved paidacountervailing dutylessthanthedutyresulting fromthesaidreview, theMinistry shall
confirm theapplication ofthelesser duty.
Theinterest towhich thisArticle refers shallbecalculated inaccordance withtheapplicable
fiscal provisions.
ARTICLE 108. Theexofficio review maybeinitiated atanytime. Theresolution initiating
thereview shallcontain theinformation indicated inArticle 80oftheseRegulations, shallbepublished
intheDiario Oficial delaFederación andshallbenotified totheinterested parties.
ARTICLE 109.TheMinistry shalldeclare theelimination offinalcountervailing duties in
thecircumstances towhich Article 70oftheActrefers, provided thatitnotifies theinterested parties
known toitthatthelegaltime-limit haselapsed. Thedeclaration shallbepublished intheDiario Oficial
delaFederación.
Chapter IX
Undertakings byExporters andGovernments
ARTICLE 110. Undertakings byforeign exporters and, inthecase ofsubsidies, by
representatives offoreign governments, towhich Article 72oftheActrefers, maybesubmitted for
consideration bytheMinistry atanytimeduring theproceedings anduntiltheclose oftherespective
period fortheexamination ofevidence.
ARTICLE 111. Theundertakings towhich thisChapter refers shallbepresented inwriting,
bytheforeign natural orlegalpersons whoaredulyaccredited totheMinistry intheadministrative
investigation orinthecorresponding review procedure. Iftheundertaking ispresented bythe
representative oftheforeign exporter orgovernment, aspecial warrant oranyother equivalent legal
instrument shallberequired, without which therequest shallnotbeadmitted.
ARTICLE 112. Interested foreign exporters orgovernments maysubmit forconsideration
bytheMinistryundertakingswhichwouldhavetheeffectofeliminatingpricediscriminationorsubsidies
andtheinjury orthreat ofinjury caused todomestic industry. Consequently, theundertakings may
consist of:
I. Modifications toexport prices oftheproduct inquestion;
II. Complete elimination ofthecauses which make theexport price asubsidized price;
III. Restrictingexports,withtheinterventionofthegovernmentofthecountryoftheforeign
exporter, toquantities agreed withtheMinistry;
IV. Complete suspension ofexports tothecountry foraperiod agreed withtheMinistry;
V. Restrictions onexport subsidies forgoods exported toMexico; and
VI. Other measures which, intheopinion oftheMinistry havetheequivalent effects.G/SCM/N/1/MEX/1
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TheMinistry mayrequest information, data, documents andmeans ofevidence which it
considers relevant fromtheinterested foreign exporter orgovernment, inorder freely toevaluate the
undertaking.
ARTICLE113.OnreceiptoftheundertakingtowhichtheprecedingArticlerefers,theMinistry
shallinclude therequest intheadministrative dossier andshallnotify theother interested parties so
thatwithin aperiod oftendaysfromthedatewhen thenotification takes effect, theymayexpress their
views. Ifitisconsidered appropriate, theMinistry shall summon theparties interested inthe
investigation inquestion toameeting todiscuss theformandterms oftheundertakings made andthe
feasibility ofverifying them.
ARTICLE 114. Inaccepting orrejecting theundertaking, theMinistry shallconsider the
following factors among others:
I. Whether theundertaking given causes anadverse impact greater thanmight have
beencaused bythecountervailing duties onprices totheconsumer andonsupply of
theproduct;
II. Therelative impact oftheundertaking onthecountry 'sinternational economic interests;
III. Therelative impact oftheundertaking onthecompetitiveness ofthedomestic industry
producing theidentical orlikeproduct, andonemployment andinvestment inthat
industry; and
IV. Whether theforeign exporters orgovernments aresubject toinvestigation forunfair
international trade practices orareaffected bycountervailing duties orequivalent
measures inthecountry orabroad.
Undertakings which cannot befulfilled inpractice shallnotbeaccepted, whether because they
areundertakings which theMinistry considers unlikely tobeimplemented orbecause theyinvolve
agreements, understandings orschemes which arecontrary tofreecompetition orinanywayhinder
economic competition.
ARTICLE 115. Onaccepting orrejecting theundertaking bytheinterested foreign exporter
orgovernment, theMinistry shall, inthecorresponding finalresolution, establish theformandterms
under which theundertaking given shallbeimplemented, stating whether asaresult ofthatundertaking
theproceedings inquestion aresuspended orconcluded and,ifapplicable, thegrounds andjustification
forrejection.
Theresolution towhich thisArticle refers shall bepublished intheDiario Oficial dela
Federación andshallbenotified totheinterested parties.
ARTICLE116.TheMinistryshall,exofficioorattherequestofaninterestedparty,periodically
review thedueimplementation oftheundertaking given. Ifthereview shows thattheforeign exporter
orgovernment hasfailed, inwhole orinpart,tofulfil theundertaking, theMinistry shallimpose the
appropriate countervailing dutyinaccordance withthefactsknown toit.G/SCM/N/1/MEX/1
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Chapter X
Alternative Dispute Settlement Mechanisms
ARTICLE 117. When theGovernment ofMexico isresponsible forinitiating analternative
dispute settlement mechanism withregard tounfair international tradepractices under theinternational
trade treaties oragreements towhich Article 97oftheActrefers, thefollowing rules shallapply:
I. Theinterested party whochooses toresort tosuchmechanisms shallpresent arequest
inwriting containing thefollowing information:
A. Hisname orbusiness name anddomicile, andthose ofhislegalrepresentative,
including telephone andfaxnumber;
B. Thedomiciles oftheinterested parties appearing onthemailing list;
C. Identification ofthefinalresolution contested andtheissuing authority and,
ifapplicable, thereference totheofficial publication ofthatresolution, orif
notpublished, thedateonwhich notification oftheresolution contested was
received;
D. Description oftheproceedings inwhich theparty wasinvolved; and
E. Violations orinjuries caused bythefinalresolution.
II. Following presentation oftherequest, theMinistry shallrequest initiation ofthedispute
settlementprocedureinconformitywiththeinternationaltreatyoragreementconcerned.
TITLE VIII
COMMON PROVISIONS FOR PROCEEDINGS WITH REGARD
TOUNFAIR INTERNATIONAL TRADE PRACTICES
AND SAFEGUARD MEASURES
Chapter I
Exofficio Investigation, Legally Constituted Organizations, Withdrawal, Administrative
Dossier andTransmission ofCopies toInterested Parties
ARTICLE 135. Intheabsence ofanexpress provision inthese Regulations concerning
administrative proceedings withregard tounfair international tradepractices andsafeguard measures,
theRegulations oftheFederal TaxCode shallbeapplied, totheextent thattheyareapplicable tothe
nature oftheseproceedings. Thisprovision shallnotapply tonotifications andsearches forthepurpose
ofverification.
Theconduct andresolution ofinvestigation proceedings towhich thisTitlerefers which are
initiated exofficio inaccordance withthelawshallbesubject tothesamelegalandregulatory provisions
asthose applicable toinvestigations undertaken attherequest ofaparty.
ARTICLE 136. Forthepurposes ofArticle 50oftheAct,legally constituted organizations
aredeemed tobechambers, associations, confederations, councils oranyother group ofproducers
constituted inaccordance withMexican law,whose object istorepresent theinterests ofnatural orG/SCM/N/1/MEX/1
Page34
legalpersons engaged intheproduction ofgoods identical, aliketoor,inthecaseofsafeguard measures,
directly competitive withtheimported products.
ARTICLE 137. Theinterested party maywithdraw therequest towhich Article 50ofthe
Actrefers, subject tothefollowing rules:
I. Iftherequest iswithdrawn prior topublication oftheresolution toinitiate the
investigation, theinvestigating authority shalldeclare theinvestigation voidongrounds
ofwithdrawal, andshallpublish thecorresponding notice intheDiario Oficial dela
Federación, and
II. Iftherequest iswithdrawn afterpublication oftheresolution toinitiate theinvestigation,
thewithdrawal mayonlytakeeffect when theimporters orforeign exporters and,in
thecaseofsubsidies, representatives oftheforeign governments, givetheirconsent
inwriting totheMinistry. Inthatcase, theMinistry shalldeclare theinvestigation
terminated, andshall publish thecorresponding notice intheDiario Oficial dela
Federación.
ARTICLE 138. Intheinvestigation proceedings towhich thisTitlerefers, theMinistry shallcompile
anadministrative dossier onthebasis ofwhich therelevant resolutions shallbeissued.
Theadministrative dossier shallconsist of:
A. Documentary orother information presented totheMinistry orobtained byitinthe
course oftheadministrative proceedings, including anygovernment communications
concerning thematter, andreports, records ormemorandums ofmeetings withone
oralltheinterested parties, thirdparties oradditional parties;
B. Resolutions issued bytheMinistry inrelation thereto;
C. Transcriptions orrecords ofmeetings orhearings before theMinistry;
D. Notices published intheDiario Oficial delaFederación concerning theadministrative
proceedings, including review, and
E. Records ofsessions oftheCommission dealing withtheestablishment ofsafeguard
measures anddraftfinalresolutions withregard tounfair international tradepractices,
anddraftresolutions inwhich theMinistry accepts theundertaking offoreign exporters
orgovernments towhich Article 72oftheActrefers.
ARTICLE 139. Awritten report shallbeprepared ofanycommunication, whether direct or
made byother conventional orelectronic means, between theMinistry andanyinterested party, his
representatives oradditional parties during theinvestigation andreview proceedings. Thisreport shall
contain asummary oftheobject ofthecommunication andtheconclusions reached. Inaddition it
shallcontain thename andoffice ofthepublic servant whoprepared it,theplace andsignature and
shallbeincluded forthwith intheadministrative dossier.
ARTICLE 140. Copies ofreports, documents oritems ofevidence towhich Article 56of
theActrefers shallbedespatched atthesame timeastheyarepresented totheMinistry. Interested
parties shallsendcopies tootherinterested parties appearing onthemailing listprovided bytheMinistry.
Thisobligation doesnotrelieve theinvestigating authority from thedutytonotify andprovide theG/SCM/N/1/MEX/1
Page35
interested parties withinformation, documents oritems ofevidence pertaining totheadministrative
dossier when sorequested.
Atthetimewhen thedocumentation towhich thepreceding paragraph refers istransmitted,
theinterested parties shallalsosubmit acertificate ofdespatch ofthatdocumentation totheother
interested parties, together withthecorresponding receipt stating thename ofthesender andthedate
ofreceipt, inconformity withtheforms issued bytheMinistry.
ARTICLE 141. TheMinistry maytransmit thedocuments towhich thesecond paragraph of
Article 53oftheActrefers byelectromagnetic means.
Chapter II
Notification
ARTICLE 142.TheMinistry shall, inatimely manner, notify theinterested parties inwriting
oftheresolutions issued withregard totheproceedings towhich thisTitlerefers.
ARTICLE 143. Forthepurposes ofthese Regulations, domicile means:
I. Fornatural persons: theplace where theyhavetheirprincipal seatofbusiness orthat
oftheirrepresentative, and;
II. Forlegalpersons: theplace where theprincipal office ofthebusiness orthatoftheir
representative islocated. Inthecaseoflegalpersons resident abroad, theplace where
theprincipal office ofthebusiness islocated intheircountry orknown totheauthority
or,failing that,theplace designated bytheinterested party.
ARTICLE 144. Fornotifications, there must beacorresponding receipt ofdespatch. Post
office receipts, returned certificates ofreceipt, andanyother acknowledgement ofreceipt shallbe
included intheadministrative dossier.
ARTICLE 145. Where theMinistry doesnotknow theaddress ofthepersons tobenotified,
whether resident inMexico orabroad, thenotification shallbebypublication intheDiario Oficial
delaFederación and,onetimeonly, inoneofthenewspapers ofmajor circulation inMexico; the
latterpublication shallcontain asummary oftherequest concerned andtheproceedings tobeconducted.
Forpersons resident outside thecountry, theMinistry shallsendthecommunications towhich
theprevious paragraph refers todiplomatic missions offoreign governments, sothattheymaytake
thenecessary steps todistribute thecontent ofresolutions.
Forthepurposes ofthisArticle, thedateofnotification isdeemed tobethatofpublication
intheDiario Oficial delaFederación.
ARTICLE 146.TheMinistry shallnotify those subject toasearch thatasearch istobecarried
outforthepurposes ofverification, asreferred toinArticle 83oftheAct.Thenotification shallcontain:
I. Thedesignation ofthecompetent issuing authority;
II. Thename ornames orbusiness name ofthepersons towhich itisaddressed;G/SCM/N/1/MEX/1
Page36
III. Theplace orplaces where thesearch istotakeplace, which maybesupplemented
following notification totheperson subject tothesearch, andthedateofthesearch;
IV. Thegrounds andjustification forthesearch, anditsobject orpurpose;
V. Thesignature ofthecompetent official, and
VI. Thename ornames ofthepersons whowillcarry outthesearch, whomaybereplaced
orwhose number maybeincreased orreduced atanytimebytheMinistry. Inthe
latter case,thereplacement oraddition ofpersons whoaretocarry outthesearch shall
benotified totheperson subject tothesearch. Inaddition, theMinistry shallnotify
theperson subject tothesearch ifexternal consultants areincluded among suchpersons.
Thenotifications shallbemade insuchawaythattheinterested party receives them atleast
10daysprior tothesearch, during thisperiod theperson subject tosearch mustgivehisconsent to
theMinistry.
Chapter III
Public, Confidential, Restricted Commercial andConfidential
Government Information
ARTICLE 147. Forthepurposes ofArticle 80oftheAct,theMinistry, onwritten request,
shall grant theinterested parties theopportunity toexamine alltheinformation contained inthe
administrative dossier forthepresentation oftheirarguments, under theterms established intheAct
andinthese Regulations. Thisinformation maybeexamined bytheparties during theinvestigation
proceedings, thereview andappeal forreversal, thehearing intheUpper Chamber oftheFederal Tax
Court andalternative dispute settlement mechanisms withregard tounfair international tradepractices
referred tointheinternational treaties oragreements towhich Mexico isaparty and,ifapplicable,
withregard tosafeguard measures.
TheMinistry shall, attheexpense oftheinterested parties, sendcertified copies ofallorpart
oftheadministrativedossierrequested,whenappropriate,inconformitywiththeprovisionsofArticle80
oftheActandthese Regulations.
ARTICLE148.ForthepurposesoftheproceedingstowhichthisTitlerefers,publicinformation
shallbedeemed tobe:
I. Information published byanymethod ofdissemination, regardless ofitscoverage, or
made available tothepublic bytheperson submitting it,orwhere thatperson has
consented toitspublication byathirdparty;
II. Summaries ofconfidential information andrestricted commercial information presented
under theterms ofArticle 153ofthese Regulations;
III. Records relating tosearches forpurposes ofverification andannexed documents, except
forconfidential, restricted commercial orconfidential government information;
IV. Anyotherinformation ordatawhich under theAct,theseRegulations andothernational
orforeignlegislationdonotconstituteconfidential,restrictedcommercialorconfidential
government information andwhose publication isnotprohibited.G/SCM/N/1/MEX/1
Page37
ARTICLE 149. Forthepurposes oftheproceedings towhich thisTitlerefers, andsubject
tocompliance withtheprovisions ofArticles 152,153and158ofthese Regulations, confidential
information shallbedeemed tobe:
I. Production processes fortheproduct concerned;
II. Production costs andspecification ofcomponents;
III. Distribution costs;
IV. Terms andconditions ofsale,except those offered tothepublic;
V. Selling prices bytransaction andbyproduct, except components ofprices suchasdates
ofsalesanddistribution oftheproduct, andtransport ifbypublic routes;
VI. Description ofthetypeofindividual customers, distributors orsuppliers;
VII. Ifapplicable, theexactamount ofthemargin ofpricediscrimination inindividual sales;
VIII. Theamounts ofadjustments forterms andconditions ofsale,volume orquantities,
variable costs andtaxcharges proposed bytheinterested party, and
IX. Anyother specific information about theenterprise concerned whose disclosure or
dissemination tothepublic maycause injury toitscompetitive position.
Theinformation oncosts andprices towhich subparagraphs II,III,andVIIofthisArticle
refermaybepresented bytheinterested party oradditional parties inranges ofpercentage variation
thatdonotexceed thefactor of10percent.
ARTICLE 150.Restricted commercial information, subject tocompliance withtheprovisions
ofArticles 152,153and158oftheseRegulations, shallbedeemed tobeinformation whose disclosure
mayresult insubstantial andirreversible financial damage orharm tothenetworth oftheowner of
thatinformation andwhich mayinclude, among other things, secret formulas orprocesses which have
acommercial value, arenotpatented andknown exclusively toasmall group ofpeople whousethem
intheproduction ofacommercial product.
ARTICLE 151. Thename ofthenatural orlegal persons from whom theinterested party
obtained relevant information shallbeknown onlytotheMinistry andmayonlybedisclosed following
theconsent ofsuchpersons.
ARTICLE 152. Theinterested party shallberesponsible forpointing outwhere appropriate
initsrequests, answers, replies totheMinistry orinanyform ofappearance, anyinformation ofa
confidential orrestricted commercial character. Likewise, hemustjustify thereason forsodesignating
hisinformation.
ARTICLE 153. Theparty interested inensuring theconfidential orrestricted commercial
treatment ofhisinformation anddocuments shallsubmit apublic summary thereof totheMinistry.
Thissummary shallbepresented inwriting andshallbesufficiently detailed toallow anyone consulting
ittohaveareasonable andcomprehensive understanding ofthesubject.G/SCM/N/1/MEX/1
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ARTICLE 154. Forthepurposes oftheproceedings towhich thisTitlerefers, confidential
government information shallbedeemed tobeinformation whose disclosure isprohibited bylawsand
other public legislation, andbyinternational treaties oragreements towhich Mexico isaparty.
Inanyevent, confidential government information shallinclude data,statistics anddocuments
concerning national security andstrategic activities forthescientific andtechnological development
ofthecountry,andinformationcontainedingovernment-to-governmentcommunicationsofaconfidential
nature.
ARTICLE 155.When sorequired, theMinistry shallprovide thepublic, confidential, restricted
commercial orconfidential government information toadministrative tribunals, courts anddispute
settlement mechanisms relating tounfair international tradepractices andsafeguard measures contained
ininternational trade treaties oragreements towhich Mexico isaparty, when theyareseized with
anappeal against thefinalresolutions towhich theActandthese Regulations refer. Inanyevent,
thepublicservantresponsiblefortransmittingtheinformationconcernedtotheaforementionedauthorities
andmechanisms shallindicate itscharacter.
ARTICLE 156. When thetime-limit towhich Article 80oftheActrefers hasexpired, the
Ministry maydespatch certified copies ofthedossier ofthematter concerned or,ifsorequested, shall
permit theinterested parties ortheirrepresentatives toinspect therequested dossiers.
ARTICLE 157. Intheproceedings towhich Articles 60,68and94oftheActrefer, the
provisionsconcerningpublic,confidential,restrictedcommercialandconfidentialgovernmentinformation
contained intheActandinthese Regulations shallbeobserved.
Chapter IV
Request forConfidentiality ofInformation
ARTICLE 158. Interested parties ornatural andlegalpersons who, under theActandthese
Regulations participate intheproceedings towhich thisTitlerefers, shallhavetheright torequire
theMinistry totreattheirinformation asconfidential orasrestricted commercial information. For
thatpurpose, theinterested party concerned shallcomply withthefollowing requirements:
I. Therequest shallbesubmitted inwriting;
II. Heshall explain whyhisinformation isofaconfidential orrestricted commercial
character;
III. Heshallpresent asummary oftheinformation or,ifapplicable, anexplanation ofthe
reasons whyitcannot besummarized; and
IV. Ifapplicable, givehisexpress consent inwriting thattheinformation marked as
confidential orrestricted commercial maybeexamined bythelegal representatives
oftheother interested parties.
ARTICLE 159. Forthepurposes ofArticle 80oftheAct,anaccredited legalrepresentative
shallbedeemed tobethenatural person authorized bytheMinistry tohaveaccess toconfidential
information, oncompletion ofthefollowing requirements:
I. Presentation totheMinistry ofarequest inwriting stating theneedtoexamine the
confidential information;G/SCM/N/1/MEX/1
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II. Submission ofofficial documents accrediting therequesting party asalawyer entitled
toexercise hisprofession inMexico inaccordance withtheapplicable laws.
Therequesttowhichthissubparagraphrefersmayalsobesubmittedbyanyotherperson
provided thathemeets therequirements established inthisArticle, withtheexception
oftheprovision oftheprevious paragraph, andisassisted byalawyer;
III. Presentation oftheoriginal document orcertified copy thereof accrediting himas
representative;
IV. Show theofficial document orcertified copythereof accrediting thename andauthority
oftheofficial oftheenterprise granting thepower ofrepresentation;
V. Hemust beresident inMexico;
VI. Hemustundertake andsubmit thecommitment toconfidentiality, under theterms laid
down bytheMinistry inaccordance with theprovisions oftheActandthese
Regulations;
VII. Hemust stateinwriting thatheisaware oftheliabilities andsanctions towhich he
maybesubject ifheviolates theconfidentiality oftheinformation entrusted tohim;
VIII. Hemuststateinwriting thereasons whytheconfidential information heisrequesting
toexamine isrelevant tothedefence ofhiscase. Insuchasituation, theMinistry
mayspecify under whatconditions itshallbeconsidered thatconfidential information
maybeuseful tothedefence ofthecaseinquestion; and
IX. Hemustgiveanundertaking totheMinistry toreturn theoriginal versions ofhisnotes
orsummaries made when examining theconfidential information, within tendays
following theissue ofthefinalresolution.
Theconfidential information which legal representatives ofinterested parties havetheright
toexamine under these Regulations shallbestrictly forpersonal useandshallnotbetransferable for
anyreason whatsoever. Inthecasementioned inthesecond partofsubparagraph IIofthisArticle,
thelawyer assisting thelegally-authorized representative shallcomply withtherequirements towhich
subparagraphs VtoIXofthisArticle referandshallbejointly responsible fortheunauthorized use
oftheconfidential information.
ARTICLE 160. Inaddition totheprovisions ofthepreceding Article, thelegalrepresentative
shallcomply withthefollowing requirements, failing which heshallnotbeauthorized toexamine the
confidential information:
I. Heshallnothavebeenconvicted ofadeliberate offence oradministrative breach of
thelaw;
II. Hemust beofgood personal andprofessional standing;
III. Hemustnothavebeenapartner, adirector oractedasasalaried agent orrepresentative
oftheenterprise which hepurports torepresent, norofanyoftheother interested or
additional parties intheproceedings inquestion, during theprevious year; andG/SCM/N/1/MEX/1
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IV. Hemust provide aform ofsecurity fortheamount fixed bytheMinistry under the
Federal TaxCode, against hiscommitting theunlawful actsdescribed insubparagraph
VIofArticle 93oftheAct. Thesecurity maybecancelled following thepublication
oftheresolution inquestion.
When therequirements havebeenfulfilled, theMinistry shallholdthelegal representative
asaccredited andshallsendhimtherespective confirmation within tendaysfromthedayofsubmission
oftherequest.
ARTICLE 161.Forthepurposes oftheproceedings towhich thisTitlerefers, theexamination
oftheconfidential information shalltakeplace intheoffices oftheMinistry, inthepresence ofan
official oftheMinistry. TheMinistry shallallow reasonable timetothelegalrepresentative toenable
himtoexamine theconfidential information, ofwhich hemaymake notes orsummaries.
Inaddition, when itisdeemed appropriate, theMinistry mayprovide copies ofthatinformation,
indicating therequirements tobeobserved bythelegalrepresentative forthetreatment andreturn of
thatinformation.
Chapter V
Evidence, Public Hearing andPleadings
ARTICLE 162. TheMinistry shallaccept asevidence public andprivate documents, expert
reports,administrativerecognitionorverification,personalevidence,presumptionsandanyothermethod
ofevidence notprohibited bylaw.
ARTICLE 163. Theperiod fortheexamination ofevidence shallrunfromthedayfollowing
thepublication oftheinitiation oftheadministrative investigation andtheacceptance oftherequest,
intheDiario Oficial delaFederación untilthedatewhen thepublic hearing towhich Article 81of
theActrefers isdeclared concluded.
ARTICLE 164. Inthecaseofproceedings inrespect ofunfair international trade practices
andsafeguard measures, following publication oftheinitiation oftheadministrative investigation and
acceptance oftherequest, importers, exporters and,ifapplicable, representatives offoreign governments
whohavebeennotified orwhoappear oftheirownrightbefore theMinistry, shallhaveatime-limit
ofthirty daystoformulate theirdefence andpresent therequired information.
When thetime-limit towhich thepreceding paragraph refers haselapsed, theMinistry shall
give theopportunity totherequesting parties and, ifapplicable, thejoint parties topresent
counter-arguments orreplies within theeight daysfollowing.
Following thepublication intheDiario Oficial delaFederación ofthepreliminary resolution
towhich Article 57oftheActrefers, theMinistry shallgrant aperiod ofthirty daystoallow the
interested parties topresent supplementary arguments andevidence which theyconsider relevant.
ARTICLE 165. Thepurpose ofthepublic hearing shallbetoallow theinterested parties and,
ifapplicable, additional parties, toquestion orreject thearguments oftheother parties regarding the
information, dataandevidence submitted.
ARTICLE 166. When thehearing isopened, therepresentative oftheMinistry shall, where
heconsiders necessary, introduce fordiscussion theevidence presented bytherequesting party.
Following that,importers, foreign exporters anddomestic producers inthatorder shallbepermittedG/SCM/N/1/MEX/1
Page41
tospeak. Each party shallspeak, inturn, twice inrespect ofevidence submitted byother parties.
TheMinistry, subject toagreement withtheinterested parties, shallfixthemaximum timepermitted
foreachintervention, without prejudice toextending thetimeallocated forparticipation byinterested
parties asitconsiders necessary.
ARTICLE 167. Inthecaseofexpert evidence, where there aredifferences among experts,
therepresentative oftheMinistry shallallow themtospeak, under theterms ofthepreceding Article.
ARTICLE 168. Thediscussion towhich thepreceding Articles refermayconsist ofrebuttals
andquestioning bytheinterested parties. Therepresentative oftheMinistry mayrequire theinterested
parties torepeat theirarguments inorder toclarify disputed points. Therules ofconfidentiality of
information laiddown intheActandinthese Regulations shallbeobserved inthishearing.
ARTICLE 169. Theabsence ofanyoftheinterested parties, experts andother persons who
bythenature oftheevidence should appear shallnotprevent thepublic hearing being held.
ARTICLE 170. Arecord ofthepublic hearing shallbedrawn upcontaining adetailed account
oftheproceedings; itmustbesigned bytheinterested parties andtherepresentative oftheMinistry,
andincluded inthedossier ofthecase.
ARTICLE 171. Theinterested parties mayonlypresent information, evidence anddatathat
theyconsider relevant indefence oftheirinterests during theperiod forthesubmission ofevidence.
Nevertheless, theMinistry mayallow thesubmission, repetition oramplification ofanyevidence or
evidential actsoutside theperiod forthesubmission ofevidence, provided thatitconsiders itnecessary
andthatitmayresult inbetter knowledge ofthetruthabout thefactsunder investigation.
ARTICLE 172.Upon theconclusion oftheperiod forthesubmission ofevidence, theMinistry
shall open aperiod ofpleadings during which theinterested parties maysubmit inwriting their
conclusions onthesubstance ormatters arising inthecourse oftheproceedings. Inthiscase,therules
ofconfidentiality established intheActandthese Regulations shallbeobserved.
Chapter VI
Searches forthePurpose ofVerification
ARTICLE 173. When carrying outthesearches forthepurpose ofverification towhich
Article 83oftheActrefers, thefollowing rules shallbeobserved:
I. Searches shallbecarried outattheplaceorplaces indicated intherespective notification
andbythepersons indicated therein;
II. Thesearch shall beattended bytheperson subject tothesearch orhisaccredited
representative, orbytheperson present onthedatewhen thesearch takes place;
III. Atthecommencement ofthesearch, thepersons responsible forcarrying outthesearch
shallformally identify themselves totheperson orpersons withwhom theproceeding
hasbeenarranged, requiring them todesignate twowitnesses. Ifwitnesses arenot
designatedorthedesignatedpersonsdonotconsenttoserveassuch,thevisitingofficials
shalldesignate witnesses, noting thatfactintherecord, without thatinvalidating the
results ofthesearch;G/SCM/N/1/MEX/1
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IV. Theinterested parties, theirrepresentatives ortheperson withwhom thesearch atthe
fiscal domicile hasbeenarranged, areobliged toallow thevisiting officials designated
bytheMinistry access totheplace orplaces which arethesubject oftheproceeding
andmake available tothemtheaccounts andotherdocuments tosupport theinformation
presented during theinvestigation. Inthatcase,thevisiting officials mayobtain copies
tobecompared withtheoriginal documents andauthenticated bytheofficials andto
beannexed totherecord ofthesearch. Verification shallalsobepermitted ofgoods,
documents, disks, tapes oranyother datastorage system maintained bytheinterested
party attheplaces searched.
Iftheinterested party subject tothesearch maintains hisaccounting system orpart
ofitonanelectronic recording system, thecomputer equipment anditsoperators shall
bemade available tothevisiting officials sothattheycanassist them intheirwork;
V. Arecord ofevery search shallbedrawn upgiving fulldetails ofthefactsoromissions
noted bythevisiting officials, determining thelegal consequences ofsuchactsand
omissions fortheinterested parties;
VI. Oncompletion oftheverification procedure andtherelevant report, noadditional
reports maybedrawn upwithout anewnotification;
VII. Oncompletionoftheverificationprocedureandtherelevantreport,theinterestedparties
ortheirrepresentatives maypresent totheMinistry theirobjections, opinions and
supplementary information which theauthority inquestion might haverequired from
them during theverification procedure, within fivedaysfrom theconclusion ofthe
relevant report. Ifwithin thistime-limit noopinions orobjections tothecontent of
thereport aresubmitted, theactsandomissions contained therein shallbeheldtobe
accepted, and
VIII. Thereport drawn upatthetimeofthesearch forthepurposes ofverification shall
besigned bythevisiting officials, theinterested partyorhisrepresentative ortheperson
withwhom theprocedure wasarranged andbythewitnesses. Ifanyofthepersons
indicated refuses tosignthereport concerned, thevisiting officials shallnotethisfact
inthereport itself without itaffecting itsvalidity andvalue asevidence.
ARTICLE 174. TheMinistry shallbeempowered toaskthirdparties whohavehadbusiness
relations withtheinterested party subject tothesearch, suchassuppliers, customers andagents, for
information anddataenabling ittoestablish thetruth oftheinformation supplied, bothduring the
investigation andduring thesearch.
ARTICLE 175. TheMinistry mayrequest accounting andanyother information, dataand
documents fromtheinterested parties, inorder toverify thetruthoftheirsubmissions andstatements
attheofficial domicile oftheMinistry.
Theperson subject tothesearch shallhavetherighttoindicate whether theinformation or
datasupplied ortobesupplied tothevisiting officials isofaconfidential orrestricted commercial
character, provided thathesatisfies theprovisions ofthese Regulations.
Theprovisions contained inArticles 152and153ofthese Regulations maybefulfilled during
thesearch orwithin thetime-limit towhich subparagraph VIIofArticle 173oftheseRegulations refers.G/SCM/N/1/MEX/1
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ARTICLE176.TheMinistrymayutilizetheservicesofspecializedconsultancyfirmstoprovide
support ininvestigating, ascertaining andverifying information anddataneeded toenable ittoissue
itsresolutions.