World Trade Organization

Committee on Anti-Dumping Practices

Committee on Subsidies and Countervailing Measures

G/ADP/N/1/ARG/1/Suppl.2

G/SCM/N/1/ARG/1/Suppl.2

20 January 1999

Original: Spanish

Argentina

Supplement

The following communication, dated 4 December 1998, has been received from the Permanent Mission of Argentina.

Table of contents

FOREIGN TRADE

TITLE I

TITLE II

CHAPTER 1 - APPLICATION FOR INITIATION OF THE INVESTIGATION

CHAPTER 2 - CONDUCT OF THE INVESTIGATION

CHAPTER 3 - PROVISIONAL MEASURES

CHAPTER 4 - FINAL MEASURES

CHAPTER 5 - UNDERTAKINGS

CHAPTER 6 - COLLECTION OF DUTIES

CHAPTER 7 - DURATION AND REVIEW OF MEASURES AND UNDERTAKINGS

CHAPTER 8 - APPEALS

CHAPTER 9 - SMALL AND MEDIUM-SIZED ENTERPRISES (smes)

CHAPTER 10 - GENERAL

TITLE III

I have the honour to submit herewith to the Anti-Dumping Committee, pursuant to Article 18.5 of the Agreement on Implementation of Article VI of the General Agreement on Tariffs and Trade 1994, information on the entry into force of Decree 1326/98.

The Decree in question, dated 10 November 1998 and published in the Official Journal of the Argentine Republic on 13 November 1998, deals with the following matters:

- Rules and regulations for the implementation of Law 24,425 (Law approving the Final Act Embodying the Results of the Uruguay Round of Multilateral Trade Negotiations, the Ministerial Decisions and Declarations and Understandings and the Marrakesh Agreement Establishing the WTO), relating to anti-dumping and anti-subsidy regimes,

- implementing authorities;

- application for initiation of an investigation;

- conduct of the investigation;

- provisional measures;

- final measures;

- undertakings;

- collection of duties;

- duration and review of measures and undertakings;

- appeals;

- small and medium-sized enterprises;

- general.

FOREIGN TRADE

Decree 1326/98

Rules and regulations for the effective implementation of Law No. 24,425 which contains anti-dumping and anti-subsidy rules. Implementing authorities. Application for initiation of an investigation. Conduct of the investigation. Provisional measures. Final measures. Undertakings. Collection of duties. Duration and review of measures and undertakings. Appeals. Small and medium-sized enterprises. General.

HAVING REGARD TO File No. 030-001713/96 in the Registry of the Ministry of the Economy and Public Works and Services, and

WHEREAS:

The Final Act Embodying the Results of the Uruguay Round of Multilateral Trade Negotiations, the Ministerial Decisions and Declarations and Understandings and the Marrakesh Agreement Establishing the World Trade Organization were approved under Law No. 24,425;

Annex 1A of the above-mentioned Marrakesh Agreement Establishing the World Trade Organization, approved under Law No. 24,425, contains the Agreement on Implementation of Article VI of the General Agreement on Tariffs and Trade (GATT) and the Agreement on Subsidies and Countervailing Measures;

The Agreements referred to in the previous paragraph call for their provisions to be applied in respect of reviews of investigations initiated under Law No. 24,176 and the corresponding regulatory Decree No. 2121 of 30 November 1994;

It is necessary to enact rules and regulations for the effective implementation of the Law referred to in the first paragraph above;

Decree No. 704 of 10 November 1995, published in the Official Journal of 15 November 1995, confirmed the status of the Minister of the Economy and Public Works and Services as implementing authority for the anti-dumping and anti-subsidy regimes contained in Law No. 24,425;

Decree No. 766 of 12 May 1994 set up the National Commission for Foreign Trade, a decentralized agency of the Secretariat for Industry, Trade and Mining of the Ministry of the Economy, Public Works and Services;

The National Executive is competent to enact this act, by virtue of the provisions of Article 99, paragraph 2, of the National Constitution,

Wherefore,

The President of the Argentine Nation decrees:

TITLE I

Article 1 - The implementing authorities for this Decree, under the powers assigned to them therein, shall be the following:

(a) the Ministry of the Economy and Public Works and Services;

(b) the Secretariat for Industry, Trade and Mining of the Ministry of the Economy and Public Works and Services;

(c) the Undersecretariat for Foreign Trade, a unit of the Secretariat for Industry, Trade and Mining of the Ministry of the Economy and Public Works and Services; and

(d) the National Commission for Foreign Trade, a decentralized agency of the Secretariat for Industry, Trade and Mining of the Ministry of the Economy and Public Works and Services.

Article 2 - For the purposes of this Decree, the following meanings shall apply:

(a) "Agreement on Dumping": the Agreement on Implementation of Article VI of the General Agreement on Tariffs and Trade 1994, approved by Law No. 24,425;

(b) "Agreement on Subsidies": the Agreement on Subsidies and Countervailing Measures, approved by Law No 24,425;

(c) "Undersecretariat": the Undersecretariat for Foreign Trade, a unit of the Secretariat for Industry, Trade and Mining of the Ministry of the Economy and Public Works and Services;

(d) "Commission": the National Commission for Foreign Trade, a decentralized agency of the Secretariat for Industry, Trade and Mining of the Ministry of the Economy and Public Works and Services; and

(e) "Product": a like product within the meaning of Article 2.6 of the Agreement on Dumping and footnote 46 to Article 15.1 of the Agreement on Subsidies

TITLE II

CHAPTER 1 - APPLICATION FOR INITIATION OF THE INVESTIGATION

Article 3 - The application for initiation of a dumping or subsidy investigation shall be submitted in writing in the original and one (1) copy, each with the corresponding back up magnetic medium (diskette), by the domestic industry which considers itself to be affected by the alleged dumping or subsidization, or any representative thereof, to the Office of the Incoming Communications and Notifications Directorate of the Secretariat for Industry, Trade and Mining, which shall transmit the original submission and one (1) diskette through the Dispatch Office to the Undersecretariat, and the certified copy with backup diskette to the Commission, within a non-extendable period of three (3) working days.

The application shall be submitted in accordance with the guidelines, requirements and formalities to be established for that purpose by the Undersecretariat and the Commission, and shall include sufficient evidence:

(a) Of dumping or subsidization;

(b) of material injury or threat of material injury to a domestic industry or material retardation of the establishment of such an industry; and

(c) of a causal link between the two.

The applicant shall likewise produce reliable evidence of the representativeness to which it lays claim, supported where possible by certification, by the corresponding association, chamber or federation, of its percentage share of the industrial sector it occupies and evidence of production of the like product.

Applications submitted on behalf of the domestic industry may be drawn up by chambers or associations of producers representing the sector of the domestic industry which considers itself to be affected by the alleged dumping or subsidization.

Prior to submission of the application, the interested parties may request advice on the formalities required from the services determined for that purpose by the Undersecretariat and the Commission, within their respective spheres of competence.

Article 4 - Within a period of five (5) days, and taking into account the comments made by the Commission within a period of three (3) days, the Undersecretariat shall inform the applicant of any deficiencies in the application so that they may be remedied.

If no formal errors or omissions are found in the application, or if such as are found are remedied within the time-limit of five (5) days allowed for that purpose, the Undersecretariat shall continue the processing activity after so informing the Commission; otherwise, the application shall be deemed to have lapsed and shall be filed accordingly, in which event the applicant and the Commission must be notified.

If and when it is decided that the application is admissible, the Undersecretariat and the Commission shall each appoint two (2) members of their own staff to constitute a liaison committee for the investigative process initiated by the application, and to represent those bodies in connection with any communications and notifications they see fit to pass between them with a view to expediting and efficiently fulfilling the purpose of the process.

Article 5 - With regard to the definition of like domestic product, the Commission shall submit to the Undersecretariat, within ten (10) days following the communication referred to in Article 4 of this Decree, a report on the existence of a like domestic product, which shall be understood to mean a product which is identical, i.e. alike in all respects to the product under consideration, or in the absence of such a product, another product which, although not alike in all respects, has characteristics closely resembling those of the product under consideration.

The Undersecretariat shall take a decision on the subject on the basis of the above-mentioned report. In the event that no like domestic product is found to exist, or if any request for additional clarification is not satisfied, the Undersecretariat, after so informing the applicant and the Commission, shall file the papers.

Article 6 - Within a period of ten (10) days from the date of receipt of the report referred to in Article 5 of this Decree, the Undersecretariat shall take a decision on the representativeness of the applicant and shall notify the Commission accordingly.

To that end, the Undersecretariat shall investigate, as appropriate, the origin of the accompanying certifications, and may also hold consultations with the domestic producers in order to verify compliance with the percentage levels of representativeness required by the Agreements on Dumping and Subsidies, as applicable.

Should it be determined that the applicant is not representative of the domestic industry, the Undersecretariat, after so informing the applicant and the Commission, shall disallow the application and file the papers without taking any further action.

Article 7 - The Undersecretariat shall examine the accuracy and adequacy of the evidence provided in the application in respect of dumping or subsidization, in order to determine whether there is sufficient evidence to justify the initiation of an investigation and shall so inform the Secretary of the State for Industry, Trade and Mining within thirty-five (35) days from the date of receipt of the report referred to in Article 5 of this Decree; it shall also submit its findings to the Commission.

Article 8 - The Commission shall examine the accuracy and adequacy of the evidence provided in the application in respect of the damage caused by the imports complained of, in order to determine whether there is sufficient evidence to justify the initiation of an investigation and shall inform the Secretary of State for Industry, Trade and Mining, within thirty-five (35) days from the date of receipt of the report referred to in Article 5 of this Decree, whether or not damage has occurred; it shall also submit its findings to the Undersecretariat.

On the basis of its own report and that of the Undersecretariat, the Commission shall draw up a report on the existence of a causal link within a time-limit of three (3) days and shall present it to the Secretary of State for Industry, Trade and Mining, with a copy to the Undersecretariat.

Upon receipt of the copy of the causal link report and within a time-limit of five (5) days, the Undersecretariat shall present to the Secretary of State for Industry, Trade and Mining its recommendation regarding the decision to be taken on initiation of the investigation, with an assessment of the other circumstances pertaining to general foreign trade policy and the public interest.

Article 9 - The Undersecretariat and the Commission may request additional information from the applicant for the purpose of preparing the reports referred to in Articles 7 and 8 of this Decree. The applicant shall have five (5) days from the date of notification to provide the information requested, during which period the time-limit laid down in Articles 7 and 8 of this Decree shall be suspended.

Article 10 - The Secretary of State for Industry, Trade and Mining, following receipt of the reports referred to in Articles 7 and 8 of this Decree, shall have ten (10) days to decide whether or not it is appropriate to initiate an investigation.

Article 11 - The Undersecretariat shall notify the Secretary of State's decision to initiate an investigation to the representative of the government of the exporting country concerned.

In the case of an application for a subsidy investigation, following receipt of a duly documented application and before proceeding to initiate the investigation, the Undersecretariat shall notify the government of the country of origin or the exporting country concerned, and that government shall be invited to hold consultations with the aim of clarifying the situation and arriving at a mutually agreed solution, as provided in Article 13.1 of the Agreement on Subsidies.

In such case, the Undersecretariat shall attach to its recommendations details of the content, scope and assessment of the consultations carried out under this Article.

Article 12 - The applicant may, before the initiation of the investigation, communicate its decision not to maintain the application submitted, in which case it shall be considered to have been withdrawn, pursuant to Article 67 of Decree No. 1759/72.

Article 13 - The decision to initiate an investigation shall contain the necessary information to ensure proper identification of the product concerned, its origin, the period investigated pursuant to Article 17 below, the basis of the allegation of dumping set out in the application, or a description of the subsidization practice to be investigated, a summary of the factors on which the allegation of injury is based, the causal link, the date from which the decision in question is to enter into force, the address or addresses to which the submissions made by the interested parties should be sent and the time-limits for the interested parties to make known their opinions, as well as any instructions to the General Customs Directorate under the Federal Public Revenue Administration of the Ministry of the Economy and Public Works and Services, that may be considered necessary.

Article 14 - Any decision to initiate an investigation shall be communicated by the Ministry of the Economy and Public Works and Services, within five (5) days of its adoption, to the National Directorate of Official Records, a unit of the Ministry of Justice, for publication in the Official Journal within a maximum of five (5) days from the date of its communication.

Article 15 - The Undersecretariat shall as early as possible communicate the decision on whether or not it is appropriate to initiate an investigation both to the Government of the country concerned whose products are under investigation and to the applicant and other interested parties, whose interest is known from the background information contained in the files.

With due regard for the protection of confidential information, it shall provide to the known exporters and authorities of the exporting country, which so request, the full text of the application submitted in accordance with Article 3 of this Decree, which shall also be made available to the other interested parties upon request. Where the number of exporters involved is particularly high, the full text of the application shall only be provided to the authorities of the exporting country.

Article 16 - The Secretary of State for Industry, Trade and Mining may initiate the investigation ex officio when he has sufficient evidence, pursuant to the provisions of the Agreement on Dumping or the Agreement on Subsidies, as the case may be, and those of this Decree, to determine the existence of dumping or subsidization, injury and a causal link between the two. Prior to such decision, he shall seek from the Undersecretariat and the Commission the reports referred to in Articles 7 and 8 of this Decree.

CHAPTER 2 - CONDUCT OF THE INVESTIGATION

Article 17 - The data to be used for the determination of dumping or subsidization shall be those compiled during a minimum of twelve (12) months preceding the month in which the investigation is initiated. If insufficient information is available for the analysis, the above-mentioned time-limit may be reduced to a minimum of six (6) months. The period