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April 2016

International Trade Amicus: January 2016

Article

Initiation of investigation: Issue of cumulation

The need for determination of the domestic industry comes at the stage of initiation of an investigation. At that stage, the eligibility of the applicant domestic producer to be considered as part of the domestic industry may be determined and only on determination of the constituents of the domestic industry, the Investigating Authority may determine whether the alleged dumped imported article from a country caused any injury to the Domestic Industry. It may however be noted that the clause Article 3.3 of the WTO:ADA indicates that the stage for decision to do cumulative assessment comes only when simultaneous investigations are underway, instead of at the time of initiation of the investigation. According to the author, from the initiation notices issued by the Designated Authority (DA) in India, it does not appear that the DA makes determination of the conditions as required under Article 3.3 for cumulative assessment. It may also be noted that without examining the data received from the exporters, such determination is meaningless.

 

Trade Remedy News

  • Cold rolled flat products of stainless steel from China, Korea, EU, South Africa, Chinese Taipei, Thailand and USA – India continues definitive anti-dumping duty pursuant to sunset review
  • Hot rolled flat sheets and plates (excluding hot rolled flat products in coil form) of alloy or non-alloy steel – India initiates safeguard duty investigation
  • Cold rolled steel flat products from India - Preliminary countervailable subsidy rate determined by USA
  • Hollow structural sections from India – Australia initiates anti-dumping investigation
  • Aluminium foil and axle for trailers, from China – India initiates anti-dumping duty investigations
  • Clear float glass from Iran – India initiates anti-dumping duty investigation
  • Purified Terephthalic Acid from China, Iran, Indonesia, Malaysia and Taiwan – India imposes provisional anti-dumping duty
  • Graphite electrode systems from India – EU initiates expiry review of countervailing and anti-dumping duties

 

WTO News

  • Nairobi Ministerial - WTO members conclude 10th Ministerial Conference by securing historic agreements on a series of trade initiatives
  • Tax advantages provided by China on sale of aircraft domestically manufactured - USA has notified request for consultations
  • India and USA agree on ‘reasonable period of time’ for India to implement the DSB recommendations in the dispute on import of certain agricultural products from USA (DS430).

 

Ratio decidendi

Circumvention of anti-dumping duty – CJEU has held as invalid the Regulation extending anti-dumping duty imposed on import of gas lighters from China to imports from Vietnam. According to it, due to the time gap, conclusion could not be drawn as to a link between increase in exports of lighter parts from China to Vietnam and the increase of imports of the product concerned to the EU from Vietnam.

News Nuggets

India has finalised the model Bilateral Investment Treaty (BIT) agreement last month. The revised text incorporates some changes which makes it more in line with standard treaty clauses but has several non-regular clauses.

 

January, 2016/Issue-56 January, 2016/Issue-56

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