RESTRICTED
WORLD TRADE G/ADP/W/366
G/SCM/W/375
ORGANIZATION 15April 1996
(96-1353)
Original: English Committee onAnti-Dumping Practices
Committee onSubsidies andCountervailing Measures
QUESTIONS CONCERNING THE NOTIFICATIONS PROVIDED BY
THE GOVERNMENT OFSLOVENIA1OFLAWS AND REGULATIONS
UNDER ARTICLES 18.5AND 32.6OFTHE AGREEMENTS
Thefollowing communication, dated 10April 1996, hasbeenreceived from thePermanent
Mission ofHong Kong.
_______________
General
1. Slovenia 'snotification contains PartVoftheLawontheProtection ofCompetition, adopted
on25March 1993 andtheDecree onDumped andSubsidized Imports, adopted on23June1994.
(a) What isthelegalstatus oftheWTO ADAgreement (theAgreement) inSlovenia? Does
ithavetheforce oflaw?
(b) AreSlovenia 'sADofficials required, legally orotherwise, toabide bytheAgreement
intheconduct ofADproceedings, ortoconsult theAgreement, forexample onthe
interpretation ofdomestic legislation? Ifthedomestic legislation isinconflict with
theAgreement, which willtakeprecedence?
TheDecree onDumped andSubsidized Imports (theDecree)
Assessment ofnormal value
2. Article 5(1)oftheDecree provides thatifthesaleprice inthecountry oforigin cannot cover
allthecosts, thisprice isconsidered outofbounds ofordinary trade andisnottaken intoaccount in
thedetermination ofnormal value unless itcanbeestablished thatsuchsaleswere carried outfora
longer period oftimeandingreater volume.
Article 2.2.1 oftheAgreement provides thatsalesinthedomestic market atprices below total
perunitcosts maybetreated asnotbeing intheordinary course oftrade byreason ofprice andmay
bedisregarded indetermining normal values onlyiftheauthorities determine thatsuchsalesaremade
within anextended period oftimeinsubstantial quantities andareatprices which donotprovide for
therecovery ofallcosts within areasonable period oftime.
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Would Slovenia explain theapparent discrepancy between Article 5(1)oftheDecree and
Article 2.2.1 oftheAgreement?
3. Article 2.5oftheAgreement provides thatinthecasewhere products areexported tothe
importing country from anintermediate country, theprice atwhich theproducts aresoldfrom the
country ofexport totheimporting country should normally becompared withthecomparable price
inthecountry ofexport.
Article 6oftheDecree however states thatinsuchacase, thenormal value istheprice
comparable totheonepaidforsuchaproduct within theactual trade inthecountry oforigin.
Would Slovenia explain theapparent discrepancy between Article 6oftheDecree andArticle 2.5
oftheAgreement?
Thecomparison ofnormal value withtheexport price
4. Article 9(5)oftheDecree provides thatthedifferences ingeneral andfixed costs, including
thecosts ofdevelopment, research andmarketing, arenottaken intoaccount intheprocess ofthe
adaptation ofdifferences intheconditions ofsaleforcomparison ofnormal value andexport price.
Article 2.4oftheAgreement requires afaircomparison anddueallowance bemade forall
differences which affect price comparability.
Ifitisestablished thatcertain differences incosts suchasmarketing would affect price
comparability, would theSlovenian authorities takethisintoaccount inmaking comparison ofnormal
value andexport price?
Themargin ofdumping
5. Article 2.4.2 oftheAgreement setsouttherequirements ontheestablishment ofmargins of
dumping including thecomparison ofaweighted average normal value withaweighted average of
prices ofallcomparable export transactions orthecomparison ofnormal value andexport prices on
atransaction totransaction basis. TheArticle alsostates thatanormal value established onaweighted
average basismaybecompared toprices ofindividual export transactions onlyunder certain specified
conditions.
Articles 10(2) and10(3) oftheDecree however onlyprovides verybroad-brush statements
onhowtoestablish themargin ofdumping. According toArticle 10(2) oftheDecree, incases where
theprices areconstantly changing, themargin ofdumping isdetermined foreachseparate transaction,
oronthebasisofthepricewhich ismostfrequent, therepresentative priceortheestablished weighted
average ofprices. Such aprovision isnotprovided forintheAgreement.
WouldSloveniaexplaininmoredetailhowthedeterminationofmarginofdumpingasprescribed
inArticles 10(2) and10(3) oftheDecree would comply withArticle 2.4oftheAgreement?
Commencement ofprocedure
6. Article 12.1.1 oftheAgreement requires thatapublic notice oftheinitiation ofaninvestigation
should contain, orotherwise make available through aseparate report, adequate information including
thebasis onwhich dumping isalleged intheapplication andasummary ofthefactors onwhich the
allegation ofinjury isbased.G/ADP/W/366
G/SCM/W/375
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Article 23(2) oftheDecree specifies theinformation tobecontained inthedecision on
commencement ofaprocedure andArticle 23(3) requires thedecision tobepublished intheOfficial
Gazette oftheRepublic ofSlovenia (Official Gazette). Some oftheinformation specified under
Article 12.1.1 oftheAgreement isnotincluded intheDecree.
WouldSloveniaclarifywhetheralltheinformationspecifiedunderArticle12.1.1oftheAgreement
willbepublished intheOfficial Gazette ormade available through aseparate report asrequired under
theAgreement?
Investigation
7. Theterm "theparties concerned" isfrequently usedinArticle 24oftheDecree (eg.in
Articles 24(2), 24(5), 24(6), etc).
Would Slovenia provide further clarifications onthemeaning oftheterm?
8. Article 24(2) oftheDecree provides thetime-limit within which thedatarequired bytheBureau
fortheProtection ofCompetition (theBureau) should besubmitted aftertheparties concerned had
received theinformation.
(a) Isthere anygeneral ruleforthedateofreceipt oftheinformation bytheparties
concerned? Does thedateofreceipt oftheinformation deem tobeoneweekfromthe
dayonwhich itwassentasprovided forinFootnote 15oftheAgreement?
(b) Isextension ofthetime-limit forsubmitting thedatarelated totheinvestigation allowed
bytheBureau asprovided forinArticle 6.1.1 oftheAgreement?
Anti-dumping duties
9. Article 31(1)(a) oftheDecree allows anti-dumping duties beimposed retroactively if,inter
alia,theinjury iscaused bymassive dumped imports ofaproduct inashort time.
Aretheimporters concerned given opportunity tocomment ontheretroactive imposition of
dutyasprovided forinArticle 10.6(ii) oftheAgreement?
10. Article 32(2) oftheDecree setsouttheinformation needed tobeincluded intheactpublished
intheOfficial Gazette should provisional orpermanent duties beenforced. Details suchasthemargins
ofdumping, theexplanation ofthereasons forthemethodology usedintheestablishment, comparison
oftheexport price andthenormal value, andtheconsideration leading totheinjury determination
asprovided forinArticle 12.2.1 oftheAgreement arenotspecified inArticle 32(2) oftheDecree.
Would Slovenia explain whether therequirements under Article 12.2.1 oftheAgreement will
beobserved?
11. Article 33(1) oftheDecree provides that,incaseananti-dumping dutyisnotdefined atthe
timeofimposition, rulesoforigin ofthegoods usedinthecustoms procedures areapplicable tothese
products aswell.
Would Slovenia provide clarification onthemeaning of"ananti-dumping dutyisnotdefined
atthetimeofimposition"? Under whatcircumstances would ananti-dumping dutynotbedefined at
thetimeofimposition?G/ADP/W/366
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Other
12. Numerous provisions oftheAgreement arenotreflected inSlovenia 'slegislation orthe
codification maynotbeadequate. Notable examples areasfollows:
- sampling (Article 6.10)
- industrial users andrepresentative consumer organizations (Article 6.12)
- dutyforexporters andproducers notselected insampling (Article 9.4)
- newcomer review (Article 9.5)
- on-site verification (Annex I)
- application ofbestinformation available (Annex II)
(a) Intheabsence ofexplicit domestic provisions reflecting theabove Agreement provisions,
howwillSlovenia ensure compliance withtheAgreement?
(b) WillSlovenia contemplate further legislative stepstoensure theconformity ofitslaws,
regulations andadministrative procedures withtheprovisions oftheAgreement, in
accordance withArticle 18.4?
13. What judicial review procedures hasSlovenia putinplace inobservance ofitsobligations
under Article 13(Judicial Review) oftheAgreement?
14. What isSlovenia 'spolicy andlawfortheimplementation ofWTO Panel Reports?