WORLD TRADE G/ADP/N/1/BRA/1
G/SCM/N/1/BRA/1
ORGANIZATION 5April 1995
(95-0830)
Original: English Committee onAnti-Dumping Practices
Committee onSubsidies andCountervailing Measures
NOTIFICATION OFLAWS AND REGULATIONS
UNDER ARTICLES 18.5AND 32.6OFTHE AGREEMENTS
BRAZIL
Thefollowing communication, dated 15March 1995, hasbeenreceived fromthePermanent
Mission ofBrazil.
_______________
Withreference todocuments G/ADP/N/1/Suppl.1, dated 6March 1995andG/SCM/N/1, dated
30January 1995andtoArticles 16.5and18.5oftheWTO Agreement onImplementation ofArticle VI
oftheGeneral Agreement onTariffs andTrade 1994andArticles 25.12 and32.6oftheWTO Agreement
onSubsidies andCountervailing Measures, Ihavebeeninstructed tonotify theCommittees onAnti-
Dumping Practices andonSubsidies andCountervailing Measures that:
(a) theMarrakesh Agreement Establishing theWorld Trade Organization anditsAnnexed
Agreements, contained intheFinal ActEmbodying theResults oftheUruguay Round
Multilateral Trade Negotiations, havebeenincorporated intotheBrazilian legal system, in
theirfulltext,byDecree No.1355, of30December 1994;
(b) Provisional Measure No.616,of14September 19941hasbeenamended soastoreflect the
incorporation oftheabove referred Agreements intotheBrazilian legalsystem, andhasbeen
republished asProvisional Measure No.926of1March 1995 (English version enclosed
herewith); and
(c) theGovernment ofBrazil ispresently drafting anewregulation onmeasures toavoid theeffects
ofunfair tradepractices, inaccordance withtheprovisions oftheabove referred Agreements;
thisnewregulation, when inforce, willbedulynotified totheCommittee.
1Seedocuments ADP/1/Add.26/Suppl.5 andSCM/1/Add.26/Suppl.5.G/ADP/N/1/BRA/1
G/SCM/N/1/BRA/1
Page2
(UNOFFICIAL TRANSLATION)
Provisional Measure No.926of1March 1995
Regulates theApplication ofduties established intheAgreement on
Anti-Dumping andintheAgreement onSubsidies and
Countervailing Measures andestablishes other provisions
TheVice-President oftheRepublic ,acting asthePresident oftheRepublic ,pursuant to
theattributions conferred tohimbyArticle 62oftheConstitution, adopts thisProvisional Measure,
which willhavetheforce oflaw:
Article 1: Theanti-dumping andcountervailing measures, either provisional ordefinitive, as
established bytheAnti-Dumping Agreement2andbytheSubsidies andCountervailing Measures
Agreement3,approved byLegislative Decree No.22,of5December 1986, andpromulgated by
DecreesNo.93.941,of16January1987,andNo.93.962,of22January1987,baseduponcommitments
assumed under theGeneral Agreement onTariffs andTrade -GATT, adopted byLawNo.313,of
30July1948, andtheAgreement onImplementation ofArticle VIoftheGeneral Agreement onTariffs
andTrade 1994andtheAgreement onSubsidies andCountervailing Measures annexed totheAgreement
Establishing theWorld Trade Organization, which ispartoftheFinal ActEmbodying theResults of
theUruguay Round ofMultilateral Trade Negotiations oftheGATT, signed inMarrakesh on
12April 1994, approved byLegislative Decree No.30,of15December 1994 andpromulgated by
Decree No.1355of30December 1994, shallbeapplied bythelevying, inBrazilian currency, ofsums
which correspond tothepercentage ofthemargin ofdumping ortotheamount ofsubsidy, asdetermined
inanadministrative process, inaccordance withtheterms ofthose Agreements, ofDecisions PC/13,
PC/14,PC/15andPC/16ofthePreparatoryCommitteeoftheWTOandoftheGATTCONTRACTING
PARTIES, dated 13December 1994, andofthisProvisional Measure, insufficient amounts soasto
prevent injury orthreat thereof tothedomestic industry.
Soleparagraph. Anti-dumping andcountervailing duties willbecharged independently ofany
other obligations offiscal nature inrelation totheproducts concerned.
Article 2: Provisional duties maybeapplied during theinvestigation period when, from a
preliminary analysis, evidence isfound thatdumping isoccurring orthatsubsidies arebeing granted,
which arecausing injury orthreat thereof tothedomestic industry, anditisdeemed necessary toprevent
suchinjury orthreat ofinjury during thecourse oftheinvestigation.
Soleparagraph. Theterm"domestic industry" usedherein should beconstrued inaccordance
withthedefinition contained intheAgreements onAnti-dumping andAgreements onSubsidies and
Countervailing Measures referred toinArticle 1,andshould beunderstood asreferring tocompanies
thatproduce industrial, agricultural ormineral products.
2Tokyo Round Agreement onImplementation ofArticle VIoftheGeneral Agreement onTariffs
andTrade.
3Tokyo Round Agreement onInterpretation andApplication ofArticles VI,XVIandXXIII ofthe
General Agreement onTariffs andTrade.G/ADP/N/1/BRA/1
G/SCM/N/1/BRA/1
Page3
Article 3: Therequirementthatprovisionaldutiesbepaidmaybesuspendeduntilthefinaldecision
oftheprocess, atthediscretion oftheauthorities referred toinArticle 6ofthisMeasure, aslongas
theimporter offers aguarantee equivalent tothetotalvalue oftheobligation andother legalcharges,
which willconsist of:
I deposit inmoney, or
II bankguarantee.
1. Theguarantee must ensure, inallcases, thesame level ofcorrection forinflation usedfor
thepurposes offederal taxes, including interest, starting fromthedateprovisional duties wereimposed.
2. TheFederal TaxDepartment ("SRF") oftheMinistry ofFinance willspecify theforminwhich
theguarantee referred tointhisarticle willbegiven orreleased.
3. Therelease from customs ofgoods which aretheobject ofimposition ofprovisional duties
willdepend ontheprovision oftheguarantees referred tointhisarticle.
Article 4: Anundertaking toeliminate theinjury effect ofdumping orsubsidies maybeentered
intowiththeexporter orwiththegovernment oftheexporter 'scountry.
1. Theundertaking referred tointhisArticle willbemade before theSecretary forForeign Trade
("SECEX") oftheMinistry ofIndustry, Trade andTourism andwillbesubmitted totheapproval of
theauthorities referred toinArticle 6ofthisProvisional Measure.
2. Incasetheundertaking isapproved, theinvestigation willcease without theimposition of
provisional ofdefinitive duties, without prejudice oftheprovisions oftheAgreements onAnti-dumping
andoftheAgreements onSubsidies andCountervailing Measures referred toinArticle 1.
Article 5: TheSecretaryofForeignTrade-SECEXoftheMinistryofIndustry,TradeandTourism
isthecompetent authority todetermine, through anadministrative process, themargin ofdumping
andtheamount ofsubsidy, theexistence ofinjury orthreat thereof, andthecausal relation between
them.
Article 6: TheMinister ofFinance andtheMinister ofIndustry, Trade andTourism arethe
competent authorities todetermine, through ajointorder, theimposition ofprovisional ordefinitive
duties, aswellastodecide onthesuspension oftheapplication ofprovisional duties referred toin
Article 3ofthisProvisional Measure.
Soleparagraph. Theorder ofimposition ofanti-dumping orcountervailing duties, both
provisional anddefinitive, must indicate theduration oftheapplication oftheduty, theproduct
concerned, theamount oftheobligation, thecountry oforigin orofexportation, thename oftheexporter
andthereasons whysuchdecision wastaken.
Article 7: Thefulfilment oftheobligations resulting from theapplication ofanti-dumping or
countervailing duties, bothprovisional anddefinitive, willbeacondition fortheentry intotheCountry
ofproducts found tobedumped orsubsidized.G/ADP/N/1/BRA/1
G/SCM/N/1/BRA/1
Page4
1. TheSRFoftheMinistry ofFinance isthecompetent authority tocollect anti-dumping or
countervailing measures, provisional ordefinitive, when paidincurrency, aswellasforrefunds, in
cases applicable.
2. Upon verification ofdefault inthecompliance ofobligations, theSRFwillforward the
appropriate documents totheFederal TaxProsecutors Office forregistration inthefederal taxdebts
registry andinstitution ofcollection procedures.
Article 8: Theanti-dumpingandcountervailingduties,provisionalordefinitive,willonlybeapplied
togoods dispatched forconsumption from thedateofthepublication oftheorder establishing such
duties, except incases ofretroactivity foreseen intheAgreements onAnti-dumping andinthe
Agreements onSubsidies andCountervailing Measures referred toinArticle 1.
Article 9: Theduties willbetemporary andtheirtermwillbedetermined bytheorder which
imposes them, considering thefollowing:
I provisional duties shallnotremain inforce foraperiod ofmore than120days, except
inthecaseofanti-dumping duties which, uponadecision oftheMinisters ofFinance
andofIndustry, Trade andTourism, maybeinforce foramaximum period of180
days,subjecttotheprovisionsoftheAnti-DumpingAgreementsreferredtoinArticle1;
II definitive duties orapproved undertakings shallonlyremain inforce fortheperiod
andtotheextent necessary toeliminate orneutralize theeffects ofdumping practices
andoftheconcession ofsubsidies which arecausing injury. Under nocircumstances
shalltheyremain inforceformorethan5years, except when, uponreview, itisproved
necessary tokeep themeasures inforce, inorder toprevent thecontinuation or
recurrence oftheinjury caused byimports subject todumping orsubsidies.
Soleparagraph. Exporters involved inaninvestigation process whowishforanextension of
thetermoftheprovisional anti-dumping duties ofuptosixmonths, inaccordance withitemIofthis
Article, mustpresent toSECEX aformal request tosucheffect 30daysbefore thetermofapplication
ofsuchduties.
Article 10: Forthepurposes ofbudget, theincome fromanti-dumping andcountervailing duties,
classified asincome oforigin, willbeentered inthecategory ofcompensatory income foreseen in
thesoleparagraph ofArticle 3ofLaw4320 of17march 1964.
Article 11: TheMinisters ofFinance andofIndustry, Trade andTourism may, together, publish
complementary rules tothisProvisional Measure.
Article 12: TheadministrativeprocessreferredtoinArticles1and5shallcomply,whereapplicable,
withtheprovisions ofResolution 1227 of14May19874,withtheamendments ofResolution 1582
of17February 19895,oftheextinct Commission ofCustoms Policy (CPA).
Article 13: Allactsundertaken according toProvisional Measure No.879,of30January 1995,
arehereby validated.
4SeeADP/1/Add.26/Suppl.1 andSCM/1/Add.26/Suppl.1.
5SeeADP/1/Add.26/Suppl.2 andSCM/1/Add.26/Suppl.2.G/ADP/N/1/BRA/1
G/SCM/N/1/BRA/1
Page5
Article 14: ThisProvisional Measure shallcome intoforce onthedateofitspublication.
Article 15: Paragraph 2ofArticle 1ofDecree-Law No.1.578, of11October 1977 ishereby
revoked.
Brasília, 1March 1995
174th Year oftheIndependence
107th Year oftheRepublic
MARCO MACIEL
LuizFelipe Lampreia
Pedro Pullen Parente
Dorothea Werneck