RESTRICTED
WORLD TRADE G/ADP/W/91/Suppl.1
G/SCM/W/100/Suppl.1
ORGANIZATION 18October 1995
(95-3138)
Original: English Committee onAnti-Dumping Practices
Committee onSubsidies andCountervailing Measures
QUESTIONS CONCERNING THE NOTIFICATIONS
PROVIDED BYTHE GOVERNMENT OFCANADA1OFLAWS AND
REGULATIONS UNDER ARTICLES 18.5AND 32.6OFTHE AGREEMENTS
Supplement
Thefollowing communication, dated 9October 1995, hasbeenreceived from theEuropean
Communities.
_______________
Anti-Dumping Legislation ofCanada
Thefollowing questions relate essentially totheA-Dprovisions oftheSpecial Import Measures
Act(SIMA) asamended bytheWTO Agreement Implementation Act(IA).
Question 1
Section 158IA-Section 25(2) SIMA
According tothisprovision, nodeduction ofA-Ddutyshould bemade when constructing the
export price except where itappears that,without suchadeduction, theexport price would beequal
toorgreater thannormal value, some dumping stillexists.
What istheA-DAgreement rationale ofthisprovision andwhatdegree ofdumping would
needtoexisttogenerate theapplication of"duty asacost"?
Question 2
Section 177IA-Section 60(2)(a) SIMA
Thissubparagraph derogates fromparagraph 25(2) andprovides thatA-Ddutyshallbetreated
asacostanddeducted when constructing export pricewhere itappears thattheresale pricetothefirst
independent purchaser inCanada doesnotfullycover thepurchase price oftherelated importer plus
alldirect andindirect costs.
Would these direct andindirect costs include payments ofA-Dduties?
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Question 3
Section 159IA-Section 30.2(2) and(3)
Subparagraph 30.2(2) provides that,incases where there aresignificant variations inprices,
thedumping margin ofanexporter maybebased onaweighted average ofthedumping margins of
individual transactions. Subparagraph 30.2(3) specifies that,forthispurpose "theprice oflikegoods
used todetermine (the) normal values istheweighted average, determined inaccordance with
paragraph 17(a), oftheprices atwhich thelikegoods were sold".
Could Canada explain whether individual export prices willbecompared toaverage normal
values under thisprovision.
Question 4
Section 159IA-Section 30.3(2)(b)
Itisstated inthissubparagraph concerning sampling thatanindividual margin ofdumping
maybedetermined forexporters whosubmit information forthispurpose provided that"intheopinion
oftheDeputy Minister, itispracticable todoso".
Could Canada explain which criteria theDeputy Minister willapply indeciding whether to
apply sampling?