Guerrero, Luis V.

BSCA B316

Anti-Dumping (GATT ART. VI) Countervailing (GATT ART. XVI)

Definition according to its respective laws
RA 8751 and RA 8752
Other Law, Rules, and Regulations governing
such measures
Objectives
Products, Goods, or Articles to Measure
Elements
Exemptions to Products, Goods, Articles
Anti-dumping duties are levied on goods that Countervailing duties are levied on subsidized
are imported at a substantially low price due products in the originating or exporting
to the act of dumping. country.
JAO No. 1 s. 2000 JAO No. 2 s. 2000
TC Order No. 2021 - 01 TC Order No. 2021 - 03
Both of these measures seek to level the playing field by providing remedies and protecting
local or domestic industries against unfair trade practices of dumping and subsidization.
Export price less than its normal value in the Granted by the country of origin or export a
ordinary course of trade for the like product form of specific subsidy upon production,
destined for consumption in the exporting manufacture, or exportation.
country.
• Like Product • Product Comparability
• Price Difference • Subsidy
• Injury • Injury
• Causal Link • Causal Link
• Products imported by, or consigned * Articles imported by, or consigned to,
to, government agencies not government agencies not organized for profit
organized for profit and particularly and particularly designated by law or proper
designated by law or proper authorities to import, directly or through
authorities to import, directly or awardees;
through awardees; such articles as
would stabilize and/or supplement * such articles as would stabilize and/or
shortages; and supplement shortages; and
• Conditionally duty-free importations
enumerated under Section 105 of the * conditionally duty-free importations
Tariff and Customs Code, as allowable under Section 105 of the Tariff and
amended. Customs Code, as amended.
Agencies involved in administering: Department of Trade and Industry-Bureau of Import Services (DTI-BIS) for industrial goods
or Department of Agriculture (DA) for agricultural products.
• receives written application and determines whether the application is proper in form
and substance and whether documentary requirements are complied with;
• determines whether or not a prima facie case exists to warrant initiation of
investigation; and
• conducts preliminary investigation to determine whether or not provisional measures
(dumping/countervailing bond) may be imposed.

Tariff Commission (TC)

• conducts formal investigation and submits report of findings to either Secretary for
the issuance of a Department Order imposing the definitive anti-
dumping/countervailing duty (in case of affirmative findings).

Bureau of Customs (BOC)

• imposes the dumping/countervailing bond and/or definitive duty upon receipt of the
Department Order, through the Secretary of Finance.

Measures implemented by these laws: • Provisional measure – anti dumping • Provisional Measure – countervailing
bond bond
• Definitive anti-dumping duty • Definitive countervailing duty
Bond Equivalent to the amount of provisionally Equal to the amount of the provisionally
calculated dumping margin calculated amount of subsidy.
Petitioner A petition may be filed by or on behalf of the domestic industry in writing and should be
embodied in a notarized form.
Minimum Threshold of Support of Industry (a) support by domestic producers whose collective output constitutes more than fifty percent
for Application (50%) of the total production of the like product produced by the domestic industry; and

(b) support by producers accounting for at least 25% of the total domestic production of the
product alleged to be subsidized.
De minis Rule The protest/application shall be immediately In the case of a product originating from a
rejected and the investigation terminated if: developed country, when:

- the margin of dumping is de minimis, i.e. - the amount of subsidy is de minimis, i.e.,
 less than 2%, expressed as a percentage, of
the export price; or
- the volume of imports from a particular
country is less than 3% of all imports of like
products into the importing country.
However, this rule does not apply when
countries with individual shares of less than
3% collectively account for more than 7% of
imports of the product under investigation; or
the injury is negligible.
less than 1%; or
- the volume of subsidized imports or the
injury is negligible.
In the case of a product originating from a
developing country, when:
- the level of subsidies granted does not
exceed 2% of the value calculated on a per
unit basis (for least developed countries, it is
3%); or

- the subsidized imports are less than 4%

of the total imports of the importing country.
However, this rule does not apply when
developing countries with individual shares
of less than 4% collectively account for more
than 9% of total imports.

Investigation Prima Facie Determination

Preliminary Determination
Final Determination

Issuance of Department Order
Duration of Definitive Measure:
The DTI or DA Secretary shall, within ten (10) days from receipt of the affirmative final
determination by the Commission, issue a Department Order imposing a definitive
countervailing/anti-dumping duty
5 years, subject to sunset review to determine whether or not to extend the effectivity of the
special duty