Review of decision to take anti-dumping action against exports of certain silicon from the People's Republic of China

15 June 2005

INTRODUCTION

  1. As a member of the World Trade Organisation (WTO), Australia is bound by the WTO Uruguay Round Anti-Dumping Agreement and Agreement on Subsidies and Countervailing Measures (the WTO Agreement).  Article 2.1 of the WTO Anti-Dumping Agreement provides that a product is considered dumped, i.e. introduced into the commerce of another country at less than its normal value, if the export price of the product exported from one country to another is less than the comparable price, in the ordinary course of trade, of the like product when destined for consumption in the exporting country.  (The export price is the price paid before any costs in respect of the goods after exportation are included.  Normal value is usually defined as the price at which a good would be sold in its home market.)
  2. Before any action may be taken against dumped goods, the Australian industry concerned must demonstrate not only that dumping is occurring, but that the Australian industry has suffered material injury as a result.  This is done through an application to the Australian Customs Service (Customs) for an investigation into the facts of the case.  If Customs determines that dumping has occurred, it must then establish whether the Australian industry’s performance has deteriorated, whether any injury suffered would be considered material and whether the dumping has caused the material injury to the industry.  Any injury that has resulted from other, clearly identifiable sources must not be attributed to the dumping.  Regardless of whether or not it is found that dumping has caused material injury, it must also be determined whether future dumping threatens to cause material injury to the Australian industry.  This includes an assessment of whether any changes in circumstances would make that threat of material injury both foreseeable and imminent unless anti-dumping measures were imposed.
  3. Under the provisions of the Customs Act 1901 (the Act), Customs has 155 days (or such longer period as allowed by the Minister) from the date of initiation of an investigation within which to make a recommendation to the Minister for Justice and Customs (the Minister) concerning the imposition of interim anti-dumping duties.  On the basis of Customs’ recommendations the Minister will then make a decision whether to impose definitive anti-dumping measures.

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Review of a ministerial decision to take anti-dumping action against exports of certain silicon from the People's Republic of China - 15 June 2005