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(2) Based on several years’ practice and experiences, the Antidumping Regulations clarify and specify some provisions, thus enhanced the transparency of investigation procedure and feasibility. Such as: (a) Regarding the qualification of anti-dumping applicant, the former regulations only stipulated that domestic industry or a relevant organization making a product identical or similar to a product imported can file an application for anti-dumping investigation. The Antidumping Regulations clarify the proportion the applicant represents, which requires that only when the collective output of producers supporting such application amounts to 25% of the total output of the products concerned can an anti-dumping investigation be initiated. (b) The former regulations stipulated that where either the dumping margin or the quantity of dumped product imports is so small that it could be ignored, anti-dumping investigation might be terminated, and no further detailed provisions were made. The Antidumping Regulations clarify that the proportions of dumping margin and the quantity of dumped imports that can be ignored are 2% and 3% individually. (c) The former regulation didn’t elaborate on the time limit to decide whether or not to file a case, and the Antidumping Regulations stipulate that competent department should make a decision within 60 days after the receipt of the applications and relevant evidences. (d) The Antidumping Regulations clarify that the period for provisional anti-dumping measures is generally 4 months, and in no cases shall be extended to more than 9 months. (e) The Antidumping Regulations further define the meaning of Regional Industries and detail the content of Price Undertaking and the disposal of confidential materials, etc.
In 2002, a series of departmental rules implementing the Antidumping Regulations were made, including the filing of cases and the hearing procedure. Maybe more relative rules will be made in the near future. All these rules, together with the Antidumping Regulations, formed China’s new antidumping legal system.
4.Regulations on Countervailing.
At the time of drafting the former antidumping and countervailing regulations, the portion of countervailing did not get much attention and seemed just as a supplement to antidumping part--there was only one chapter titled Special Provisions on Countervailing specially related with countervailing issues, which was very simple and indeed did not be implemented.
As a contrast, the new Countervailing Regulations specify the contents and classifications of subsidies on the basis of WTO agreements and international practices. For instance, the Countervailing Regulations stipulate that the fund for subsidy shall be specific and defines the standard of specificity, and detail the measures of calculating the amount of subsidies. In the Countervailing Regulations, issues such as judicial review, the period of filing a case and regional industries, are provided as well. For instance, as to the time limit to decide whether or not to file a countervailing case, the Countervailing Regulations stipulate that competent department should make a decision within 60 days after the receipt of the applications and relevant evidences, the same as the period in the Antidumping Regulations. The period of temporary countervailing measures is 4 months and cannot be prolonged in any case, which is different with the Antidumping Regulation.
Although so far no countervailing cases initiated by domestic industries, MOFTEC also promulgated some supplementary rules to implement the Countervailing Regulations, which are mainly about the filing of cases and hearing procedures.
5. The first Safeguard Regulation.
The legislation of Regulation on Safeguard (hereinafter as the Safeguard Regulations) offered Chinese government a new tool to fight to maintain import order and protect domestic interests in accordance with WTO agreements. China had no experience in practicing safeguard measures so far, but Chinese products suffered a great loss form overseas safeguard measures, and this made the central government understand the importance of safeguard measures in turns.
The Safeguard Regulations stipulate that the investigation and safeguard measures will be applied to a product where the rapid increase in imports of such product causes or threatens to cause serious injury to the domestic industry that produces like or directly competitive products. The Safeguard Regulations also elaborate on the following issues: the filing of a case, investigation on the increase of imports and the injury to domestic industry, provisional safeguard measures (the increasing of customs tariff), safeguard measures (the increasing of customs tariff, quantity restrictions and other measures), interim review, etc.
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