LAW OF UKRAINE

of December 22, 1998 No. 330-XIV

About protection of national producer against dumped imports

This Law determines the mechanism of protection of national producer against dumped imports from other countries, custom unions or economic groups. It regulates the principles and procedure for excitement and conducting anti-dumping investigations and application of anti-dumping measures.

Section I General provisions

Article 1. Determination of terms

In this Law terms are used in the following value:

1) anti-dumping measures - the provisional or final measures applied according to this Law in time or by results of anti-dumping investigation;

2) anti-dumping duty (preliminary or final) special type of duties which are collected when importing to customs area of the country of the commodity import which is subject to application of anti-dumping measures (preliminary or final);

3) the conclusion positive about availability of dumping (damage) - the conclusion about availability of the fact of dumping (damage);

4) the conclusion negative about availability of dumping (damage) - the conclusion about lack of the fact of dumping (damage);

5) dumping - import to customs area of the country of commodity import at the prices, below the comparable price of the similar goods in the country of export causing damage to national producer of similar goods;

6) margin of dumping - the amount on which normal cost exceeds export price. The procedure for determination of margin of dumping is established in article 9 of this Law;

7) export price - the price at which the goods sold to the country of import from the country of export actually are paid or is subject to payment. The procedure for determination of export price is established in article 8 of this Law;

8) damage - the essential damage caused to national producer or threat of causing essential damage to national producer, or essential preventing to creation or expansion of national producer of production of similar goods. The procedure for determination of damage is established in article 10 of this Law;

9) import - import to customs area of the country of the commodity import (goods) intended for consumption in this country of import;

10) the importer - the subject of economic legal relations declaring revenues to customs area of the country of commodity import (goods);

11) competent authorities - the public authorities of the country of export or country of source (custom union or economic group) providing carrying out foreign and (or) external economic policy of said country within the powers;

12) designing of export price - implementation of calculation of certain size of export price in case the actual export price is not established or is considered that it is unreasonable. The procedure for designing of export price is established in article 8 of this Law;

13) the country of export - the country of goods' origin, the import imported to the country. Also the intermediary country (custom union or economic group) can be considered as the country of export, except as specified, when the specified goods are conveyed as transit goods through this country, in it it is not made or in this country there is no comparable price for these goods;

14) country of import - Ukraine;

15) country of source - the country (custom union or economic group) in which the goods were completely made or subjected to sufficient conversion or processing;

16) national producer - set of producers of similar goods or that from them which cumulative production constitutes the main part of all production volume in the country of import of these goods. Features of determination of national producer are established in Article 11 and part six of article 12 of this Law;

17) normal cost - goods price equivalent in the domestic market. The procedure for determination of normal cost is established in article 7 of this Law;

18) inquiry period - the period which is directly preceding initiation of anti-dumping investigation for which dumping availability facts are investigated. The procedure for determination of inquiry period is established in article 13 of this Law;

19) sale - cession of property one person in property or use and (or) in ownership and (or) in the order to other person, in particular, transfer according to transactions of purchase and sale, lease of property, other civil transactions, and also when replacing one obligation with another or change of conditions of accomplishment of obligations;

20) the parties of anti-dumping investigation - foreign producer, the exporter, the importer, consolidation (association), competent authorities of the country of export, national producer, etc. which were in accordance with the established procedure notified on initiation of anti-dumping investigation;

21) the party interested - any person who notified the central executive body concerning economic policy (further - the Ministry) on the interest in participation in anti-dumping investigation according to part twelve of article 12 of this Law and who takes active part in anti-dumping investigation by submission in writing of proofs or the other information sufficient for the purposes of this investigation. Can be concerned parties:

foreign producer, the exporter or the importer of the goods which are object of investigation or consolidation (association) most of which of members is constituted by foreign producers, exporters or importers of the goods which are object of anti-dumping investigation;

competent authorities of the country of the commodity export which is object of investigation;

national producer, the producer or the wholesale seller of similar goods in the country of import;

consolidation (association) most of which of members makes or sells wholesale similar goods in the country of import;

the labor union combining employees of the companies which make or sell wholesale similar goods in the country of import;

executive bodies in the country of import within their competence;

22) regular trading activities - conditions and business practice which during the reasonable period preceding commodity export, which is object of investigation were regular in trade in such goods or goods which have similar conditions of production, sales or sale;

23) the comparable price - the price of similar goods in the country of export practiced in regular trading activities;

24) goods - any products, held for sale;

25) goods with short-term industrial cycle - goods which according to the conclusion of the Ministry and Interdepartmental International Trade Commission (further - the Commission) are considered obsolete in connection with emergence of new technological developments. The procedure for determination of goods with short-term industrial cycle is established in article 26 of this Law;

26) goods similar - identical goods, that is similar according to all characteristics on the goods which are object of investigation or, in the absence of these goods, other goods not similar according to all characteristics but having indicative signs, very similar to characteristic signs of the goods which are object of investigation;

27) the goods which are object of investigation - goods which import to the country of import is object of anti-dumping investigation and which are determined by it in the adequate notice about excitement and conducting this investigation;

28) the Ukrainian producers are producers of the similar or directly competing goods which are made in Ukraine.

Article 2. Scope of the Law

1. This Law is applied to the commodity import which is object of dumping if such import causes damage to national producer of similar goods.

The goods are considered object of dumping if in the country of import its export price is lower than the comparable price of similar goods in the country of export in regular trading activities.

2. This Law does not exclude application:

1) special rules in industry of agricultural industry;

2) the measures applied within the General Agreement on Tariffs and Trade (further - GATT) and World Organization of trade (further HERE);

3) the special rules established by international treaties of Ukraine which consent to be bound is this the Verkhovna Rada of Ukraine.

Article 3. Bodies which make anti-dumping investigations

Conducting anti-dumping investigation in Ukraine is performed on the principles determined by this Law, the central bodies authorized on it executive the vlastiministerstvo, the central executive body realizing the state customs policy and also the Commission.

Article 4. Language of production of anti-dumping investigations

1. Production of anti-dumping investigations according to this Law is performed in state language of Ukraine.

2. The data, written proofs and other information provided to the Ministry, the central executive body realizing the state customs policy or the Commissions according to this Law are considered by them in the course of anti-dumping investigation on condition of their statement in state language of Ukraine.

Article 5. Interdepartmental International Trade Commission

1. The interdepartmental International Trade Commission is headed by the Chairman who on position the Minister of Economy and European Integration of Ukraine is.

Members of the commission are the Commission chairman, his first deputy, deputies and officials of executive bodies.

The commission chairman, his first deputy, deputies and other members of the commission affirm according to part two of this Article.

2. The staff of the Commission affirms the Cabinet of Ministers of Ukraine on representation of the Commission chairman.

3. Form of work of the Commission are meetings.

Commission sessions are held to the address of the Ministry.

Commission sessions are held upon the demand of the Commission chairman, according to the written reasonable request of the member of the commission which moves to the Commission chairman, and in other cases with adherence to deadlines according to this Law.

4. Meetings are convened by the Commission chairman, and in case of its absence - and shall be held by the first deputy or the vice-chairman of the Commission not earlier than for the fifth day and not later than for the tenth day after the direction of the adequate notice.

Together with the notification on meeting to members of the commission all necessary information on questions which are submitted for the corresponding commission session goes.

In case of need experts of the public and non-state institutions, and also foreign experts can be invited to commission session.

5. Commission session is competent if at it there are at least a half of members of the commission.

The commission within the competence makes decisions, will organize and controls their accomplishment. Only members of the commission can take part in vote for adoption of the relevant decision.

Acts of the Commission, in particular about conducting anti-dumping investigation and application of anti-dumping measures, are obligatory for execution.

6. On commission sessions decisions are made:

1) about initiation of anti-dumping investigation;

2) about the positive or negative conclusions about availability of dumping and the methods giving the chance to determine margin of dumping;

3) about the positive or negative conclusions about availability of damage and its size;

4) about determination of cause and effect relationship between dumped imports and damage;

5) about application of anti-dumping measures;

6) on other questions within the powers provided by this Law.

7. Decisions of the Commission are made by a simple majority vote, and in some cases, by the provided this Law, two thirds (the qualified majority) of voices of her members.

8. The decision of the Commission which is made by a simple majority vote is deemed accepted if most of members of the commission voted for it. In case of equal distribution of voices the voice of the Commission chairman is decisive.

9. The decision of the Commission which is made qualified by a majority vote is deemed accepted if two thirds of members of the commission voted for it.

10. If necessary the decision of the Commission on the questions specified in Item 6 parts six of this Article can be accepted routinely by vising by members of the commission of the draft of the relevant decision. At the same time the Commission chairman or his deputy informs members of the commission and suggests them to state the point of view on this matter in time during which it can be considered and which does not exceed the terms established by this Law.

Article 6. Terms

1. Terms within which all actions according to this Law are made are established by this Law or determined by the Commission or the Ministry. The right to making of actions is lost upon termination of the specified terms. The documents submitted upon termination of these terms are not considered. The commission or the Ministry can make the decision on prolongation or renewal of terms in the presence of the bases sufficient for this purpose.

2. The terms established by this Law or determined by the Ministry or the Commission are estimated for years, months and days.

3. Term can be determined also by the reference to event which shall come inevitably.

4. The term estimated for years comes to an end in the corresponding month and number of the last year of this term.

The term estimated for months comes to an end the corresponding number of the last month of this term. If the end of the term estimated for months falls on month which has no corresponding number, this term comes to an end in the last day of this month.

If term is determined in the days, it is estimated from the date of, following behind day from which this term begins.

The term determined by the reference to event which shall come inevitably is estimated from the next day after approach of the corresponding event.

If the end of term falls on non-working day, the first is considered after it the working day last afternoon of this term.

The last day of term comes to an end at the time of the termination of the working day in the Ministry, Service or the Commission.

Term is not considered passed if before its termination documents are submitted according to the Ministry, to the central executive body realizing the state customs policy or the Commissions and are registered in accordance with the established procedure.

Section II Determination of Dumping and Damage

Article 7. Procedure of payments and determinations of normal cost

1. The normal cost is, as a rule, determined based on the prices established when implementing regular trading activities between independent buyers in the country of export.

Sale or transaction can be considered such which were not performed during regular trading activities if:

such sale or transaction have characteristics which are exclusive for the market which is subject to consideration;

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