Trade remedies are
trade policy tool that allow governments to take remedial action against
imports which are causing or threatening to cause material injury to a domestic
industry. This is considered as a tool for maintaining the international trade
order in a way of fairness and sound for countries when participating in free
trade agreements. As Vietnam has entered a number of important free trade
agreements, especially recent EU Vietnam Free Trade Agreement, it is important
to understand the process
of investigation of imposing trade remedies and how an international
trade law firm could help representing clients in taking part in the
procedures including anti-dumping, countervailing duty and safeguarding investigation
of state authorities.
How
a trade remedy case is processed?
Firstly, an
organizations or individual representing a domestic industry may submit a
request for applying the measure if it is found that the domestic industry is
injured caused by dumping on imports, import subsidies or a surge in imports.
Secondly, after having
the notification of lawful dossiers from Investigating authority, Minister of
Industry and Trade would base on the proposal of Investigating authority to
make decision of whether to start the investigation or not.
Thirdly, in the event
of Minister of Industry and Trade decides to proceed the case, Investigating
authority will issue the Questionnaire within 15 days from the date of issuing
the investigating decision. However, in some cases, before sending the
Questionnaire to parties, Investigating authority may send the quantity and
value Questionnaire to select the sample to limit the scope of investigation.
The investigation to
impose the anti-dumping measure, countervailing measure is within 12 months
from the date of having the investigating decision, this duration may be
extended but the total of the case does not exceed 18 months. However, the
investigation period of imposing safeguard measure must be completed within 9 months,
this duration may be extended but the total of the case does not exceed 12
months.
During the
investigation period, Investigating authority will give an opportunity to
interested parties for the consultation, specifically: (i) when having the
consultation request from interested parties (ii) Before the final
determination of investigation is disclosed, the investigating authority can
organize the public consultation in manner that interested parties can present
information and opinion related to the case.
However, Minister of
Industry and Trade shall decide to terminate the investigation in the following
cases:
-The applicant
voluntarily withdraws the application;
-The preliminary
determination of the investigating authority shows that there is no injury or
threat of injury to the domestic industry or material retardation of establishment
of the domestic industry;
-The final
determination of the investigating authority obtains one of the following
contents:
-The product under
consideration imported to Vietnam is not dumped, subsidized or imported
excessively;
There is no injury to
the domestic industry;
There is no objective
evidence of the existence of a causal link between the dumping on imports,
import subsidies and the surge of imports and the injury or threat of injury to
domestic industry or the material retardation of the establishment of the
domestic industry;
The investigating
authority reaches an agreement with the competent authority of the country
which is accused of granting subsidies to its products imported to Vietnam on
removing the abovementioned subsidies.
If Client needs any
more information or request for legal advice or potential dispute regarding
trade remedies measures including, anti-dumping, countervailing duty and
safeguard measures or international
trade dispute matters, our international trade attorney at Hanoi Office and
Ho Chi Minh City of ANT Lawyers could be of help.
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