VI Anti-dumping and Countervailing Duties (136,162)
  1    States that Contracting Parties recognize "that dumping, by which products of one country are introduced into the commerce of another country at less than the normal value of the products, is to be condemned if it causes or threatens material injury to an established industry in the territory of a contracting party or materially retards the establishment of a domestic industry"
   Defines "less than normal value" if the export price...
  1(a) "is less than the comparable price, in the ordinary course of trade, for the like product when destined for consumption in the exporting country"
  1(b) or, "in the absence of such domestic price, is less than either (i) the highest comparable price for the like product for export to any third country in the ordinary course of trade, or (ii) the cost of production of the product in the country of origin plus a reasonable addition for selling cost and profit."
  2 Authorizes "an anti-dumping duty not greater in amount than the margin of dumping in respect of such product. For the purposes of this Article, the margin of dumping is the price difference determined in accordance with the provisions of paragraph 1."
  3 Authorizes a "countervailing duty" up to "an amount equal to" a granted subsidy, and defines a countervailing duty as a "a special duty levied for the purpose of offsetting any bounty or subsidy bestowed, directly, or indirectly, upon the manufacture, production or export of any merchandise."
  4 Prohibits AD or CV duties for exemptions of exports from domestic consumption taxes
  5 Prohibits double-imposition of AD and CV duties for a single infraction
  6(a) Requires a determination of domestic material injury to justify AD or CV duties
  6(b) Provides for a waiver of (a) if injury is to another exporter to the importing country
  6(c) Provides for immediate duties w/o prior approval under (b) "delay might cause damage which would be difficult to repair," but must be reported immediately and withdrawn if disapproved.
  7 (Accommodates agricultural price supports): With price stabilization systems for primary products, presumes lack of "material injury" if dumping is sporadic and the system is not operated to "stimulate exports unduly"

 

Agreement on Implementation of Article VI of the General Agreement on Tariffs and Trade 1994: Provides further elaboration on the basic principles set forth in Article VI itself, to govern the investigation, determination, and application, of anti-dumping duties.
  2 Defines the specific circumstances in which home market sales at prices below the cost of production may be considered as not made in the "ordinary course of trade", and thus may be disregarded in the determination of normal value. Those sales must be made at prices that are below per unit fixed and variable costs plus administrative, selling and general costs, they must be made within an extended period of time (normally one year, but in no case less than six months), and they must be made in substantial quantities.
  3.5 Requires that known factors other than dumped imports which may be causing injury must be examined, gives examples of factors (such as changes in the pattern of demand, and developments in technology) which may be relevant, and specifies that injury caused by such "other factors" must not be attributed to dumped imports.
  5 Establishes the requirements for the initiation of investigations.
  5.8 Provides for immediate termination of investigations in the event the volume of imports is negligible (less than 3% individually or 7% collectively) or the margin of dumping is de minimis (less than 2%).
  5.10 Specifies that investigations should be completed within one year, and in no case more than 18 months, after initiation.
  6 Authorities are required to disclose the information on which determinations are to be based to interested parties and provide them with adequate opportunity to comment. The Agreement establishes the rights of parties to participate in the investigation, including the right to meet with parties with adverse interests, for instance in a public hearing.
  7 No provisional measures may be applied sooner than 60 days after initiation of an investigation. The Agreement also contains time limits for the imposition of provisional measures - generally four months, with a possible extension to six months at the request of exporters.
  8 Establishes the principle that undertakings between any exporter and the importing Member, to revise prices, or cease exports at dumped prices, may be entered into to settle an investigation, but only after a preliminary affirmative determination of dumping, injury and causality has been made. If a final determination of no dumping, no injury, or no causality results, the undertaking shall automatically lapse.
  9 Establishes the general principle that imposition of anti-dumping duties is optional, even if all the requirements for imposition have been met. It also states the desirability of application of a "lesser duty" rule.
  10 Contains rules for the retroactive imposition of dumping duties in specified circumstances. If the imposition of anti-dumping duties is based on a finding of actual material injury, anti-dumping duties may be collected as of the date provisional measures were imposed.
  10.6 Provides for retroactive application of final duties to a date not more than 90 days prior to the application of provisional measures in certain exceptional circumstances involving a history of dumping, massive dumped imports, and potential undermining of the remedial effects of the final duty.
  11 Establishes a "sunset" requirement that dumping duties shall normally terminate no later than five years after first being applied, unless a review investigation prior to that date establishes that expiry of the duty would be likely to lead to continuation or recurrence of dumping and injury. This five year "sunset" provision also applies to price undertakings. The Agreement requires authorities to review the need for the continued imposition of a duty upon request of an interested party.
  12 Sets forth detailed requirements for public notice by investigating authorities of the initiation of investigations, preliminary and final determinations, and undertakings.
  16 Establishes a Committee on Anti-Dumping Practices which must meet at least twice a year to provide Members of the WTO the opportunity to discuss any matters relating to the Anti-Dumping Agreement.
  17 Maeks disputes in the anti-dumping area subject to binding dispute settlement before the Dispute Settlement Body of the WTO, in accordance with the provisions of the Dispute Settlement Understanding ("DSU")

The Agreement on Subsidies and Countervailing Measures, included under Article XVI, covers countervailing duties.