Rules of the Ministry of Foreign Trade and Economic Cooperation on Response to A

1994.04.12



MINISTRY OF FOREIGN ECONOMIC RELATIONS & TRADE



RULES  OF  THE  MINISTRY OF FOREIGN TRADE AND  ECONOMIC  COOPERATION  ON



RESPONSE   TO   ANTI-DUMPING  CHARGES  RAISED  BY   FOREIGN    COUNTRIES 



AGAINST CHINESE EXPORT COMMODITIES



(Promulgated  by the Ministry of Foreign Economic Relations &  Trade  on



April 12, 1994)



Article  1 These Rules are hereby formulated by the Ministry of  Foreign



Trade  and Economic Cooperation (hereinafter referred to as  Moftec)  to



safeguard  the  legitimate interests of Chinese  production  and  export



enterprises, maintain the market of Chinese export commodities, and help



efforts  in  responding  to  anti-dumping  charges  raised  by   foreign



countries against Chinese export commodities.



Article  2 Once anti-dumping charges against Chinese export  commodities



are raised by a foreign country, the response to these charges shall  be



made by:



(1)  Enterprises  that have the right to handle foreign trade  and  that



have  exported (or re-exported) the said commodities to the  country  or



region during the period of investigation, and



(2) Enterprises that produce export products as specified in Clause (1).



Article  3  Chambers  of importers and  exporters  and  associations  of



foreign-invested enterprises (hereinafter referred to as the chambers or



the  associations) shall organize and coordinate efforts of response  to



anti-dumping  charges and assign special persons to take charge  of  the



work.



If  the  products  against which anti-dumping  charges  are  raised  are



produced or exported by only a small number of enterprises, the chambers



or the associations can appoint any one of these enterprises to organize



and coordinate efforts of response. The chambers or associations  shall,



however,  closely  follow  the progress of  these  cases  and  establish



necessary files.



Article  4  Once  anti-dumping  charges are  raised  against  a  certain



product, the chambers or the associations shall timely publish a  notice



on  the  International  Business newspaper, and  the  respondents  shall



immediately  register themselves with local foreign trade  and  economic



cooperation   bureaus  at  the  provincial,  autonomous  regional,   and



municipal  level  or foreign trade and economic cooperation  bureaus  of



cities  listed separately in State plans (hereinafter referred to  local



foreign  trade  commissions) or relevant chambers  or  associations  for



making responses.



Article 5 Respondents shall timely provide, as required in investigation



questionnaires, data and other reference materials concerning the price,



production,  exported quantities, and production costs of  the  relevant



products during the period of investigation, and assign special  persons



to take charge of response, check, and re-examination.



Article  6 Respondents shall subject themselves to the coordination  and



arrangements  by local foreign trade commissions, the chambers,  or  the



associations during the period of response.



Article 7 The chambers or the associations shall timely inform Moftec of



the  titles,  telephone  numbers, addresses, fax  numbers  and  contract



persons of the respondents.



Article  8  Respondents  shall timely pay  lawyers  costs  and  relevant



response fees according to the export proportions of the products  under



investigation during the period of investigation.



Article  9  With  authorization  by respondents,  the  chambers  or  the



associations shall take charge of the organization of responses, and can



invite  foreign  lawyers  well informed of China's  situation  and  with



comparatively strong professional abilities to handle responses.



Article  10 The chambers or the associations can invite Chinese  lawyers



specialized  in  the  handling of anti-dumping cases  to  take  part  in



response efforts including the filling of questionnaires and preparation



of relevant legal documents and evidences.



Article 11 When necessary, the chambers or the associations can organize



respondents  to take part in hearings or specific discussions  of  cases



held   in  foreign  countries. They can do  so,  however,   only   after



beforehand solicitation of opinions from anti-dumping departments  under



Moftec.



Article 12 Respondents can hold negotiations and sign "price pledges" or



"termination  agreements"  with  foreign  responsible  departments,  and



implement these pledges or agreements conscientiously. Respondents shall



report, at any time or regularly, their implementation of agreements  to



the chambers or the associations. The chambers or the associations shall



supervise and check the implementation of agreements.



Article  13 The chambers or the associations shall keep  Moftec   timely



informed of the progresses of responses to anti-dumping charges and  the



problems that have arisen.



Article  14  The  chambers or the  associations  and  respondents  shall



establish  files for anti-dumping cases, keep all  reference  materials,



and  monitor changes in the export of each kind of export products  that



have  been  put under investigation. The chambers or  the   associations



shall summarize responses to anti-dumping charges once every six  months



and report these summaries to Moftec.



Article 15 The chambers or the associations shall timely put forward  to



Moftec suggestions, such as proposals on the imposition of export quotas



or  licenses, on the export management of export products which may,  as



evidences  show,  lead to anti-dumping charges and which  can  still  be



exported  after  such charges have been raised so as to  avoid  possible



anti-dumping   charges   or  renewal of  anti-dumping  charges.   Moftec 



shall  give  priority  consideration,  when  distributing   quotas   and 



issuing  licenses,   to  enterprises with the right  to  handle  foreign 



trade  that have  done  a  good  job in controlling  export  prices  and 



taken    the  initiative   to   respond  to  anti-dumping  charges,   as



recommended  by  the chambers or the associations.



Article  16  The chambers or the associations shall do a  good  job   in



market investigations and take necessary measures to prevent lodging  of



anti-dumping lawsuits by foreign countries.



Article  17  When  entrusted  by the chambers  or  the  associations  to



organize responses, local foreign trade commissions shall cooperate with



the  chambers  or  the associations in  coordinating  local  efforts  of



response  to anti-dumping charges including urging local respondents  to



make  responses  in  good time and pay  response  costs.  Under  special



circumstances, local foreign trade commissions can also be appointed  to



take charge of the organization of response efforts. Local foreign trade



commissions shall also investigate to learn the reason leading to  anti-



dumping  charges  involving  enterprises  under  their   administration,



analyze  the  influences of these charges upon their export  trade,  and



take measures accordingly.



Article 18 Chinese business organizations stationed in foreign countries



shall investigate and learn the anti-dumping laws and regulations of the



countries  where are they stationed and investigations into and  rulings



on anti-dumping cases involving China, and report timely to Moftec their



findings,  problems  that exist, and suggestions on the  improvement  of



trade  management and methods of response to anti-dumping charges.  They



shall  timely  inform Moftec and relevant chambers  or  associations  of



possible  and  new  anti-dumping  cases.  These  business  organizations



stationed  in  foreign countries can propose invitation of  lawyers  and



monitor their defences. Delegations sent abroad to make responses or  to



take  part in hearings shall subject themselves to the guidance  of  and



timely report their work to these business organizations.



Article  19  Moftec shall provide guidance to efforts across  the  whole



country  in the making of responses to anti-dumping  charges,  formulate



and  revise  methods  for the management of  responses  to  anti-dumping



charges,  and  be responsible for discussions with  importing  countries



about the handling of anti-dumping cases so as to guarantee that Chinese



export products receive just treatment.



Article  20 In case any companies or enterprises that are clearly  aware



of  the  fact  that anti-dumping charges have been  raised  against  the



products  they manage or produce fail to take part in responses,  refuse



to pay lawyers' expenses or other response costs, or refuse to cooperate



with the chambers or the associations, the chambers or the  associations



shall timely report the cases to Moftec and have the right to  criticize



or circulate a notice of criticism of these companies or enterprises.



Article  21 Moftec shall circulate a notice of criticism of  enterprises



with the right to handle foreign trade if these enterprises fail to make



timely  responses  to  anti-dumping  charges,  refuse  to  pay  lawyers'



expenses  or other response costs, or refuse to cooperate  during  anti-



dumping  investigations, deprive them of the right to apply for some  or



all  export quotas and licenses, or take back from them part or all  the



right to handle foreign trade and impose fines upon them if their  cases



are serious.



Article  22  The relevant clauses in the Rules are  also  applicable  to



investigation  cases raised by foreign governments in line  with  "anti-



subsidization,  "market  disturbance," "protective measure,"  and  other



laws.



Article  23 Moftec appoints its Department of Treaties and Laws as   the



department to take charge of anti-dumping efforts.



Article   24  The  Rules  shall  take  effect  on  the  date  of   their



promulgation.