Customs Tariff (Identification, Assessment and Collection of Anti- Dumping Duty on Dumped Articles and for Determination of Injury) Rules, 1

11 · Determination of injury - (1) In the case of imports from specified countries, the designated authority shall record a further finding that import of such article into India causes or threatens material injury to any established industry in India or materially retards the establishment of any industry in India: (2) The designated authority shall determine the injury to domestic industry, threat of injury to domestic industry, material retardation to establishment of domestic industry and a causal link between dumped imports and injury, taking into account all relevant facts, including the volume of dumped imports, their effect on price in the domestic market for like articles and the consequent effect of such imports on domestic producers of such articles and in accordance with the principles set out in Annexure Il to these rules. (3) The designated authority may, in exceptional cases, give a finding as to the existence of injury even where substantial portion of the domestic industry is not injured; if there is a concentration of dumped imports into an isolated market, and the dumped articles are causing injury to the producers of all or almost all of the production within such market_ 12. Preliminary findings. (1) The designated authority shall proceed expeditiously with the conduct of the investigation and shall, in appropriate cases, record a preliminary finding regarding export price, normal value and margin of dumping; and in respect of imports from specified countries, it shall also record a further finding regarding injury to the domestic industry and such finding shall contain sufficiently detailed information for the preliminary determinations on dumping and injury and shall refer to the matters of fact and law which have led to arguments being accepted or rejected: It will also contain the names of the suppliers, or when this is impracticable, the supplying countries involved; (ii) description of the article which is sufficient for customs purposes; (iii) the margins of dumping established and a full explanation of the reasons for the methodology used in the establishment and comparison of the export price and the normal value; (iv) considerations relevant to the injury determination; and (v) the main reasons leading to the determination. 2 The designated authority shall issue a public notice recording its preliminary findings 13. Levy of provisional duty - The Central Government may; on the basis of the preliminary findings recorded by the designated authority, impose a provisional duty not exceeding the margin of dumping

14 · Termination of investigation:" The designated authority shall, by issue of a public notice; terminate an investigation immediately if (a) it receives request in writing for doing so from or on behalf of the domestic industry affected, at whose instance the investigation was initiated; (b) it is satisfied in the course of an investigation; that there is not sufficient evidence of dumping or, where applicable; injury to justify the continuation of the investigation; (c) it determines that the margin of dumping is less than two per cent of the export price; (d) it determines that the volume of the dumped imports, actual or potential, from particular country accounts for less than three per cent of the imports of the like product, unless, the countries which individually account for less than three per cent of the imports of the like product; collectively account for more than seven per cent of the import of the like product; or (e) it determines that the injury where applicable, is negligible. 15. Suspension or termination of investigation on price undertaking: The designated authority may suspend or terminate an investigation if the exporter of the article in question,

17 · Final findings: (1) The designated authority shall, within one year from the date of initiation of an investigation, determine as to whether or not the article under investigation is being dumped in India and submit to the Central Government its final finding

23 · Review - (1) The designated authority shall, from time to time; review the need for the continued imposition of the anti dumping duty and shall, if it is satisfied on the basis of information received by it that there is no justification for the continued imposition of such duty recommend to the Central Government for its withdrawal. (2) Any review initiated under sub-rule (1) shall be concluded within a period not exceeding twelve months from the date of initiation of such review_ (3) The provisions of rules 6, 7, 8,9, 10, 11,16,17, 18,19,and 20 shall be mutatis mutandis applicable in the case of review_

24 · Dumping causing injury to third country: (1) The designated authority may initiate investigation into any dumping alleged to be taking place into India and causing injury to the domestic industry of any third country which is a member of the World Trade Organisation: (2) The designated authority in such cases shall follow the procedures laid down in Article 14 of the Agreement on Implementation of Article VI of the General Agreement on Tariff and Trade, 1994, as contained in the Final Act of Uruguay Round Multilateral Trade Negotiations. ANNEXURE (See rule 8) Principles governing the determination of normal value, export price and margin of dumping The designated authority while determining the normal value, export price and margin of dumping shall take into account inter alia, the following principles The elements of costs referred to in the context of determination of normal value shall normally be determined on the basis of records kept by the exporter or producer under investigation, provided such records are in accordance with the generally accepted accounting principles of the exporting country, and such records reasonably reflect the cost associated with production and sale f the article under consideration: 2 Sales of the like product in the domestic market of the exporting country or sales to third country at prices below per unit (fixed and variable) costs of production plus administrative, selling and general costs may be treated as not being in the ordinary course of trade by reason of price. The designated authority may disregard these sales, in determining normal value, provided it has determined that such sales are made within a reasonable period of time (not less than six months) in substantial quantities, i.e. when the weighted average selling price of the article is below the weighted average per unit costs or When the volume of the sales below per unit costs represents not less than twenty per cent of the volume sold in transactions under consideration, and (ii) such sales are at prices which do not provide for the recovery of all costs within reasonable period of time: The said prices will be considered to provide for recovery of costs within a reasonable period of time if they are above weighted average per unit costs for the period of investigation, even though they might have been below per unit costs at the time of sale 3_ The said authority in the course of investigation shall consider all available evidence on the proper allocation of costs, including that which is made available by the exporter or producer provided that such allocation has been historically utilized by the exporter or producer, in relation to establishing appropriate amortization and depreciation periods and allowances for capital expenditure and other development costs _ (ii) unless already reflected in allocation of costs referred to in clause (1) and sub-clause () above, the designated authority, will also make appropriate adjustments for those non-recurring items of cost which benefits further andlor current production, or for circumstances in which costs during the period of investigation are affected by start up operation. 4_ The amounts for administrative, selling and general costs and for profits as referred to in sub-section (1) of section 9A of the Act; shall be based on actual data pertaining to production and sales in the ordinary course of trade, of the like article by the exporter or producer under investigation. When such amounts cannot be determined on this basis, the amounts may be determined on the basis of the actual amounts incurred and realised by the exporter or producer in question, in respect of production and sales in the domestic market of the country of origin of the same general category of article; (ii) the weighted average of the actual amounts incurred and realized by other exporters or producers subject to investigation in respect of production and sales of the like article in the domestic market of the country of origin; or