Commerce Department Seeking Comments on Elimination of Zeroing Methodology
The Commerce Department today published a notice in the Federal Register seeking public comments regarding the calculation of weighted-average dumping margins in future antidumping duty investigations in light of the WTO's decision declaring the "zeroing methodology" to be contrary to the WTO Antidumping Agreement.
After reviewing the comments, the Commerce Department will publish a final notice regarding the calculation of the weighted-average dumping margin using the average-to-average comparison methodology in an investigation. Any changes in methodology will be applied to new investigations only and will not apply to administrative reviews.
Labels: Antidumping
|posted by Douglas N. Jacobson| Permalink 
Dear Jacobsom,
Here is my understanding of the whole issue...
1. WTO Appellate Body (AB) has already struck down
EU's Zeroing Practice (Cotton Bed Linen- India- Y 2001- AB Report) &
US "Discrete Zeroing Practices" (Stainless Steel Plates- Korea- Y 2000- DS -Panel Report )
Final Dumping Determination (Softwood Lumber- CANADA-Y2004)
2. US "Zeroing Practice" has also been invalidated by NAFTA Chapter-19 Panel (Y 2005)
3. AB upheld the Panel's invalidation of "zeroing methodology as such" at least as for as "original investigation". So DOC no longer can use the Zeroing Methodology to find dumping margins in Initial investigations
4. AB reversed the Panel's ruling that "zeroing" in administrative reviews is consistent with WTO AD Agreement.he panel had originally ruled that the zeroing in the administrative review was not inconsistent with the AD Code.
5. AB also stated that zeroing methodology itself violated Article 9.3 of the AD Code as "The amount of the anti-dumping duty shall not exceed the margin of dumping as established under Article 2"
6. Therefore, to the AB zeroing is not an acceptable practice throughout the antidumping proceeding whether its New Investigation or Administrative reviews...
Why does US see this only limited to New Investigation...??
regards,
Posted by
raj |
7:13 AM