1. Presentation to the Portfolio Committee on Trade & Industry
ITAC
Presentation to the Portfolio Committee on Trade & Industry
22 February 2013
Zoleka Xabendlini
Senior Manager: Trade Remedies

2. Presentation outline Trade remedies Dumping Material injury Causality
Investigation process
Investigation timelines
Other investigations

3. Trade Remedies anti-dumping countervailing unfair trade practices
safeguard: surge of imports

4. What is dumping?
Dumping occurs when a product is exported to another country, at a price which is lower than the price at which the same product is sold in the country of origin.

5. Purpose To protect the SACU industry against unfair competition.
Action can only be taken in instances where it is found that unfair trade practices cause material injury to the SACU industry.

6. Allegation of dumping: What to prove
Material injury/threat
Causality

7. Calculation of dumping margin
Normal value (after adjustments)
Less
Export price (after adjustments)
As % of export price

8. Material injury Actual and potential decline in sales Profits Output
Market share
Productivity
Return on investment
Utilization of capacity

9. Material injury 8. Factors affecting domestic prices
9. Magnitude of margin of dumping
10. Inventories
11. Employment
12. Wages
13. Growth
14. Ability to raise capital

10. Causal Link
Dumping
Material injury (and/or threat)

11. Anti-dumping investigation process
21 days
Receipt of application
Prep for applicant verification
Preparation of merit
Approval and place on agenda
Merit decision
21 days
7 days
7+18days
Identify
deficiencies & send
Deficiency responses
Initiation
Notification
Exporter & importer Responses
12 days
2 days
37+14 days
14days
Verification plan &
importer verification
Exporters’ verification & reports
Comments on verification reports
Prelim. Submission and place on agenda
14 days
14+2 days
7 days
10days
C Commissioner approval
Publication pps’s & report sent out
Comments on prelim report
Preliminary determi nation
10 days
21+2 days
18 +2days
14+7 days
Essential facts letter s
Comments
Final decision after essential facts
Provision for oral hearing
Final decision
7 days
18 days
18 days
18 days
3 days
Investigation closed
Report approval by CC
Minister’s decision
SARS publication
14 days
14 days
10 days

12. Authorities’ investigation timelines
Authority
Time taken
European Union
15 months
India
12 months
Brazil
South Africa
10 months
United States of America
9 months
Canada
7 months
Australia
5 months

13. Other investigations Tyres from China
Hexagon fully threaded screws from China
Frit from Brazil
Bolts and nuts from China