1. Ministry of Development, Industry and Foreign Trade The Brazilian Approach to Sunset Review 2005 International Trade Remedies Seminar - Seoul

2. Brazilian Trade Remedies System The Brazilian Approach to Sunset Review 1.The Brazilian Formal Procedures on Sunset Reviews 1.The Brazilian Formal Procedures on Sunset Reviews

3. Brazilian Trade Remedies System The Brazilian Approach to Sunset Review The Brazilian Regulation: Decreto nº 1.602/95, Capítulo VII. Formally, the petitioner is the Domestic Industry or a Public Body of Federal Administration. However the Brazilian Authority NEVER self initiate an investigation. 1. The Brazilian Formal Procedures on Sunset Reviews Formalities:

4. Brazilian Trade Remedies System The Brazilian Approach to Sunset Review Time to petitioner to inform its intention of asking for a sunset review – 5 months prior the end of the duty. Time to present a petition – 3 months before the end of the duty. 1. The Brazilian Formal Procedures on Sunset Reviews Formalities:

5. Brazilian Trade Remedies System The Brazilian Approach to Sunset Review Duration of Sunset Review investigation – 12 months, without postponement, due to internal regulation. The duty remain in force during the sunset investigation period a 1. The Brazilian Formal Procedures on Sunset Reviews Formalities:

6. Brazilian Trade Remedies System The Brazilian Approach to Sunset Review 2.Brazilian Practice

7. Brazilian Trade Remedies System The Brazilian Approach to Sunset Review 2. Brazilian Practice The Brazilian Department of Trade Remedies – DECOM conducts both dumping and injury analyses. The burden of proof that the termination of the measures will lead to the continuation or recurrence of dumping and injury bears on the petitioner and the investigating authorities.

8. Brazilian Trade Remedies System The Brazilian Approach to Sunset Review 2. Brazilian Practice New Margin of DumpingIn cases where there are importations during the period of antidumping order is in force, Brazil makes a calculation of a New Margin of Dumping. It is a mix of articles 11.2 and 11.3 2.1 Concerning the Dumping Determination:

9. Brazilian Trade Remedies System The Brazilian Approach to Sunset Review 2. Brazilian Practice In cases where there are NO importations during the period of antidumping order is in force, Brazil utilises the worldwide known methodology of comparing the landed VN to the Domestic Industry Price. New Level of DutyThe result is a New Level of Duty 2.1 Concerning the Dumping Determination:

10. Brazilian Trade Remedies System The Brazilian Approach to Sunset Review 2. Brazilian Practice New Margin of DumpingNew Level of DutyEither the New Margin of Dumping or the New Level of Duty will differ from the previous duty in force. Lesser Duty Practice,The Brazilian Lesser Duty Practice, applies also to sunset reviews 2.1 Concerning the Dumping Determination:

11. Brazilian Trade Remedies System The Brazilian Approach to Sunset Review Although the US Corrosion Resistant Steel Sunset Panel stated that it is not inconsistent with the ADA not applying article 5.8 on the conduction of a sunset review, Brazil uses in its sunset procedure the same de minimis (2%) used in original investigations 2. Brazilian Practice 2.1 Concerning the Dumping Determination:

12. Brazilian Trade Remedies System The Brazilian Approach to Sunset Review 2. Brazilian Practice In making the Injury Determinations, among others, Brazil analyses these factors: International Prices Significantly increase in the world capacity of production 2.2 Concerning the Injury Determination:

13. Brazilian Trade Remedies System The Brazilian Approach to Sunset Review 2. Brazilian Practice Changing in inventories International Level of Trade New Trade Remedies measures into force Others trade restrictive practices over the world 2.2 Concerning the Injury Determination:

14. Brazilian Trade Remedies System The Brazilian Approach to Sunset Review 3. Trade Remedies Negotiations

15. Brazilian Trade Remedies System The Brazilian Approach to Sunset Review The Brazilian position in these negotiations is guided by the search for an equilibrium between our position as a Trade Remedies user and the protection of our exporters’ interests affected by the application of these instruments abroad. 3. Trade Remedies Negotiations

16. Brazilian Trade Remedies System The Brazilian Approach to Sunset Review Brazil has expressed its view on sunset issue on papers TN/RL/W/6 and 76 Thus, in order to overcome or resolve the problem of the expansive use of the exception of the sunset review to continue the order, Brazil suggests: 3. Trade Remedies Negotiations

17. Brazilian Trade Remedies System The Brazilian Approach to Sunset Review Adopt “automatic sunset” of Antidumping orders Allow one year grace period until re-investigate 3. Trade Remedies Negotiations

18. Thank you very much indeed for your attention.

19. Ministry of Development, Industry and Foreign Trade The Brazilian Approach to Sunset Review 2005 International Trade Remedies Seminar - Seoul ›Rodrigo Faria ›DECOM-Departamento de Defesa Comercial ›E-mail: decom@desenvolvimento.gov.br ›Website: www.desenvolvimento.gov.br