1. SUNSET REVIEW: CHINA’S LAW, PRACTICE AND VIEWS WANG Shichun Director General, BOFT Ministry of Commerce, China

2. Sunset Review under the WTO Agreement  Before the Uruguay Round  After the Uruguay Round  Article 11.3 of ADA

3. Sunset Review under China’s Law  The Antidumping Regulation Article 48: sunset review  The Antidumping Regulation Article 49-52: general provisions on all types of reviews  So far, no ministerial rules specifically on sunset issued by MOFCOM  Sunset procedures are mainly in reference to those for original antidumping investigations

4. China’s Antidumping Sunset Review Practice and Experience 1. China’s Practice on Sunset Review: 3 cases so far (3 products, involving 4 countries)  newsprint (determined)  polyester film (pending)  cold-rolled stainless steel sheets (pending)

5. China’s Antidumping Sunset Review Practice and Experience (cont’d)  Newsprint Case  Original investigation initiated on 10 Dec. 1997  Preliminary determination made on 9 July 1998  Final determination made on 3 June 1999  Sunset review initiated on 1 July 2003  Sunset final determination made on 30 June 2004

6. China’s Antidumping Sunset Review Practice and Experience (cont’d) 3. Valuable Experience from Newsprint Case  Actively draw upon other countries’ legislation and practice and combine them with China’s law and practice  Conduct sunset reviews in strict accordance with the ADA and China’s Antidumping Regulation  Believe in rigorous and prudent sunset investigations, not instruments for extending antidumping measures

7. China’s Practice in Responding to Foreign Sunset Review Proceedings  Since 1995, China has been the world’s No.1 target of antidumping investigations.  Chinese exporting firms are tacking with all kinds of reviews, including sunset review in different countries.  Regrettably, protracted antidumping measures and huge economic losses are results in most cases.

8. China’s Practice in Responding to Foreign Sunset Review Proceedings (cont’d) Typical Cases:  Potassium permanganate  Cotton shop towels  Petroleum wax candles  Artificial corundum

9. China’s Practice in Responding to Foreign Sunset Review Proceedings (cont’d)  Chinese business community’s reaction  Chinese government’s reaction ----bilateral situation ----multilateral situation: DDA rules negotiation

10. China’s View on Improving the Sunset Review Rules  Our practice has not prevented us from reflecting up and reconsidering the sunset system.  WTO Doha Round is a good opportunity to improve the rules.  From a developing country’s perspective, China expresses its concern and basic position on sunset review.

11. China’s View on Improving the Sunset Review Rules (cont’d)  Extension of antidumping measures after sunset review has been turned from “the exception” into “the normal rule”.  The situation is particularly serious for the exporters from developing countries and must be reversed.  China wishes to work with WTO Members to improve the rules on sunset in the future.

12. Thank you. WANG Shichun Director General Bureau of Fair Trade, Ministry of Commerce 2 Dong Chang An Street, Beijing, China Tel: 86-10-6519-8755 Fax: 86-10-6519-8172 Email: wangsc@mofcom.gov.cn