Compendium of Antidumping and Countervailing Duty Laws
in the Western Hemisphere
- Application and Collection of Duties
- Methods of Liquidation
WTO Standard: When the amount of the anti-dumping duty is assessed on a retrospective basis, the determination of the final liability for payment of anti-dumping duties shall take place as soon as possible, normally within 12 months, and in no case more than 18 months after the date on which a request for a final assessment of the amount of anti-dumping duty has been made (footnote omitted). Any refund shall be made promptly and normally in not more than 90 days following the determination of final liability . . . . In any case, where a refund is not made within 90 days, the authorities shall provide an explanation if so requested. (AD Agreement, Art. 9.3.1).
When the amount of the anti-dumping duty is assessed on a prospective basis, provision shall be made for a prompt refund, upon request, of any duty paid in excess of the margin of dumping. A refund of any such duty paid in excess of the actual margin of dumping shall normally take place within 12 months, and in no case more than 18 months, after the date on which a request for a refund, duly supported by evidence, has been made by an importer of the product subject to the anti-dumping duty. The refund authorized should normally be made within 90 days of the above-noted decision. (AD Agreement, Art. 9.3.2)
WTO Standard: There are no parallel provisions in the SCM Agreement.
The standards of the WTO Agreements are directly applied. The provisions of Decree 2121/94 are supplementarily applied.
A provisional anti-dumping or countervailing duty should be imposed where there is a preliminary finding of the existence of dumping or a subsidy and sufficient proof of the consequent injury to domestic industry.
Such a measure may not be adopted sooner than forty-five (45) working days from the date of dispatch of the questionnaires.
The sole purpose of imposing provisional duties shall be to prevent injury being caused during the investigation.
The duties shall correspond to the provisionally estimated amount of the margin of dumping or subsidy. Provisional duties may be paid in cash or covered by a security in conformity with the legal provisions on the lodging of security for the payment of customs duties. Bi-ministerial Decision, Art. 38.
The duties shall be calculated and applied on an ad valorem basis, or as specific duties, fixed or variable, or as a combination of both. Art. 45-1; Art. 55-1.
The ad valorem duties will be applied on the CIF import value, in accordance with the pertinent laws. Art. 45-2; Art. 55-2.
Specific duties shall be set in U.S. dollars and converted at the national exchange rate, in accordance with the pertinent laws. Art. 45-3; Art. 55-3.
Antidumping or countervailing duties applied to a product shall be collected separately from any other duty. Antidumping duties shall not be applied to imports from those exporters who have agreed to a price undertaking. AD law, Art. 48.
No countervailing duty shall be applied to imports from countries whose governments have made commitments renouncing the subsidies or from exporters who have made price commitments. Art. 58-1.
Under the Canadian system of duty assessment, prospective normal values are established for goods subject to antidumping action.
This allows exporters to raise their prices to the normal value and thereby avoid payment of antidumping duties.
In cases where it is not practical to establish normal values or where the exporter does not price up to established normal values, they are required to pay antidumping duties equal to the margin of dumping.
As part of the importation process, all goods must be accounted for with the Customs Office by presenting the required information.
Within 30 days of accounting, Revenue Canada makes a determination as to whether the goods are subject to the Canadian International Trade Tribunal finding and determines the normal value, the amount of the subsidy and the export price for the goods.
Either the importer declared the correct amount of antidumping duty at the accounting, or a refund or demand for payment will be issued by Revenue Canada.
Once the importer has paid any dumping duty assessed, the importation is considered settled unless the importer appeals the assessment within 90 days.
Revenue Canada may also re-determine the SIMA duties within 2 years of the first demand for payment.
Antidumping duties may be established as specific duties or as ad valorem duties on the CIF price.
Where an antidumping duty is imposed on a good, that duty is payable in the appropriate amount, in each case and without discrimination, on all imports of that good that have been declared dumped and the cause of injury, whatever the point of shipment.
The Commission shall designate the supplier or suppliers of the good in question. Nevertheless, if several suppliers within the same country are involved, and it is impossible in practice to designate all of them, the Commission may designate the supplying country in question. If several suppliers in more than one country are involved, the Commission may designate all suppliers involved, or, where this is not practicable, all the supplying countries involved.
Methods of making liquidation are the responsibility of the Direccion de Aduanas e Impuestos Nacionales - DIAN, which conform to the legal requirements regarding antidumping and countervailing duties, as well as the standards regarding guarantees and other instruments related to tariffs.
When the amount of the anti-dumping duty is assessed on a retrospective basis, the determination of the final liability for payment of anti-dumping duties shall take place as soon as possible, normally within 12 months, and in no case more than 18 months, after the date on which a request for a final assessment of the amount of anti- dumping duty has been made (the endnote is omitted).
Any refund shall be made promptly and normally in not more than ninety days following the determination of final liability made [...].
In any case, where a refund is not made within 90 days, the authorities shall provide an explanation if so requested.
When the amount of the anti-dumping duty is assessed on a prospective basis, provision shall be made for prompt refund, upon request, of any duty paid in excess of the margin of dumping.
A refund of any duty paid in excess of the actual margin of dumping shall normally take place within 12 months, and in no case more than 18 months, after the date on which a request for a refund, duly substantiated by evidence, has been made by an importer of the product subject to the anti-dumping duty.
The refund authorized should normally be made within 90 days of the above noted decision.
There is no specific provision but El Salvador applies the provisions of the WTO Antidumping Agreement and the Subsidies and Countervailing Measures Agreement.
In accordance with the provisions of Article 65 of the Law, the Secretariat of the Treasury and Public Credit shall proceed to collect the temporary and final countervailing duties in accordance with the provisions of the Fiscal Code of the Federation.
In the case of temporary duties, the aforementioned agency may accept the security furnished, also in accordance with the Fiscal Code of the Federation. Article 20 of the Fiscal Code of the Federation governs the forms of payment of assessments:
1. All assessments and their accessories must be paid in national currency;
2. To determine assessments on external trade and those that are to be implemented abroad, the exchange rate published by the Bank of Mexico in the Official Daily Gazette of the Federation the day before the assessments are made is considered.
3. Certified checks and postal, wire, or bank money orders are accepted as means of payment.
Checks must be issued in favor of the Treasury of the Federation.
Payment of final countervailing duties shall be required or, lacking this, the security that has been furnished shall be liquidated.
This is to say that, upon imposing the final duty, the importers are obligated to settle or pay it. Once the countervailing duty becomes final, its settlement or payment is made in cash or, lacking this, the security furnished is liquidated.
In the event the importer has paid or furnished security on an amount greater than the amount finally determined, the excess, as well as the corresponding interest, must be returned. (Article 65 of the Law).
Trinidad and Tobago
The U.S. has a retrospective duty assessment system.
This means that, at the time the merchandise covered by an order enters the U.S., the importer does not know the ultimate antidumping or countervailing duty liability.
Each year after the order is issued, an administrative review may be requested by any interested party.
The purpose of the administrative review is to calculate the precise margin of dumping or rate of subsidization on each entry.
Once established, those prior entries are assessed duties and the entries are liquidated.
Under the new statute, this should take no longer than about two and a half years for any single entry, at which point the importer can determine what its costs were for that entry (assuming there is no court challenge).
The AD or CVD rate found in the administrative review then becomes the new cash deposit rate for future entries.
If no review is requested, the entries are liquidated at the cash deposit rate.