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The UK trade remedies investigations process

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The UK trade remedies investigations process

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How the UK’s Trade Remedies Authority investigates whether trade remedy measures are needed to counteract unfair import practices.

Primary legislation in the Taxation (Cross-border Trade) Act 2018 (the Taxation Act)

Schedule 4 to the Taxation Act describes the principles of how dumping and subsidy investigations should be conducted. Schedule 5 covers safeguard investigations.

These schedules cover, amongst other things:

  • the requirements for case initiation
  • how investigations should be conducted
  • types of provisional and final determinations the Trade Remedies Authority (TRA) may make as part of the case

Secondary legislation in The Trade Remedies (Dumping and Subsidisation) (EU Exit) Regulations 2019 (the D&S Regs)

Part 6 of the D&S Regs describes how dumping and subsidy investigations should be conducted. It includes:

  • questionnaires
  • sampling
  • verification visits
  • hearings
  • essential facts
  • disclosure

Secondary legislation in The Trade Remedies (Increase in Imports Causing Serious Injury to UK Producers) (EU Exit) Regulations 2019 (the Safeguarding Regs)

Part 5 of the Safeguarding Regs describes how to conduct safeguard investigations. It includes:

  • questionnaires
  • limited examination
  • authentication visits
  • hearings
  • disclosure

World Trade Organisation – relevant agreements

The General Agreement on Tariffs and Trade (GATT) provides some guidance on how to conduct trade remedies investigations. The following agreements provide further information:

  • Agreement on the Implementation of Article VI of the General Agreement on Tariffs and Trade 1994 (Anti-Dumping Agreement)
  • Agreement on Subsidies and Countervailing Measures
  • Agreement on Safeguards

Types of investigation

There are three trade policy tools to counter imports which are causing or threatening injury to domestic industry. These three tools are covered within UK legislation:

  1. anti-dumping remedies
  2. countervailing remedies
  3. safeguard remedies

Anti-dumping remedies address imported goods being sold within the UK at prices which are below the normal value in the country they are being exported from.

Countervailing remedies address imported goods which are being subsidised by foreign governments.

Safeguard remedies protect domestic industries against an unforeseen surge of imports.

Dumping investigations

Dumping occurs when goods are imported into a country and sold at a price that is below their normal value in their country of export. Dumping investigations assess whether dumping is causing material injury to a domestic industry.

Investigations may normally run 11-13 months, depending on the investigation.

Subsidy investigations

Subsidy investigations assess whether subsidised imports are causing material injury to a domestic industry.

Investigations may normally run 11-13 months, depending on the investigation.

Safeguard investigations

Safeguard investigations assess whether an unforeseen surge of imports is causing or threatening serious injury to UK producers.

Safeguard investigations may normally run 8-10 months, depending on the investigation.

Comparison table

This table compares the different investigation types at a high level.

gov.uk

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