Commercial Information Circulars

24-hour hotline : 23 922 922

e-mail address : enquiry@tid.gov.hk

Ref : EIC 413/2

16 December 2013

Dear Sirs,

Commercial Information Circular No. 1009/2013

Brazil : Regulations Regarding Various Aspects of Anti-dumping Investigations

Pursuant to Commercial Information Circular No. 835/2013 of 21 October 2013 regarding the administrative procedures on investigation and application of anti-dumping (AD) measures, the Ministry of Development, Industry and Foreign Trade of Brazil issued six Decrees in September and October 2013 to set out new regulations regarding various aspects of AD investigations.

2.Decree No. 34/2013 indicates that all documents, both printed version or by electronic means, should be submitted to the Department of Trade Defence ("Departamento de Defesa Comercial / DECOM" in Portuguese) before 16:30 on the due date to ensure compliance with the deadline requirements of Decree No. 8058/2013. The duly authorised legal representative may file via electronic means the following requests: (a) to extend the deadlines provided for under Decree No. 8058/2013; (b) to designate a representative to participate in the hearing; (c) to view case files; and (d) to access documents issued by the DECOM. The Decree has entered into force with effect from 1 October 2013.

3.Decree No. 36/2013 sets out the information required in price undertaking proposal submitted by producers or exporters in AD investigation. Details of the contents and price revision of the proposal are set out in Articles 6 to 9 of Decree No. 36/2013.

4.Decree No. 37/2013 provides that the DECOM has the authority to self-initiate an assessment of scope to determine whether a product is subject to the AD proceedings based on the information provided by the Federal Revenue Secretariat of Ministry of Finance of Brazil ("Secretaria da Receita Federal do Brasil do Ministério da Fazenda" in Portuguese). The DECOM may conduct on site verifications on the information provided, which must be accompanied with appropriate proof, justification and sources, and methodological information. Information that must be included in the application for assessment of scope is set out in Article 8 of Decree No. 37/2013.

5.Decree No. 38/2013 requires that interested parties, including (i) domestic producers, (ii) importers or consignees of the merchandise under investigation, and (iii) foreign exporters or producers of the subject merchandise have to appoint a legal representative to participate in an AD investigation. Any other parties who are interested in the AD proceeding must file a request to appoint a legal representative within 20 days from the date of initiation of the investigation.

6.Decree No. 41/2013 requires AD petitions to include evidence of the existence of dumping, injury to a domestic industry, and causality between dumping and injury. The DECOM may conduct on site verifications on the information provided, which must be accompanied with appropriate proof, justification and sources, and methodological information.

7.Petition documents must include, but not limited to, the following information:

1. a detailed description of the product to be covered by the scope of the investigation which specifies its raw materials, chemical composition, model, size, capacity, power, means of presentation, uses and applications, and distribution channels;
2. description of the production process in the targeted countries; 
3. the Southern Common Market (MERCOSUR¹ ) Common Classification (NCM) code of the product;
4. any literature, catalogues, marketing materials or other documents that provide technical information regarding the product;
5. information on like products manufactured in Brazil;
6. any similarities or differences between the domestic and imported products; and
7. import statistics for the foreign products.

8.Decree No. 42/2013 requires that petition for anti-circumvention review must indicate the type and details of the alleged circumvention of the applicable AD duty order, as well as a list of all countries involved in the circumvention.

9.For details, traders are advised to consult their importers in Brazil and/or the above Brazilian Decrees (in Portuguese), which are available at:

Decree No. 34/2013(relevant to paragraph 2 above):
http://www.mdic.gov.br/arquivos/dwnl_1378919699.pdf

Decree No. 36/2013(relevant to paragraph 3 above):
http://www.mdic.gov.br/arquivos/dwnl_1379598664.pdf

Decree No. 37/2013(relevant to paragraph 4 above):
http://www.mdic.gov.br/arquivos/dwnl_1379613557.pdf

Decree No. 38/2013(relevant to paragraph 5 above):
http://www.mdic.gov.br/arquivos/dwnl_1379613770.pdf

Decree No. 41/2013(relevant to paragraphs 6-7 above):
http://www.mdic.gov.br/arquivos/dwnl_1381865416.pdf

Decree No. 42/2013(relevant to paragraph 8 above):
http://www.mdic.gov.br/arquivos/dwnl_1382099909.pdf.

ENQUIRIES

10.For enquiries about the content of this circular, please contact Miss S Y TANG at telephone number 2398 5405.

Yours faithfully,

(Ms Cindy CHENG)

for Director-General of Trade and Industry

^1. The Southern Common Market (MERCOSUR) includes Argentina, Brazil, Paraguay, Uruguay and Venezuela.