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REGULATION OF THE GOVERNMENT OF THE REPUBLIC OF INDONESIA
No. 34/1996

CONCERNING
ANTIDUMPING DUTIES AND COUNTERVAILING DUTIES

PRESIDENT OF THE REPUBLIC OF INDONESIA,

Attachment (Elucidation)

Considering:

that based on Articles 20 and 23 of Law No. 10/1995 concerning Customs, provisions and procedures for imposing antidumping and countervailing duties and for handling dumping charges need to be further governed by Government Regulation.

In View of:

1. Article 5 paragraph (2) of the 1945 Constitution;

2. Law No. 7/1994 concerning the Ratification of the Agreement Establishing the World Trade Organization (Statute Book No. 57/1994, Supplement to Statute Book No. 3564);

3. Law No. 10/1995 concerning Customs (Statute Book No. 75/1995, Supplement to Statute Book No. 3612).

DECIDES:

To stipulate:

GOVERNMENT REGULATION CONCERNING ANTIDUMPING DUTIES AND COUNTERVAILING DUTIES

CHAPTER I
GENERAL PROVISIONS

Article 1

In this Government Regulation:

1. Dumped goods are goods imported at Export Prices that are less than their Normal Value in exporting countries;

2. Export prices are the prices actually paid or that will be paid for goods exported to Customs Territory as intended in Law No. 10/1995 concerning Customs;

3. Normal value is the price actually paid or that will be paid for goods in the ordinary course of trade, for the Like Products, when destined for consumption in the exporting country;

4. Dumping margin is the difference between Normal Price and the Export Price of dumped goods;

5. Subsidy is:

• a. any financial assistance directly or indirectly provided by the government or public body to companies industries, group of industries, or exporters; or
• b. any form of support on income or price directly or indirectly provided with a view to increasing export or decreasing import from or to the countries concerned, which would give benefit to the recipients.

6. Subsidized goods are goods imported at subsidized Export Price.

7. Net subsidies are the difference between Subsidies and

• a. application fees, guarantees, or other levies spent to obtain Subsides; and/or
• b. levies imposed at the time goods are exported to compensate for Subsidies granted to the export goods.

8. Domestic industry is:

• a. the domestic producers as a whole of Like Products; or
• b. domestic producers of the Like Products whose collective output of the products constitute a major proportion (more than 50%) of the total domestic production of relevant products.

9. Like Product are products that are identical or alike in all aspects to the said imported goods that have physical, technical and chemical characteristics resembling those of the said imported goods.

10. Interested Parties are:

• a. exporters, foreign producers or importers of a product subject to investigation, or a trade or business association a majority of the members of which are exporters, producers, or importers of such products;
• b. the governments of the exporting countries; and
• c. domestic producers of the like product, or associations of domestic producers a majority of the members of which produce the like product in the territory of the domestic country.

11. Injury shall be:

• a. injury suffered by Domestic Industries producing like product;
• b. threats of injury suffered by Domestic Industries producing like product; or
• c. impediment of the development of Domestic Industries producing Like Products.

12. Provisional Measures are measures taken to prevent injury during the investigation period through the imposition of provisional antidumping duties or provisional countervailing duties.

13. Adjustment Measures are measures taken to adjust prices or to cease the export of Dumped Goods or Subsidized Goods or to eliminate or restrict Subsidies or other measures offered by exporters of Dumped Goods or governments of exporting countries and/or exporters of Subsidized Goods or suggested by the Committee to eliminate Injury.

14. Import Duties are state levies imposed on imported goods used in customs areas intended in Law No. 10/1995 concerning Customs.

15. Antidumping Duties are state levies imposed on dumped goods that cause injury.

16. Countervailing Duties are state levies imposed on Subsidized Goods that cause Injury.

Article 2

Imported goods may be subject to Import Duties in addition to Antidumping Duties if:

• a. the Export Prices of the imported goods are less than its Normal Value; and
• b. the imported goods cause Injury.

Article 3

Imported goods may be subject to Import Duties in addition to Countervailing Duties if:

• a. exporting countries give Subsidies to the imported goods; and
• b. the imported goods cause Injury.

Article 4

(1) The amount of Antidumping Duties as intended in Article 2 shall be as high as that of Dumping Margins;

(2) The amount of Countervailing Duties as intended in Article 3 shall be as high as that of Net Subsidies.

Article 5

If imported goods are subject to Antidumping Duties while at the same time are also subject to Countervailing Duties, the imported goods shall only be subject to which of the Antidumping duties or Countervailing Duties are higher.

CHAPTER II
THE INDONESIAN ANTIDUMPING COMMITTEE

Article 6

(1) To carry out all activities relating to the prevention of the dumped imports and Subsidized Goods, the Minister of Industry and Trade shall set up the Indonesian Antidumping Committee, hereinafter called the Committee;

(2) The Committee is headed by a chairman and be made up of officials from:

• a. The Ministry of Industry and Trade;
• b. The Ministry of Finance; and
• c. Other relevant ministries or non-ministerial agencies.

Article 7

(1) The Committee shall be tasked with:

• a. investigating Dumped Goods and Subsidized Goods;
• b. collecting, examining and processing pieces of evidence and information;
• c. proposing the imposition of Antidumping Duties and Countervailing Duties;
• d. carrying out other activities determined by the Minister of Industry and Trade; and
• e. preparing reports on the realization of the tasks.

(2) All expenses arising from the realization of the tasks as intended in paragraph (1) shall be borne by the Minister of Industry and Trade.

CHAPTER III
INVESTIGATION

Article 8

(1) Domestic Industries may file an application with the Committee to conduct an investigation into imported goods alleged to be Dumped Goods and/or Subsidized Goods that cause injury;

(2) No later than 30 (thirty) days after the application as intended in paragraph (1) is received, the Committee shall, by virtue of investigation results and evidence, issue a decision to:

• a. reject the application, if the application does not meet requirements; or
• b. accept the application and begin formal investigation, if the applications meet requirements.

(3) The Minister of Industry and Trade shall stipulate the requirements as intended in paragraph (2).

Article 9

The Committee may conduct investigations into imported goods alleged to be dumped goods and/or subsidized goods in spite of no applications from domestic industries.

Article 10

The decision of the Committee to begin investigations as intended in Article 8 paragraph (2) b or Article 9 shall be notified in advance to interested parties.

Article 11

(1) The investigations as intended in Article 10 shall be completed within twelve months after the decision to begin the investigation is issued;

(2) In exceptional cases, the deadline for the completion of an investigation may be extended to eighteen months at the maximum.

Article 12

(1) No later than the end of the period of time as intended in Article 11, the Committee shall submit the final investigation results to the Minister of Industry and Trade and notify or inform interested parties of existence or non-existence of Dumped Goods and/or Subsidized Goods that cause Injury;

(2) If the final investigation results indicate existence of Dumped Goods and/or Subsidized Goods as intended in paragraph (1), the Committee shall notify the amount of dumping margins and/or net subsidies and propose the imposition of Antidumping Duties or Countervailing Duties to the Minister of Industry and Trade;

(3) If the final investigation results indicate non-existence of Dumped Goods and/or Subsidized Goods that cause injury as intended in paragraph (1), the Committee shall discontinue the investigations and report the non-existence, of dumped goods and/or subsidized goods to the Minister of Industry and Trade.

CHAPTER IV
EVIDENCE AND INFORMATION

Article 13

In conducting investigations into dumped goods and/or subsidized goods, the Committee shall;

• a. informs interested parties the required information and give them the chance to present pieces of written evidence;
• b. gives exporters or foreign producers the chance to reply questionnaires within a maximum period of 30 (thirty) days;
• c. give pieces of written evidence from one interest party to another by keeping the pieces of written evidence secret;
• d. give complete applications as intended in Article 8 paragraph (1) to exporters and interested parties in the exporting countries and other interested parties;
• e. give all the interested parties the chance to defend their interests and meet each other to give their arguments.

Article 14

(1) In collecting and using information, the Committee:

• a. may receive oral information with the provision that the parties giving the information must then present the information in writing to the Committee so that it can be made known to other Interested Parties;
• b. may give the opportunity to industries using products still under the process of investigation, and representatives of consumers associations in the case of the goods being sold at retail, to provide information relating to the investigations;
• c. may provide Interested Parties the opportunity to examine all pieces of relevant and un-secret information used in the investigations;
• d. will not disclose any piece of secret information without consent from the parties providing the information and may ask the parties giving the secret information to make a summary of the information that is not secret in nature;
• e. may ignore secret information if the Committee considers requests for nondisclosure of the information unreasonable and the parties giving the information are not ready to change the status of information from being secret into non-secret, or to make a summary of information as intended in paragraph d., except if there is an indication that the information is correct; and
• f. may inform interested parties of important evidence serving as the basis for making reports on final investigation results as intended in Article 11.

(2) If interested parties refuse to give information or reject efforts to collect information or hamper investigations, the Committee may make reports on final investigation results based on available evidence.

Article 15

To ensure the truthfulness of information, the Committee may conduct investigations abroad with the stipulation that the Committee receive approval from the companies to be investigated and inform representatives of the relevant countries of the planned investigations, except if the relevant countries refuse them.

Article 16

(1) In conducting investigations, the Committee shall collect information from each of the exporters or foreign producers of goods investigated;

(2) If the number of exporters, producers, importers or types of goods is large, the Committee may restrict investigations;

(3) The restriction of investigations as intended in paragraph (2) may be done by:

• a. selecting at random Interested Parties or types of goods believed to be Dumping Goods or Subsidized Goods by using a statistical method based on available information;
• b. using the largest percentage of the export volume of goods investigated in relevant countries.

CHAPTER V
PROVISIONAL MEASURES

Article 17

(1) If during the investigations as intended in Article 11, the Committee finds preliminary evidence of existence of Dumped Goods and/or Subsidized Goods that cause injury, the Committee shall notify interested parties of the existence of dumped goods and/or subsidized goods and give them opportunity to provide information or responses no later than 30 (thirty) days starting the date of notification;

(2) To prevent injury during the investigation as intended in paragraph (1), the Committee may propose the imposition of provisional measures to the Minister of Industry and Trade by presenting the amount of provisional Dumping Margins and/or provisional Net Subsidies;

(3) Based on the proposal from the Committee as intended in paragraph (2), the Minister of Industry and Trade shall decide certain tariffs for the imposition of provisional measures which shall be equal to or less than the provisional dumping margins and/or provisional net subsidies.

Article 18

(1) As far as dumped goods are concerned, the provisional measures as intended in Article 17 in the form of:

• a. payment of temporary antidumping duties; or
• b. handover of guarantees in the form of cash, bank guarantees or insurance company guarantees, having the same amount as that of temporary antidumping duties as intended in paragraph a, shall be stipulated by the Minister of Finance by observing provisions in Article 4;

(2) The Provisional Measures as intended in paragraph (1) shall be imposed sixty days at the earliest starting the date the investigations begin, and shall be valid for four months at the maximum;

(3) Upon the request of an exporter representing the majority of exporters exporting goods investigated, the validity of the provisional measures as intended in paragraph (2) may be extended to six months at the maximum;

(4) If the amount of provisional antidumping duties is less than that of temporary dumping margins, the validity of the provisional measures as intended in paragraph (2) may cover six months at the maximum;

(5) Upon the request of an exporter representing the majority of exporters exporting goods investigated the validity of the provisional measures as intended in paragraph (4) may be extended to nine months at the maximum.

Article 19

(1) Imposition of Temporary Measures as Subsidized Goods, the Temporary Measures as intended in Article 17 in the form of:

• a. payment of Temporary Countervailing Duties; or
• b. handover of guarantees in the form of cash, bank guarantees, or insurance company guarantees, having the same amount as that of Temporary Countervailing Duties as intended in paragraph a shall be stipulated by the Minister of Finance in observance of the provisions in Article 4;

(2) The provisional measures as intended in paragraph (1) shall be imposed no earlier than sixty days from the starting date the investigations begin and shall be valid for four months at the maximum.

Article 20

(1) Provisional Measures imposed under Articles 18 and 19 shall be declared invalid if the investigations are terminated as intended in Article 11;

(2) Provisional Measures shall be discontinued on the basis of decisions of the Minister of Finance and followed by:

• a. imposition of Antidumping Duties as intended in Article 2, or Countervailing Duties as intended in Article 3; or
• b. revocation of decisions on Provisional Measures and reimbursement of provisional Antidumping Duties or guarantees as intended in Article 18 paragraph (1) or Article 19 paragraph (1).

CHAPTER VI
PRICE UNDERTAKINGS

Article 21

(1) During the investigation period, exporters of Dumped Goods or governments of exporting countries and/or exporters of Subsidized Goods make offers to the Committee;

(2) Price Undertaking as intended in paragraph (1) may be in the form of:

• a. adjustment of prices or discontinuation of the export of Dumping Goods or Subsidized Goods; or
• b. abolition or restriction of subsidies, or other measures aimed to prevent Injury due to the granting of Subsidies;

(3) The offers to take Price Undertaking as intended in paragraph (1) may be made as long as:

• a. the amount of provisional Dumping Margins and/or provisional Net Subsidies as well as injury is already determined; and
• b. the Price Undertaking will be able to prevent injury.

Article 22

(1) The Committee shall assess the offer as intended in Article 21 and report assessment results to the Minister of Industry and Trade;

(2) Based on the assessment results as intended in paragraph (1) the Minister of Industry and Trade shall decide whether or not to accept the offers;

(3) If the offers are accepted, the investigations as intended in Article 11 shall continue to be completed;

(4) If final investigation results indicate existence of dumped goods and/or subsidized goods that cause injury, the Price Undertaking shall be continued.

(5) If investigation results do not indicate existence of Dumped Goods and/or Subsidized Goods that cause injury, the Price Undertaking shall be discontinued, except if the non-existence of Injury is caused by the Price Undertaking.

Article 23

During the period Price Undertakings are undertaken, exporters and/or governments of exporting countries as intended in Article 21 paragraph (1) shall periodically inform the Committee of the Price Undertaking, and agree to have their data verified.

Article 24

In the case of violation of Price Undertaking as intended in Article 21 paragraph (2):

• a. the next import of Dumped Goods after the violations may be subject to temporary antidumping duties;
• b. the next import of Subsidized Goods after the violations may be subject to temporary countervailing duties;
• c. the import of Dumped Goods or Subsidized Goods done no less than ninety days before the imposition of provisional dumping duties or provisional countervailing duties as intended in paragraphs a or b, may be subject to antidumping duties or countervailing duties as intended in Articles 2 or 3.

Article 25

The Committee may advise exporters or exporting countries to take the Price Undertaking as intended in Article 21.

CHAPTER VII
DETERMINATION OF THE AMOUNT OF ANTIDUMPING DUTIES AND COUNTERVAILING DUTIES

Article 26

(1) Based on the final investigation result that indicates existence of dumped goods and/or subsidized goods that cause injury as intended in Article 12 paragraph (2), the Minister of Industry and Trade shall decide certain tariffs for the imposition of antidumping duties or countervailing duties that are equal to or less than dumping margins and/or net subsidies;

(2) Certain tariffs as intended in paragraph (1) for goods exported by exporters or producers not investigated as intended in Article 16 paragraphs (2) and (3) shall be set at as high as:

• a. weighted average Dumping Margins set on the basis of evidence or information from the exporters or producers chosen to be investigated; or
• b. difference between the weighted average Normal Value of goods exported by exporters or producers investigated and the Export Prices of goods exported by exporters or producers not investigated.

(3) In determining the certain tariffs as intended in paragraph (2), dumping margins will zero value or very small value (de minimis) shall be excluded from the calculation of the certain tariffs;

Article 27

Based on the decision of the Minister of Industry and Trade as intended in Article 26, the Minister of Finance shall decide the rate of antidumping duties or countervailing duties.

Article 28

(1) The amount of antidumping duties or countervailing duties as intended in Article 27 shall apply to the import of Dumped Goods or Subsidized Goods from each exporter or producer or several exporters or producers;

(2) If the number of exporters or producers as intended in paragraph (1) from the same country is large, Antidumping Duties or Countervailing Duties may be imposed on any import of dumped goods or subsidized goods from the exporting country;

(3) If several exporters or producers as intended in paragraph (1) come from more than one country, antidumping duties or countervailing duties may be imposed on any import of dumped goods or subsidized goods from several exporters or producers or relevant exporting countries.

Article 29

(1) Based on the decree of the Minister of Finance as intended in Article 27, importers of dumped goods or subsidized goods may request the Directorate General of Customs and Excise to decide and reimburse overpaid provisional Antidumping Duties or provisional Countervailing Duties on goods imported before the stipulation date of the decision of the Minister of Finance;

(2) The reimbursement of the overpaid provisional antidumping duties or provisional countervailing duties as intended in paragraph (1) shall be done no later than ninety days starting the date the Directorate General of Customs and Excise.

Article 30

(1) Importers may file applications for reimbursement of overpaid antidumping duties or countervailing duties on goods they have imported after the Minister of Finance issues the decision as intended in Article 27 to the Director General of Customs and Excise;

(2) The applications for reimbursement of the overpayment as intended in paragraph (1) may be approved if:

• a. there is evidence approved by the Minister of Industry and Trade that the actual amount of Dumping Margins or Net Subsidies is less than that of the said Antidumping Duties or Countervailing Duties; or
• b. importers already pay Antidumping Duties or Countervailing Duties according to the decision of the Minister of Finance.

(3) The reimbursement of the overpayment as intended in paragraph (1) shall be done no later than ninety days after it is decided by the Director General of Customs and Excise.

Article 31

(1) Antidumping Duties or Countervailing Duties shall be imposed starting determined by the Minister of Finance as intended in Article 27 and be valid for a maximum of five years after the stipulation date of the final decision on the imposition or review of antidumping duties or countervailing duties;

(2) If Provisional Measures are already imposed as intended in Article 17, the imposition of antidumping duties or countervailing duties as intended in paragraph (1) may be made retroactive to the date the provisional measures are imposed;

(3) Only the imposition of Antidumping Duties or Countervailing Duties based on the Injury as intended in Article 1 paragraphs 11 a and b may be made retroactive as intended in paragraph (2) as long as potential Injury turn into injury without Provisional Measures;

(4) It is found that:

• a. relevant goods were once imported as Dumped Goods or exporters have so far exported dumped goods that may cause injury; and
• b. the injury is caused by Dumped Goods imported in huge quantities at a relatively short time that may have an impact on the effective imposition of antidumping duties to prevent the injury; the imposition of Antidumping Duties may be made retroactive to the date the antidumping duties begin to take effect not more than 90 (ninety) days before the Provisional Measures are imposed.

(5) It is found that the Injury is caused by Subsidized Goods imported in huge quantities at a relatively short time that may have an impact on the effective imposition of countervailing duties to prevent the injury, the imposition of countervailing duties may be made retroactive to the date the countervailing duties begin to take effect not more than ninety days before the provisional measures are imposed;

(6) The imposition of antidumping duties or Countervailing Duties based on the Injury as intended in Article 1 paragraphs 11 b and c may not be made retroactive as intended in paragraphs (4) and (5).

Article 32

At the initiative of the Committee or upon the request of interested parties, the imposition of Antidumping Duties or Countervailing Duties as intended in Article 27 may be reviewed twelve months at the earliest after the stipulation date of the decree of the Minister of Finance.

Article 33

Based on the result of the review as intended in Article 32, the Committee may advise the Minister of Industry and Trade to:

• a. discontinue the imposition of Antidumping Duties or Countervailing Duties in the case of evidence that the injury caused by dumped goods or subsidized goods are already eliminated; or
• b. continue the imposition of Antidumping Duties or Countervailing Duties in the case of evidence that the injury caused by dumped goods or subsidized goods still can not be eliminated.

CHAPTER VIII
OTHER PROVISIONS

Article 34

Investigations conducted in conjunction with the imposition of antidumping duties or countervailing duties shall not impede the settlement of customs obligations as a result of the import of relevant goods.

Article 35

Objections to antidumping duties or countervailing duties can be filed to the Appeal Institute as intended in Article 97 of Law No. 10/1995 regarding Customs Affairs.

CHAPTER IX
CLOSING PROVISIONS

Article 36

Further provisions required for the implementation of this Government Regulation shall be laid down by the Minister of Industry and Trade and the Minister of Finance according to their respective fields of task.

Article 37

This Government Regulation shall enter into force on the date of stipulation.

For public cognizance, this Government Regulation shall be promulgated by placing it in the Statute Gazette of the Republic of Indonesia.

Stipulated in Jakarta
On 4 June 1996
THE PRESIDENT OF REPUBLIC OF INDONESIA
Signed,
SOEHARTO