Anti Circumvention Investigation: The Sharp Knife For Exporters And The Interests Of Host Governments

Dumping and anti-dumping, evasion and anti circumvention are the games for exporters and host governments to fight for their interests.

In 2006, when the US Department of Commerce was busy trying to deal with the first anti-dumping case of Chinese textiles encountered in the post quota era, the Wuxi Phoenix Painting Co., Ltd., a Chinese enterprise, had already built a factory in Vietnam, and its first export container was on its way to the United States.

Since entering the WTO, many enterprises have come up with all kinds of countermeasures to avoid the high anti dumping duties, which is one of the most commonly used methods after the third country's further processing.

In September this year, the European Union launched an anti circumvention investigation into the situation of "leather Road shoes" in Macao's re export EU market. Many shoe companies are worried about next year's exports. If the survey results are established, footwear products will face the threat of high anti-dumping duties.

This is a conflict of interests. In this process, a long-lasting game between export enterprises and host governments trying to safeguard the interests of domestic industries is launched.

In fact, regardless of the textile industry, footwear enterprises and other export enterprises, although the abolition of quotas, but it does not mean a thorough freedom, can be reckless and massive exports, everything is still in the strict monitoring range.

Therefore, in the post quota era, the use of roundabout means to avoid high taxes will be closely watched and anti circumvention.

Special rules of the game. Although there are no provisions for anti circumvention in WTO so far, the United States and the European Union began to formulate corresponding management measures for circumvention of anti-dumping measures in the 8 and 90s of last century.

"Anti circumvention and anti dumping are like shadows, anti circumvention is actually an extension of anti-dumping," Zhang Weicheng, a lawyer of Kyoto law firm in Beijing, told reporters.

In a broad sense, circumvention refers to circumvention, anti subsidy, safeguard measures, special safeguard and anti monopoly. However, nowadays, most countries are aiming at avoiding circumvention measures against anti-dumping.

In the final draft agreement on the anti circumvention code of GATT (Arthur Dunkel) proposed by the coordinator of the general agreement on Uruguay Round negotiations in December 1991 (that is, "Deng Kerr draft"), we can find the definition of circumvention of the concept: "anti dumping circumvention" means that the exporters will be pieced together to zero in the case of anti-dumping measures such as dumping and anti-dumping duties imposed on their products, and export the parts to the importers who take anti-dumping measures, and then sell them after assembly. "Kerr"

When international economic and trade competition intensifies, exporters always try to reduce and avoid levying anti-dumping duties by means of various means.

The main ways of evading enterprises are changing the place of production, assembling the place, making a detour through the deep processing and re exporting the United States or the European Union, changing the form and product value of the product, changing the tax number when exporting the customs, and making the new tax number not applicable to anti-dumping measures.

Nevertheless, since China's accession to the WTO, China has been subjected to more than ten anti circumvention investigations, including 14 European Union products, including Zinc Oxide, loose leaf ring, wire rope and steel cable, iron and steel pipe fittings, loose leaf folder, energy saving fluorescent lamp, silicon metal and tissue paper.

How to deal with the risk of anti circumvention investigation has become a new topic for China's export trade.

Related information: the evasion behavior stipulated in the US Anti circumvention law mainly includes: 1..

It is mainly about the number of parts of the country that the self manufactured products are charged with anti tax avoidance.

2. the act of avoiding evasion in third countries.

The condition is very little increment in the US.

3. small changes in product behavior.

It refers to the behavior of foreign producers in making small changes in the form or appearance of goods in order to circumvent the announced anti-dumping and countervailing duty orders.

4. late development of product evasion.

When the development product belongs to the scope of the existing anti-dumping duty, consider whether the original product is the same or similar in the total physical characteristics, the final purchaser's expectation, the end use, the trade channel, the advertisement and the display, etc.

5. "equivalent to sales of leasing" behavior.

When investigating such evasion behavior, the US Department of Commerce generally considers the following factors: the duration of the lease, the business practices in the industry, and the situation of the paction.

The manufacture of an exporter will only start or rapidly expand its operations in the European Union or third countries before the launch of the anti-dumping investigation or the investigation will take place. The value of the 2. spare parts is: the value of the 2. spare parts: the spare parts or raw materials from the manufactured countries that are subject to anti-dumping duties must be over 60% of the value of all the spare parts used for assembly or production, but if the added value of these spare parts in the assembly process exceeds the 25% of the production cost, they will not be listed as evasive actions. 3. practical consequences: the assembled products are destroying the remedial effect of the anti-dumping duties on similar products in terms of price and quantity. The European Union's anti circumvention law determines the standard of evasion: 1.

We can see that with the increasingly fierce competition in the international market, our competitors will continue to create "different kinds of trade barriers" such as anti circumvention and investigation for export enterprises, and these barriers will not be easy to break through.

When we do not understand and are not familiar with these "rules of the game", enterprises will be in a passive position.

The anti - circumvention measures are far more effective than anti-dumping.

If anti-dumping is still in need of process and time, the simple procedure of anti circumvention is unexpected.

For example, the government of importing countries can make a tax decision without actual investigation, and its implementation probability is higher. As long as the anti circumvention investigation is launched, it is very difficult for export enterprises to evade the fate of the high anti-dumping duty. The tax rate is often calculated according to the highest tax rate specified in the anti-dumping procedure.

In addition, we can not fail to see that due to the existence of the definition of the size of the difference, the beginning time of the avoidance and other uncertainties in the US and European anti circumvention legislation, the law enforcement departments in the country may use anti circumvention measures in accordance with their own interests and use anti circumvention to become their trade protectionist tools.

Zhang Weicheng, a lawyer, said: "anti circumvention is the same as anti dumping. It is a very professional problem. Enterprises need special personnel training to understand the anti circumvention legislation ready for exporting countries, and correctly utilize the export problems of the third countries.

Enterprises should be more legitimate tax avoidance, such as enterprises to third countries for production and processing, and then exported to the European Union, its value-added part of the product price of more than 25%, it can not constitute evasive behavior.

Zhang also said that most of the enterprises in China faced the anti circumvention investigation because they were not familiar with the relevant rules, taking into account the cost of litigation, so they seldom chose to sue.

In fact, if the enterprises believe that the importing countries are using the unfair trade barriers against themselves, they should take the initiative to take the initiative and consider the joint related trading partners actively responding or prosecuting each other.

Of course, it is not easy to avoid the anti circumvention measures with appropriate methods.

For example, when some products involving anti-dumping are processed through the export parts or third countries or in the deep processing of anti-dumping countries, they must conform to the principle of importing countries' substantive changes and value-added products.

And enterprises should pay attention to industry information at any time, so as to avoid certain products being imported by the importing countries.

In fact, we have to face such a situation: the United States, the European Union and other countries are waving anti stick and anti dumping sticks, which will turn large scale global enterprises from one production base to another production base, so that people do not dare to peep at the huge destructive power of these "trade protection policies". The real trade policy that complies with the overall situation of globalization will not be put in place in the short term, and the game between different interests will continue for a long time.

　　WTO后我国所主要遭受的反规避调查案件　　立案时间 立案国家 涉及产品 提起反规避调查原因 成功征税　　2002.12.19 欧盟 草柑膦 经马来西亚转运 是　　2002.12.19 欧盟 氧化锌 经越南转运或与其他货物混装 是　　2003.10.1 欧盟 活页环 经越南转运 是　　2004.2.18 欧盟 钢丝绳和钢缆 经其他国家转运 是　　2004.3.3 欧盟 钢铁管配件 经其他国家转运 是　　2004.3.30 阿根廷 滚珠轴承 经其他国家转运 是　　2004.4.7 欧盟 香豆素 经印度和泰国转运 是　　2004.4.29 欧盟 活页环 经泰国转运 否　　2004.9.10 欧盟 节能荧光灯 经越南、巴基斯坦或菲律宾转运 是　　2005.2.25 美国 石蜡蜡烛 轻微改变/后期开发规则 是　　2005.4.13 欧盟 活页夹 经老挝转运 是　　2005.8.4 欧盟 钢铁管件 经菲律宾转运 是　　2005.8.5 欧盟 氧化锌 经哈萨克斯坦转运 否　　2006.3.29 欧盟 香豆素 经印尼和

Malaysia West pport is 2006.4.20 EU silicon metal pshipment through South Korea is 2006.9.12 American paper. Transshipment through Vietnam and product slight change to be determined 2007.9 months later, EU leather shoes will be re exported via Macao.