•   Prima Facie Determination

The DTI-BIS or DA, upon acceptance of the properly documented protest/application, has five (5) working days from acceptance of the properly documented application and upon receipt of the certification that the applicant has posted the applicable surety bond, to decide whether the facts would constitute a dumping case. In its determination, the DTI-BIS or DA undertakes an in-depth evaluation of the data submitted or provided, together with any other information obtained independently.

The following information are to be provided when applying for the levy of anti-dumping duty:

- volume of the domestic production of the producers making the application;

- description of the alleged dumped product;

- names of the exporting countries, each known exporter or foreign producer, and a list of the importers of the products; and

- information on dumping:

     + prices at which the product is sold in the domestic market of the exporting country, and export prices;

     + injury and causality;

     + volume of dumped imports; and

     + adverse effects of such imports on domestic prices and on the domestic industries.

The investigation will not be initiated if (a) there was insufficient support from domestic producers; (b) insufficient evidence of injury; (c) volume of dumped imports is less than 3% of total Philippine imports; and (d) dumping margin is less than 2% of export price.

•   Preliminary Determination

Once a prima facie case has been established, DTI-BIS or DA initiates the preliminary determination. Before proceeding to initiate an investigation, the DTI or DA Secretary notifies the government of the country of export or origin about the impending dumping investigation.

Within two (2) days from the initiation of the investigation, the DTI-BIS or DA notifies all known interested parties about the initiation of the investigation and sends a proforma respondent’s questionnaire to all the interested parties (the importer/s, exporter/s and foreign producer/s). The notice of initiation is also published in two (2) newspapers of general circulation

Not later than thirty (30) working days from receipt of the answer of the respondents and other interested parties, the Secretary shall make a preliminary determination of the need for the imposition of a provisional anti-dumping duty on the basis of the application, the answer of the respondents, and the respective supporting documents or information. If the respondents fail to cooperate or did not provide the necessary information within the prescribed period, a decision may be based on the available pertinent data.  

The Secretary of DTI or DA shall immediately terminate the anti-dumping investigation upon finding that:

- the margin of dumping is de minimis, i.e., less than two percent (2%) of the export price; or

- the volume of imports from a particular country is less than three percent (3%) of all imports of like products. However, this rule does not apply when countries with individual shares of less than 3% collectively account for more than 7% of imports of the product under investigation; or

- the injury is negligible.

•    Application of Provisional Measures

Provisional measures may take the form of a cash bond equal to the estimated difference between the normal value and export price of the allegedly dumped product.  This may only be imposed sixty (60) days after the initiation of the investigation and after a preliminary affirmative determination of the existence of dumping and injury is reached, i.e. it is established that the dumped products have caused, or threatened material injury to the domestic industry producing like products.  The provisional measure is a temporary relief to the affected domestic industry to prevent or deter further injury during the formal investigation.  Shipments will only be released after the importer puts up or deposits an anti-dumping bond.  The provisional measure will only be imposed for a four (4) month period or in case of a lower duty (less than the difference between the normal value and export price) for a period of six (6) months.

•   Final Determination

Within three (3) working days from the receipt of the advice that a PRELIMINARY DETERMINATION of dumping was found to exist and together with the pertinent records from the Secretary that the protest merits formal inquiry to determine dumping, the Tariff Commission fully investigates the alleged dumping, material injury and causal link, and make a FINAL DETERMINATION within one hundred twenty (120) days from receipt of the case records.

During the investigation, the Commission visits the protestant in order to verify information provided in the application and in any subsequent submission.  Protestant should, therefore, retain worksheets supporting all data submitted for Commission’s consideration.  In addition, the Commission will send questionnaires to the other interested parties, domestic and foreign.  The Commission may also conduct an onsite investigation of the exporter/foreign producer. Detailed information will be requested from the domestic manufacturers supporting the protest as well as from other interested parties.

The Commission also receives representations and holds consultations.  It is important to note that during the consultations conducted by the Commission, it is the responsibility of the protestant(s) to prove its injury allegations.  For this purpose, Protestants usually retain the services of counsel with expertise in anti-dumping.

Before making its final determination, the Commission informs all the interested parties in writing of the essential facts under consideration which form the basis for the decision.  The parties are given sufficient time to comment and defend their interest.

The Commission shall submit its finding to the DTI/DA Secretary.  It shall also give notice to interested parties of such findings submitted to the Secretary.

•   Issuance of Department Order/ Imposition of the Duty

The DTI or DA Secretary shall, within ten (10) days from receipt of the affirmative final determination by the Commission, issue a Department Order imposing an anti-dumping duty on the dumped product, unless he has earlier accepted an undertaking from the foreign exporter to increase prices or cease exportation at dumped prices. 

He shall furnish the Secretary of Finance with the copy of the Order and request the latter to direct the Commissioner of Customs to cause the dumping duty to be levied in addition to any other duties on such products and on like products subsequently imported from the specific exporter from the country of export.  The rate of the duty cannot be more than the difference between the normal value and the export price of the goods under consideration.  The duties apply for five (5) years unless a review establishes a need to continue them so that injury does not recur.

The Order of the Secretary shall be published in two (2) newspapers of general circulation.  The parties litigants, the Tariff Commission, the Bureau of Customs and other proper government agencies shall be furnished with a copy of the decision.

In case of a negative finding by the Commission, either Secretary shall issue, through the Secretary of Finance, after the lapse of the period for the petitioner to appeal to the Court of Tax Appeals, an Order for the Commissioner of Customs to immediately release the anti-dumping bond to the importer. In addition, all the parties concerned shall also be properly notified of the dismissal of the case.

Source: Tariff Commission