A new decision on 2024 anti dumping measure against Germany and Sweden has been taken by the Turkish Ministry of Trade. This paper provides a brief outline of the latest developments on the subject matter.
What does “dumping” mean in trade?
Generally speaking, “dumping” refers to a situation in which the export price of a goods is lower than market price of the same goods in the exporting country. Nonetheless, even the definition of dumping presents significant challenges for even legal practitioners including anti dumping lawyers.
Regarding an embracing analysis of current customs regime, see our articles on
Export Customs Regime in Turkey
What does dumping mean in foreign trade?
International community produces different types of definitions for the word dumping. It is particularly significant to consider what is meant by dumping. According to the World Trade Organization, dumping is the sale or import of a particular product at less than fair value. Technically, this comparison will be made between the export price of a goods and the “normal value” of the equivalent goods in the exporting country. If the export price is lower than the local market price, that product can be considered “dumped”.
With regard to the useful observations about import customs regime of Turkey take a look at our article on Import Customs Regime in Turkey
Which legal conditions are necessary for initiation of Anti Dumping Investigation?
There are three main pre-conditions to initiate anti dumping procedures according to the Turkish legal framework.
- The importation of the relevant product must be a typical example of dumping,
- Dumping should cause material damage / or threat of harm on domestic production,
- Causal link is necessary between this damage or threat and dumped imports.
Therefore, anti-dumping necessarily requires actions and practices implemented by relevant domestic authorities to prevent dumping. Anti-dumping investigations may be carried out by the competent Turkish authorities with the intention of the protection of local manufacturers.
For our work and all legal services on the matter of anti-dumping, please click our “Practice Areas”, titled, Anti Dumping
What are the main legal Instruments applicable to 2024 anti dumping measure in Turkey?
The Law on the Prevention of Unfair Competition of Imports (No: 3577) is the central to the anti-dumping actions and practice. In the Law in question, dumping is defined as ‘export price of a product to Turkey being less than the normal value for the like product’. The Law identifies the rules and principles as regards the procedures to be applied and measures to be taken for purposes of protecting a domestic industry against injury caused by unfair competition practices in imports namely, dumped or subsidized imports.
The Decision on the Prevention of Unfair Competition of Imports and the Regulation on the Prevention of Unfair Competition of Imports are also available online here.
Anti dumping laws should be carefully analyzed in the case of anti dumping investigations first. You may benefit from our updated article on Anti Dumping Investigations in Turkey.
What is the News on 2024 anti dumping measure against Germany and Sweden?
In accordance with Article 3, measures shall be taken in cases where dumped or subsidized imports have caused material injury or threatened to cause material damage to the domestic industry.
A new decision on 2024 anti dumping measures against Germany and Sweden has been made by the Turkish government. The decision concerned necessitates further implementation of previous measures. This procedure will be regulated by a Communiqué on the Prevention of Unfair Competition in Imports published in the Official Gazette on February 7, 2024. The previous anti-dumping measure applied against sodium percarbonate (sodyum perkarbonat in Turkish) will be implemented without any interruption.
The decision is based on the grounds that the harmful risks against domestic production are still going on.
Conclusion
In the final analysis, without benefiting an end-to-end anti dumping consulting service, it is quite challenging to handle investigation procedures and follow-up anti dumping measures in Turkey. What is really important is that there are specific timelines and deadlines for every single legal step. Submission of defense arguments about anti dumping investigations and|or new measures are very critical. Besides, it is noteworthy that companies have a right to lodge a case before administrative courts against anti dumping measures.
In terms of our work on litigation, see practice areas titled “Dispute Resolution and Litigation”
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