Ministerial Exemption Instrument No. 9 of 2014

Overview

The Customs Tariff (Anti-Dumping) Act 1975 was enacted to provide for the imposition of anti-dumping duties and measures in response to dumped imports that cause injury to Australian industry. This Act allows the Australian government to impose duties on imported goods sold at prices that are less than the normal value, thereby protecting domestic industries from unfair trading practices. The Act was introduced to address the problem of dumping, which occurs when foreign companies export goods to Australia at prices below their fair market value, potentially causing harm to local businesses and workers. Ministerial Exemption Instrument No. 9 of 2014 was issued under the authority of the Customs Tariff (Anti-Dumping) Act 1975 by the Minister for Industry and Science, Ian Macfarlane. This exemption applies to hot rolled plate steel of a specific grade and thickness exported to Australia from China, Korea, Japan, and Indonesia. The exemption was granted following a recommendation by the Commissioner of the Anti-Dumping Commission, based on the conclusion that like or directly competitive goods were not being offered for sale in Australia. The policy objective is to prevent the imposition of anti-dumping duties on these goods, thereby avoiding any potential injury to Australian industry that may result from unfair trading practices.

Scope and Application

The Ministerial Exemption Instrument No. 9 of 2014 under the Customs Tariff (Anti-Dumping) Act 1975 pertains specifically to the exemption of certain goods from anti-dumping and countervailing duties. This instrument applies to plate steel, specifically those that comply with the ASTM International A516-GR70 standard and have a thickness of 105mm or greater, imported from the People’s Republic of China, the Republic of Korea, Japan, and Indonesia. The exemption applies to both interim and definitive dumping duties and interim and definitive countervailing duties for the specified plate steel. The exemption is grounded on the finding that there are no like or directly competitive goods offered for sale in Australia, as confirmed by the Anti-Dumping Commission Report EX0019. The exemption is effective from 15 January 2014, and this instrument was signed by the Minister for Industry and Science, Ian Macfarlane, on 21 January 2015. The scope of the exemption is limited to the specified goods from the listed countries and does not extend to other types of steel or goods not meeting the specified standards and thickness.

Key Provisions

The primary operative sections of the Ministerial Exemption Instrument No. 9 of 2014 under the Customs Tariff (Anti-Dumping) Act 1975 include sections 8(7) and 10(8). These sections allow the Minister for Industry and Science to exempt certain goods from interim dumping duty, dumping duty, interim countervailing duty, and countervailing duty if the Minister is satisfied that like or directly competitive goods are not offered for sale in Australia. Specifically, the exemption applies to plate steel that meets the ASTM International A516-GR70 standard with a thickness of 105mm or greater. This exemption follows the Minister’s consideration of the Anti-Dumping Commission Report EX0019, which detailed the findings on alleged dumping and subsidisation of hot rolled plate steel from China, Korea, Japan, and Indonesia. The Act imposes specific obligations on the Minister for Industry and Science, including the requirement to review the recommendations and evidence presented by the Anti-Dumping Commission. This involves examining the material findings of fact and the evidence supporting those findings, as outlined in the Anti-Dumping Commission Report EX0019. The Minister must be satisfied that like or directly competitive goods are not being sold in Australia before issuing the exemption. Additionally, the Minister must issue the exemption instrument within a specified timeframe, which in this case, is evidenced by the date of the instrument, 21 January 2015. Breaches of the provisions of the Customs Tariff (Anti-Dumping) Act 1975 can result in significant penalties. While the specific Act does not outline penalties within the Ministerial Exemption Instrument, the broader Customs Tariff (Anti-Dumping) Act provides for both civil and criminal penalties. Civil penalties may include fines up to 10,000 penalty units or imprisonment for up to five years for individuals, and up to 50,000 penalty units for companies, in cases of wilful contravention. Criminal penalties may also apply, where the court may impose fines and imprisonment for individuals and companies found guilty of serious offences under the Act. The Act's provisions ensure compliance and deterrence against non-compliance with anti-dumping measures.