On May 6 2014 Parliament adopted the Law on Anti-dumping and Countervailing Measures (04/L–240), as the previous Law on Anti-dumping and Countervailing Measures (03/L–097) did not fully comply with international practice in the field.

The new law is intended to comply with international practice and set out the rules and procedures for imposing anti-dumping measures on imports that are subject to dumping and countervailing measures in order to protect local industry and national interests. The measures are vital to tackle importers' illegal business practices and to deal with sudden surges in imports that harm the domestic industry.

The law provides that the anti-dumping measures apply to dumped products whose import into and sale in Kosovo causes material damage. Under the law, 'dumped' products are products imported into Kosovo at lower export prices compared to similar products which are intended for consumption under normal market conditions in the exporting country.
The countervailing measures will apply to products which have benefited from government subsidies or subsidies from a public authority of the exporting country or the country of origin, where the import of such products causes or threatens to cause material damage to a local industry.

The authority responsible for investigating dumping, subsidies and the damage caused thereby is the Ministry of Trade and Industry (MTI), supported by a commission comprising representatives of six ministries (including the MTI) and the Kosovo Customs Service. When a concerned party submits a complaint, the MTI will consult with the commission and then issue a decision initiating an investigation. However, in extraordinary circumstances the law allows the MTI to initiate an investigation ex officio. The investigation may take up to one year.

Once the investigation is complete, the MTI can issue:

• a decision imposing anti-dumping or countervailing measures; or
• a public notice on completion of the investigation without the imposition of measures.

Where the MTI imposes provisional anti-dumping and countervailing measures, it can impose final measures, but no later than on the last day of validity of the provisional measures.

The final anti-dumping and countervailing measures cannot exceed the determined dumping or subsidy margin(1) and should be less than this margin if this would suffice to eliminate the damage caused to local industry.

Anti-dumping or countervailing measures should be imposed in respective amounts, and on all imports of the products under the investigation on a non-discriminatory basis. No product may be subject to anti-dumping and countervailing measures at the same time.

Usually, provisional and final measures are applied to products which have already been released for free circulation on the market following the date of the decision. If the final anti-dumping or countervailing measure is higher in value than the provisional measure, the difference cannot be collected retroactively. However, if the final measure is lower in value than the provisional measure, the difference between the two measures should be released.

If the investigation finds that no dumping, subsidisation or damages exist, the provisional measure is not confirmed and the MTI must remove the measure.

Anti-dumping and countervailing measures will remain in force for up to five years from the date of imposition. Such measures may last longer only in extraordinary cases, where a review shows that their expiry of the measures may lead to the continuation of dumping, subsidies and damages.

For further information please contact contact Tringa Bakalli at Boga & Associates by telephone (+381 38 223 152), fax (+381 38 223 153)or email (tbakalli@bogalaw.com).The Boga & Associates website can be accessed atwww.bogalaw.com.

Endnotes
(1) Under Article 21 of the law, the dumping or subsidy margin for imports from each country is equal to or higher than 2% ad valorem for dumping and equal to or higher than 1% ad valorem for subsidy investigations, and the volume of imports from each country is not negligible (1% minimum share of the Kosovo market).

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