Customs Act 1901

PART XVB - SPECIAL PROVISIONS RELATING TO TRADE REMEDIES  

Division 6B - Safeguard inquiries  

SECTION 269ZHGC   ESTABLISHING A SAFEGUARD INQUIRY  
Minister ' s referral power

269ZHGC(1)    
The Minister may refer a matter to the Commissioner for the Commissioner to conduct a safeguard inquiry in relation to the matter.

269ZHGC(2)    
In referring a matter to the Commissioner, the Minister may, for the purpose of ensuring the inquiry is conducted in the manner appropriate to that inquiry and consistent with the Safeguards Agreement, do any or all of the following:

(a)    require the Commissioner to hold hearings for the purposes of the inquiry;

(b)    specify a period within which the Commissioner must submit the Commissioner ' s report on the inquiry to the Minister;

(c)    require the Commissioner to make a draft report available to the public during an inquiry;

(d)    require the Commissioner to make a recommendation in relation to the matter.

Note:

If the Minister does not include a requirement in accordance with paragraph (d) when referring a matter then the Commissioner cannot make any recommendations in relation to the matter.


269ZHGC(3)    
The Commissioner must comply with a requirement under subsection (2) .

Recommendation types and duration

269ZHGC(4)    
If the Commissioner is required to make a recommendation in relation to the matter in accordance with paragraph (2)(d) , the recommendation must:

(a)    consist of one or more of the following:


(i) a safeguard measure should apply;

(ii) a safeguard measure should not apply;

(iii) a provisional safeguard measure should apply;

(iv) a provisional safeguard measure should not apply;

(v) an existing safeguard measure should be extended for a specified period of 1 year or less;

(vi) an existing safeguard measure should be extended for a specified period of more than 1 year and less than 4 years, and reviewed at regular intervals;

(vii) an existing safeguard measure should not be extended; and

(b)    if the recommendation consists of a measure referred to in subparagraph (a)(i) or (iii) - include a recommended duration for the measure that does not exceed:


(i) for a measure referred to in subparagraph (a)(i) - 4 years; or

(ii) for a measure referred to in subparagraph (a)(iii) - 200 days.


Preconditions for positive recommendations

269ZHGC(5)    
Before making a recommendation in relation to the matter that consists of a measure referred to in subparagraph (4)(a)(i) , (iii) , (v) or (vi) , the Commissioner must:

(a)    be satisfied there has been an increase in importation of goods to which the matter relates as a result of unforeseen developments that is causing serious injury, or threatening to cause serious injury, to a like Australian industry for the goods, having regard to all relevant evidence of an objective and quantifiable nature having a bearing on the situation of that industry including (but not limited to) the following:


(i) the rate and amount of the increase in imports of the goods to which the matter relates;

(ii) the share of the domestic market represented by those increased imports;

(iii) changes in the level of sales, production, productivity, capacity utilisation, profits and losses, and employment; and

(b)    have regard to whether the recommendation is in the public interest.

269ZHGC(6)    
The Commissioner must not make a finding of a serious injury, or a threat of serious injury, to a like Australian industry for the goods to which the matter relates, in accordance with paragraph (5)(a) unless, on the basis of the evidence referred to in that paragraph, the Commissioner is satisfied that there is a causal link between the increased import of the goods referred to in that paragraph and the serious injury or threat of serious injury.

269ZHGC(7)    
For the purposes of subsection (6) , if factors other than increased imports are causing injury to the like Australian industry at the same time, such injury must not be attributed to the increased imports.

Public interest considerations

269ZHGC(8)    
For the purposes of paragraph (5)(b) , the Commissioner must take into account the following when considering whether a recommendation in relation to a matter is in the public interest:

(a)    the benefits to the like Australian industry for the goods to which the matter relates in removing that serious injury;

(b)    the economic significance of industries in Australia affected by the importation of goods to which the matter relates;

(c)    the likely impact of the recommendation on the Australian economy, downstream industries, and consumers;

(d)    any other thing required by the Minister when referring the matter under subsection (2) .

Other matters

269ZHGC(9)    
The Commissioner must make a written report to the Minister on the inquiry unless the Minister withdraws the reference to the Commissioner.

269ZHGC(10)    
The Minister may withdraw or amend the reference at any time before the Minister has received the report on the inquiry from the Commissioner.




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