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What is dumping? |
Goods are dumped if their export price when imported into Egypt is less than their normal value in the country of export in the ordinary course of trade.
The export price is the price the importer in Egypt pays for the goods.
The normal value is the price the goods sell for in the country of export.
There has to be a fair comparison of export price and normal value. This means they must be compared at the same level of trade and for sales made at as nearly as possible the same time. The comparison is normally made at the ex-factory level in the country of export. Adjustments can be made for differences in terms and conditions of sale, levels of trade, taxation, quantities, physical characteristics, and any other differences that affect price comparability.
If there are no domestic sales in the country of export that can be used to determine a normal value, constructed values or sales made to a third country can be used.
If the export price is less than the normal value (after adjustments have been made to ensure the price comparison is fair) then dumping has occurred.
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Is dumping illegal? |
Dumping is not illegal, and can be beneficial to both the exporting and importing countries. However, remedial duties can be imposed if dumping materially injures or threatens to injure an Egyptian industry. These duties can only be imposed after a formal investigation.
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Egyptian Legislation |
Procedures for carrying out an investigation are set down in Ministerial Decree No. 549/1998 issuing the Executive Regulation of Law No. 161 of 1998 on the Protection of the National Economy From Injurious Effects of Unfair Practices in International Trade (hereinafter referred to as ‘the Regulation’).
The Regulation meets Egypt's obligations under the WTO Anti-Dumping Agreement. It is administered by the Anti-Dumping, Subsidy and Safeguard Department of the Ministry. The Regulation is designed to maintain fair competition for Egyptian producers when the dumping of imported goods causes or threatens to cause material injury to their industry.
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How do I apply for an investigation? |
An application is made in writing following the guidelines in the Department's Complainant Application Form. The complaint form assists the Department in establishing whether a case exists for a full investigation.
The Department requires evidence of the necessary level of support for the application, sufficient evidence both that dumping is occurring, and that the domestic industry is being injured.
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What might prevent the initiation of an investigation? |
An investigation may not be initiated if:
• there is insufficient evidence of dumping
• there is insufficient evidence of injury to the Egyptian industry caused by dumping
• import volumes are too small
• dumping margins are too small.
Also, an investigation would not be initiated if there was insufficient support (when required) from domestic producers. For any of the same reasons an investigation could be terminated after it has been initiated.
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Is help available to prepare the application document? |
The Department can offer advice on preparing the application for an investigation. It will answer any questions relating to dumping. Contact details can be found in the Complainant Application form.
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How is confidential information handled? |
A successful application to investigate dumping requires specific information from Egyptian producers. However, some producers may have concerns about sharing this information with competitors in the industry. There are two solutions for this situation. The material can be combined in confidence by a third party, or the Department can combine the information. The regulation also requires parties who submit confidential information to submit a non-confidential version. Interested parties to the investigation are allowed access to any non-confidential information used in the investigation and which is relevant to the presentation of their case.
The Department operates a Public File for each investigation, which is available to interested parties during the course of the investigation at the Department’s premises in Cairo.
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Who will consider the application? |
The application will be processed and considered by the International Trade Policy Department of the Ministry of Foreign Trade and Industry in Cairo. Official correspondence related to the application and any subsequent investigation should be addressed to the Under Secretary of the International Trade Policy Department. Mail contact details and an email address can be found below. The Minister of Foreign Trade and Industry is responsible for making final decisions and imposing duties (when found to be necessary).
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What can be done if dumping is causing injury? |
Provisional duties can be imposed from 60 days after initiation of the investigation if the necessary conditions are met. An anti-dumping duty can be imposed on the imported goods following a final determination, at which point any provisional duties cease to take effect.
The rate of the duty cannot be more than the difference between the normal value of the goods and their export price.
The final duties apply from the day after the approval of the Minister's final determination. In special circumstances there is also provision for anti-dumping duties to be applied as far back as the date of initiation. The anti-dumping duties apply for five years, unless a review establishes a need to continue them so that injury does not recur.
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How is the investigation carried out? |
1. Initiation
When an application is received by the Department, it is first checked to ensure it is a properly documented application. Following the its receipt of the application you will be advised within 7 working days by the Department whether or not it meets these requirements. If it is accepted as a properly documented application, the Department will then notify the government of the exporting country that an application is being considered.
The evidence in the application is then checked to establish whether there is sufficient evidence to justify initiation of an investigation. During this checking you may be asked to clarify the information you have provided. The Department may also take into account other information available to it in order to check the accuracy and adequacy of the information you have provided. The Investigating Authority will make these checks within 30 days of registering the application.
The Investigating Authority then submits a preliminary report to the Advisory Committee with a recommendation to reject the application or to initiate an investigation. The Advisory Committee then submits its recommendation to the Minister of Foreign Trade and Industry within 10 days of the date of receiving the report from the Investigating Authority.
If the Minister of Foreign Trade and Industry approves the initiation of the investigation, a public notice of initiation of the investigation is then published in the Official Gazette, and the Investigating Authority sends a copy of this notice, together with non-confidential copies of the complaint/s and questionnaires to members of the applicant's industry, to the embassies of the countries concerned and known producers/exporters and importers.
2. Investigation
A full investigation involves thorough checking of the evidence in the application document, and extensive gathering of industry and trade data to establish whether dumping is causing injury.
3. Actions
If there is reasonable evidence of injury from dumping, provisional measures can be imposed by the Minister in as little as 60 days from the date an investigation was started. These measures are used to prevent further injury from occurring during the remaining period of the investigation.
The next step is informing all interested parties of the facts and conclusions likely to form the basis for any final determination. The Investigating Authority does this by providing all interested parties with an Essential Facts and Conclusions Report. This gives interested parties an opportunity to comment. The Essential Facts and Conclusions Report provides parties with the draft result of the investigation; however, submissions received in response to it are taken into consideration when the final determination for the investigation is made.
Normally within 360 days of the initiation of an investigation, the Minister of Foreign Trade and Industry must make a final determination of whether or not the dumping of imports is causing injury to the domestic industry and if so, what anti-dumping duties will be applied.
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Where to Send Your Application (postal address) |
The Undersecretary
International Trade Policies Department
Trade Agreements Sector
Ministry of Foreign Trade and Industry
Extension of Ramsis Street, Nasr City
Behind Ministry of Finance Tower
Tower 6, 7th Floor
Cairo, EGYPT
Contact Information
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Telephone: |
02-XXX XXXX |
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Facsimile: |
02-XXXXXXXX |
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Email: |
XXXXXXXXXXXXXX |
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