When Russia joined the WTO, the number of non-tariff settlement measures for which special duties were introduced increased. They serve to protect many national products from artificially lowering their prices and capturing the market. The politics of this sphere has its own peculiarities, pluses and minuses. The Customs Code governs many issues related to duties. It establishes mandatory fees that must be paid when importing goods into the country.
The concepts
What are special anti-dumping and countervailing duties? These concepts are similar, but have several differences. Both definitions are used in law. Antidumping duty involves the introduction of a customs tariff on imported products, which is necessary to protect the rights of national producers. The duty limits the risk of market capture by foreign suppliers through dumping. The tariff is also introduced after an investigation to identify dumping.
Countervailing duty is the tax used during the introduction of the countervailing measure. It is paid to the customs authorities of the Russian Federation. The measure is designed to neutralize the effects of subsidies of another state on the Russian economy.
Principles of application of duties
Antidumping duty is used for imported products in relation to which dumping is applied. It is appointed when the competent authority confirms the fact of damage or the risk of damage to the economic sphere of the country that arises from the import of goods. It turns out that the anti-dumping duty is paid by importers who import a certain list of goods into the Russian Federation.
How to determine dumping?
A product is sold using dumping when its price during export is less than the normal value. The rate is set for sales transactions on similar products. The damage caused to the economy is established on the basis of the analysis of the volume of goods sold using dumping. The price of the same product manufactured by national companies is also taken into account.
The investigation may take about 6-12 months. If the fact of dumping has been established, then an anti-dumping duty shall be established. Apply it no earlier than 2 months from the date of investigation. The rate is able to compensate losses to the economy. The duty is 4 months. According to exporters, the period is extended to 6 months.
Subtleties of the procedure
It should be borne in mind that if grounds for establishing fees were found, but a low rate was approved, the difference is transferred to the payer. If a high rate is approved, then the payer does not have to pay the difference.
An investigation is terminated when an exporter submits an application for a voluntary review of the value of the goods. The application is rejected if, due to price changes, losses caused to the economy are not covered.
Anti-dumping tax duties are approved individually if the products are not included in the list of goods for which there is a rate. The validity period is determined on the basis of covering the damage to the economy, but it cannot be more than 5 months. When the duration of the duty is 1 year, the exporter may apply for a second investigation.
Countervailing duties
As anti-dumping, countervailing duties are applicable to imported goods, to which a special subsidy is applied by another state.They are used when losses or their threats to the country are identified. A subsidy is income support, which provides benefits and allows you to increase exports from the country. This term implies financial assistance: subsidies, deduction of funds, tax loans.
A specific subsidy is provided to companies, industries, unions. This term implies a subsidy that is assigned to organizations in an unequal amount. Losses for a country are established according to the same rules as dumping damage. This is a reduction or containment of the price of the same product of a national company.
If there is evidence that the economy is at a loss, then prior to the completion of the investigation, a preliminary duty is established for a period of up to 4 months. Maximum duties may be valid for 5 years. Their size is determined by a specific subsidy. Cancellation of the investigation is possible with the voluntary refusal of subsidies, as well as changes in the value of the goods, if this does not cause losses to the economy.
What are the fees paid for?
Damage from dumping is possible for the following areas of the economy:
- agricultural;
- metallurgical;
- chemical;
- food industry;
- engineering.
For example, the rule applies to Chinese tires and bearings, since their price is lower than domestic products. Since 2015, the introduction of anti-dumping duties applies to the following products:
- cars German, Italian, Chinese cars 2.8-3.5 tons;
- enameled baths from China;
- cattle and poultry meat;
- Activated carbon;
- combine harvesters for grain;
- steel tubes;
- bolts and nuts.
The decision to apply such measures to goods is approved by the Commission of the Customs Union.
Duty calculation rules
Duties apply to those products for which customs deductions are levied. They are determined on the basis of the rate established for specific goods. As an example, you can take cast-iron bathtubs, the duty on which is 51.87%. The customs value of all products is 364,860 rubles. The rate is determined as follows: 51.87%: 100% = 0.5187, and the duty is calculated as follows: 364 860 x 0.5187 = 189 252.9.
Advantages and disadvantages of duty
Anti-dumping duties are applied to imported goods in many countries, including Russia. Their popularity is associated with efficiency. The pluses of duties include:
- protection of the rights of Russian manufacturers;
- competent foreign trade policy;
- dumping protection;
- preservation of the country's income;
- protection of many areas.
Fees are approved after investigation. Although they are in demand, they still have disadvantages:
- measures apply only to those products from which customs duty is deducted;
- consumers are limited in their ability to purchase high-quality imported goods due to price increases;
- Now there is no strict definition of dumping and criteria for investigation, which negatively affects the development of international trade.
Countervailing and anti-dumping customs duties are applied by almost the same method. The measures are intended to protect national companies and the country's economy. Fees apply to a specific group of products or to an individual product. Thus it is necessary to conduct an investigation. There are many opinions on this subject, but it is clear that measures to protect against dumping are needed.
