A new decision on 2024 Anti Dumping Investigation against China, Chinese Taiwan, India, South Korea, Russia, and Thailand has been taken by the Turkish Ministry of Trade. This paper will present a brief outline of the latest developments on the subject matter.

What is meant by dumping?

Generally speaking, “dumping” means a situation in which the export price of a goods is lower than market price of the same goods in the exporting country. Dumping is accepted to happen when a company originating from a different country exports a product into the receiver country at a price lower than in the receiver country’s market.It is noteworthy to underline that even the definition of dumping presents significant challenges for even legal practitioners including anti dumping lawyers.

Regarding a comprehensive analysis of current customs regime, see our articles on

Customs Duties in Turkey

Customs Clearances in Turkey

Export Customs Regime in Turkey

What is meant by dumping in foreign trade?

International community produces different types of definitions for the word dumping. It is particularly significant to consider what is meant by dumping. According to the World Trade Organization, dumping is the sale or import of a particular product at less than fair value. Technically, this comparison will be made between the export price of a goods and the “normal value” of the equivalent goods in the exporting country. If the export price is lower than the local market price, that product can be considered “dumped”.

With regard to the useful observations about import customs regime of Turkey take a look at our article on Import Customs Regime in Turkey

What is an example of foreign dumping?

If any company from Saudi Arabia sell cotton to the Turkey with a price lower than the same product’s domestic price and this difference causes material damage and|or at least threat of damage on domestic production, this is a foreign dumping. 

Which are legal grounds for the initiation of anti dumping Investigation?

There are four main pre-conditions to initiate an anti dumping investigation pursuant to the Turkish legal system:

What are the four pre-conditions of initiating an anti dumping investigation in Turkey?

The importation of the relevant product into the country can be regarded as a typical example of dumping,

There must a proof and complaint that dumping should cause material damage and|or at least threat of harm on domestic production,

There must be a causal link between this damage or threat and  dumped imports

The applicant should be considered as a capacity of representing local producers in the relevant sector.

It necessarily follows that anti-dumping measures necessarily require actions and practices implemented by relevant domestic authorities to prevent dumping with a view to protecting domestic producers. Indeed, anti-dumping investigations may be carried out by the competent Turkish authorities with the intention of the protection of local manufacturers.

For our work and all legal services on the matter of anti-dumping, please click our “Practice Areas”, titled, Anti Dumping

What are main legal instruments applicable to anti dumping measures in Turkey?

The Law on the Prevention of Unfair Competition of Imports (No: 3577) applies to anti-dumping actions and practice. Dumping is defined as ‘export price of a product to Turkey being less than the normal value for the like product’. The Law stipulates the rules and principles as regards the procedures to be applied and measures to be taken for purposes of protecting a domestic industry against injury caused by unfair competition practices in imports namely, dumped or subsidized imports.

The Decision on the Prevention of Unfair Competition of Imports and the Regulation on the Prevention of Unfair Competition of Imports are also available online here.

Absorbing and understanding anti-dumping legislation play a significant role upon escaping severe financial measures by competent national authorities. Accordingly, anti dumping laws should be carefully analyzed in the case of anti dumping investigations first. You may benefit from our updated article on Anti Dumping Investigations in Turkey.

 What is the News on 2024 anti dumping Investigation against China, Chinese Taiwan, India, South Korea, Russia and Thailand

According to Article 3, measures shall be taken in cases where dumped or subsidized imports have caused material injury or threatened to cause material damage to the domestic industry.

A decision on 2024 anti dumping investigation against China, Chinese Taiwan, India, South Korea, Russia and Thailand has been made by the Turkish government. The decision concerned necessitates the implementation of an effective investigation process.

This procedure will be regulated by a Communiqué on the Prevention of Unfair Competition in Imports published in the Official Gazette on May 14, 2024. Critical process has started after the announcement of this investigation in the Official Gazette dated May 14, 2024. The product. On 14 May 2024, the Turkish Ministry of Trade initiated an anti-dumping investigation regarding POLYSTYRENE products classified under HS Codes 3903.19.00.00.00 and 3903.90.90.00.00 originating from China, Taiwan, India, South Korea, Russia and Thailand. It is of great importance for local companies to closely monitor the implementation of the measure process and to submit the technical file containing the requested detailed information, documents, and defenses to the relevant Turkish Authorities in a timely and complete manner.

What is the objective and scope of 2024 New investigation against China, Chinese Taiwan, India, South Korea, Russia and Thailand

The purpose of this Communiqué is to start a comprehensive investigation due to a complaint by the domestic producer Aschem Petrokimya Sanayi A.Ş. and by Dioki Petrokimya Sanayi A.Ş.

Who is in charge of performing 2024 investigation against China, Chinese Taiwan, India, South Korea, Russia and Thailand

The Directorate General of Imports of the Ministry of Trade is given the main mandate to carry out the 2024 Investigation against China, Chinese Taiwan, India, South Korea, Russia and Thailand under Article 11 of the Communiqué.

What is the potential result of any ignorance against the investigation?

According to Article 26 of the Regulation on the Prevention of Unfair Competition in Imports published in the Official Gazette dated 30/10/1999 and numbered 23861, if one of the relevant parties fail to provide the necessary information and documents within the specified periods and in the requested form, or if it is understood that they obstruct the investigation or provide false or misleading information, the said party shall be deemed not to have cooperated. In such cases, temporary or final determinations within the scope of the investigation can be made based on the available data, whether positive or negative. 

Conclusion  

To sum up, a new 2024 anti dumping investigation process has been started against China, Chinese Taiwan, India, South Korea, Russia, and Thailand. It seems clear that that investigation will have a direct impact upon several companies located in the said countries. There are very critical timeliness and deadlines to submit defense arguments to the Ministry of Trade. In the lack of a full-fledged anti dumping consultation, severe commercial sanctions may be applicable by the Ministry of Trade in Turkey. If relevant party does not provide ne

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