Measures implemented to counteract particular adverse effects of imports in the market of the importing country, including measures aimed at unfair foreign trade practices, contingent upon the fulfilment of certain procedural and substantive requirements.
Measure for contingent trade-protective measures is divided into three categories:
(iii) Safeguard measure
(i) Antidumping measure
A counter measure taken against a dumping action of an exporter. It is considered that dumping takes place when a product is introduced into the commerce of an importing country at less than its normal value, i.e. if the export price of the product exported is less than the comparable price, in the ordinary course of trade, for the like product when destined for consumption in the exporting country.
a. Antidumping Investigation
An investigation initiated either following a complaint by local producers of similar goods or self-initiated by importing country authorities when they have cause to believe that dumping may be materially injurious to national competing producers or third parties' exporters. Provisional duties may be applied during the investigation.
b. Antidumping Duty
Duties levied on certain goods originating from specific trading partner(s) to offset the dumping margin. Duty rates are generally enterprise-specific.
c. Price Undertaking
Undertakings to increase the export price offered by exporters to avoid the imposition of antidumping duties: Under WTO rules, prices can be negotiated for this purpose, but only after the dumping has been proved.
(ii) Countervailing measure
Measures intended to offset any direct or indirect subsidy granted by authorities in the exporting country: These may take the form of countervailing duties or undertakings by the exporting firms or by authorities of the subsidizing country.
(iii) Safeguard measure
a. General (Multilateral) Safeguard
A temporary border measure imposed on imports of a product to prevent or remedy serious injury caused by increased imports of that product and to facilitate adjustment. A country may take a "safeguard" action (i.e., temporarily suspend multilateral concessions) in respect of imports of a product from all sources.
i. Safeguard Investigation
An investigation conducted by the importing country authorities to determine whether the goods in question are being imported in such increased quantities and under such conditions as to cause or threaten to cause serious injury to national producers of like or directly competitive products.
ii. Safeguard Duty
A temporary duty levied on imports of a particular product to prevent or remedy serious injury from increased imports (as established in an investigation) and to facilitate adjustment. Where the expected duration of the measure is more than one year, it must be progressively liberalized during the period of application.
iii. Safeguard Quantitative Restrictions
A temporary quantitative restriction on imports of a particular product, to prevent or remedy serious injury from increased imports (as established in an investigation) and to facilitate adjustment.
iv. Safeguard Measure, Other Form
A safeguard measure in a form other than a duty or quantitative restriction (which could include measures combining duties and quantitative elements), applied to prevent or remedy serious injury from increased imports (as established in an investigation) and to facilitate adjustment.
b. Agricultural Special Safeguard
Agricultural special safeguard allows the imposition of an additional tariff in response to a surge in imports or a fall in import prices.
i. Volume-Based Agriculture Special Safeguard
An additional duty may be applied if the volume of imports of designated agricultural product exceeds a defined trigger quantity.
ii. Price-Based Agriculture Special Safeguard
An additional duty may be applied if the import price of a designated agricultural product falls below defined trigger price.
c. Safeguard Not Elsewhere Specified
This category could include, e.g., special safeguard mechanisms applicable to imports of a product under regional trade arrangements, protocols of accession, or other agreements.