House of Representatives

Explanatory Memorandum

Minister for Home Affairs, the Honourable Jason Clare MP

OUTLINE

1. The purpose of this Bill is to amend the Customs Act 1901 (the Customs Act) to finalise the implementation of the Government's reforms to Australia's anti-dumping system announced in June 2011.

2. This Bill implements several aspects of these reforms by:

2.1

amending the provisions dealing with countervailable subsidies to more accurately reflect definitions and operative provisions of the World Trade Organization (WTO) Agreement on Subsidies and Countervailing Measures (ASCM);

2.2

introducing provisions under which the Australian Customs and Border Protection Service (Customs and Border Protection) will, if required, conduct inquiries to address the circumvention of trade measures by exporters or importers of goods which are subject to measures; and

2.3

strengthening the provisions that deal with non-cooperation in anti-dumping investigations, reviews under Division 5 or continuation inquiries.

FINANCIAL IMPACT STATEMENT

3. The Australian Government has provided $10.4 million over the forward estimates to be absorbed by Customs and Border Protection for the implementation of the June 2011 reforms to the anti-dumping system of which this Bill forms part.

REGULATION IMPACT STATEMENT

4. The Explanatory Memorandum of the Customs Amendment (Anti-dumping Improvements) Bill (No. 2) 2011 addresses the regulatory impact of this Bill in section 4 (Regulation Impact Statement).

HUMAN RIGHTS COMPATIBILITY STATEMENT

5. This Human Rights Compatibility Statement was prepared in accordance with Part 3 of the Human Rights (Parliamentary Scrutiny) Act 2011 .

6. This Bill is compatible with the human rights and freedoms recognised or declared in the international instruments listed in the definition of human rights in section 3 of the Human Rights (Parliamentary Scrutiny) Act 2011 .

Overview of the Bill

7. This Bill's purpose is to amend Part XVB of the Customs Act, which deals with the imposition of trade measures in respect of imported goods which are dumped, or subsidised by a countervailable subsidy, the importation of which has caused, or threatens, material injury to Australian industry.

8. This Bill implements aspects of the Government's reforms to Australia's anti-dumping system announced in June 2011. This is the fourth tranche of reforms.

9. This Bill will amend the Customs Act by:

9.1.

amending provisions dealing with countervailable subsidies to more accurately reflect the ASCM;

9.2.

introducing provisions under which the Customs and Border Protection will, if required, conduct inquiries to address the circumvention of trade measures by exporters or importers of goods which are subject to measures; and

9.3.

strengthening the sampling provisions that deal with non-cooperation in anti-dumping investigations, reviews under Division 5 or continuation inquiries; and

9.4.

providing a number of minor amendments to the Customs Act.

Human Rights implications

10. This legislative instrument does not engage, impact on, or limit in any way, the human rights and freedoms recognised or declared in the international instruments listed in the definition of human rights at section 3 of the Human Rights (Parliamentary Scrutiny) Act 2011 .

Conclusion

11. This legislation does not raise any human rights issues.

Minister for Home Affairs