The Trade Remedies (Amendment) (EU Exit) Regulations 2020

Insertion of regulations 35A (discontinuation review) and 35B (tariff rate quota review)

6.  After regulation 35, insert—

“Discontinuation review

35A.— (1) The TRA may conduct a review to consider whether a definitive safeguarding remedy should be revoked (a “discontinuation review”) where it is satisfied that there is sufficient information indicating that—

(a) there may have been a lasting change of circumstances since the application of the relevant definitive safeguarding remedy; and

(b) as a result, UK producers may no longer be suffering serious injury, or may cease to suffer such injury if the relevant definitive safeguarding remedy is revoked.

(2) The TRA may initiate a discontinuation review on its own initiative.

(3) Where the TRA initiates a discontinuation review, the TRA must—

(a) publish a notice of its decision to initiate that review (a “notice of initiation of a review”) containing the information set out in paragraph 9 of the Schedule; and

(b) notify the Secretary of State and interested parties.

(4) In conducting a discontinuation review, the TRA—

(a) must determine whether—

(i) there has been a lasting change of circumstances since the application of the relevant definitive safeguarding remedy; and

(ii) UK producers have ceased to suffer serious injury or would not suffer such injury if the relevant definitive safeguarding remedy is revoked; and

(b) may take into account any factors that it considers relevant.

(5) Following a discontinuation review, the TRA may determine that the application to goods of a definitive safeguarding remedy subject to review should be—

(a) maintained in accordance with the relevant public notice made under section 13 of the Act; or

(b) revoked.

Tariff rate quota review

35B.— (1) The TRA may conduct a review to consider whether a tariff rate quota to which goods are subject should be varied (a “TRQ review”) where it is satisfied that there is sufficient information indicating that there may have been a change of circumstances (see paragraph (9)) since the application of that tariff rate quota to those goods.

(2) The TRA may initiate a TRQ review—

(a) following the receipt of an application made by or on behalf of an interested party (a “TRQ review application”); or

(b) on its own initiative.

(3) The TRA may reject a TRQ review application if it is made before the end of the period of six months beginning with the conclusion of—

(a) an investigation conducted under Part 5;

(b) a mid-term review;

(c) an extension review; or

(d) the transition review (under Part 9) in respect of the same tariff rate quota.

(4) The TRA may reject a TRQ review application if it is not made via the TRA’s case management system.

(5) Where the TRA initiates a TRQ review, the TRA must—

(a) publish a notice of its decision to initiate a TRQ review (a “notice of initiation of a review”) containing the information set out in paragraph 9 of the Schedule; and

(b) notify the Secretary of State and interested parties.

(6) In conducting a TRQ review, the TRA—

(a) need not make any assessments or determinations under Parts 2 to 4;

(b) must determine whether there has been a change in circumstances (see paragraph (9)) since the application of the relevant tariff rate quota; and

(c) may consider—

(i) whether the amount or allocation of the tariff rate quota is appropriate for domestic market conditions;

(ii) the desirability of maintaining, as far as possible, traditional trade flows;

(iii) any other factors that it considers relevant.

(7) Following a TRQ review, the TRA may determine that the tariff rate quota to which goods are subject should be—

(a) maintained in accordance with the relevant public notice made under section 13 of the Act;

(b) varied; or

(c) where there is sufficient evidence that UK producers have ceased production of those goods, revoked.

(8) The TRA must not vary a tariff rate quota by—

(a) reducing the rate of import duty that apply to goods subject to that quota; or

(b) varying the period for which goods are subject to that quota.

(9) For the purposes of paragraphs (1) and (6)(b), a change of circumstances may, among other things, be—

(a) the fact that the tariff rate quota, or any part of the quota, has been exhausted;

(b) a change in demand for the relevant goods;

(c) the effect of an anti-dumping amount or a countervailing amount being applied to the relevant goods or like goods and directly competitive goods in the United Kingdom;

(d) trade diversion in relation to the imposition of anti-dumping, countervailing, safeguard or other trade measures by a foreign country or territory;

(e) the impact of the tariff rate quota on traditional trade flows;

(f) the fact that imports from a developing country member of the WTO which have been excluded from the application of the tariff rate quota can no longer be excluded under regulation 43 (developing country exception);

(g) the fact that imports from a developing country member of the WTO which have not been excluded from the application of the tariff rate quota should be excluded under regulation 43.”.