                        TITLE 19--CUSTOMS DUTIES
 
                      CHAPTER 4--TARIFF ACT OF 1930
 
           SUBTITLE IV--COUNTERVAILING AND ANTIDUMPING DUTIES
 
               Part I--Imposition of Countervailing Duties
 
Sec. 1671a. Procedures for initiating a countervailing duty 
        investigation
        

(a) Initiation by administering authority

    A countervailing duty investigation shall be initiated whenever the 
administering authority determines, from information available to it, 
that a formal investigation is warranted into the question of whether 
the elements necessary for the imposition of a duty under section 
1671(a) of this title exist.

(b) Initiation by petition

                      (1) Petition requirements

        A countervailing duty proceeding shall be initiated whenever an 
    interested party described in subparagraph (C), (D), (E), (F), or 
    (G) of section 1677(9) of this title files a petition with the 
    administering authority, on behalf of an industry, which alleges the 
    elements necessary for the imposition of the duty imposed by section 
    1671(a) of this title, and which is accompanied by information 
    reasonably available to the petitioner supporting those allegations. 
    The petition may be amended at such time, and upon such conditions, 
    as the administering authority and the Commission may permit.

               (2) Simultaneous filing with Commission

        The petitioner shall file a copy of the petition with the 
    Commission on the same day as it is filed with the administering 
    authority.

      (3) Petition based upon a derogation of an international 
                   undertaking on official export credits

        If the sole basis of a petition filed under paragraph (1) is the 
    derogation of an international undertaking on official export 
    credits, the Administering Authority shall immediately notify the 
    Secretary of the Treasury who shall, in consultation with the 
    Administering Authority, within 5 days after the date on which the 
    administering authority initiates an investigation under subsection 
    (c) of this section, determine the existence and estimated value of 
    the derogation, if any, and shall publish such determination in the 
    Federal Register.

                (4) Action with respect to petitions

        (A) Notification of governments

            Upon receipt of a petition filed under paragraph (1), the 
        administering authority shall--
                (i) notify the government of any exporting country named 
            in the petition by delivering a public version of the 
            petition to an appropriate representative of such country; 
            and
                (ii) provide the government of any exporting country 
            named in the petition that is a Subsidies Agreement country 
            an opportunity for consultations with respect to the 
            petition.

        (B) Acceptance of communications

            The administering authority shall not accept any unsolicited 
        oral or written communication from any person other than an 
        interested party described in section 1677(9)(C), (D), (E), (F), 
        or (G) of this title before the administering authority makes 
        its decision whether to initiate an investigation, except as 
        provided in subparagraph (A)(ii) and subsection (c)(4)(D) of 
        this section, and except for inquiries regarding the status of 
        the administering authority's consideration of the petition.

        (C) Nondisclosure of certain information

            The administering authority and the Commission shall not 
        disclose information with regard to any draft petition submitted 
        for review and comment before it is filed under paragraph (1).

(c) Petition determination

                           (1) In general

        (A) Time for initial determination

            Except as provided in subparagraph (B), within 20 days after 
        the date on which a petition is filed under subsection (b) of 
        this section, the administering authority shall--
                (i) after examining, on the basis of sources readily 
            available to the administering authority, the accuracy and 
            adequacy of the evidence provided in the petition, determine 
            whether the petition alleges the elements necessary for the 
            imposition of a duty under section 1671(a) of this title and 
            contains information reasonably available to the petitioner 
            supporting the allegations, and
                (ii) determine if the petition has been filed by or on 
            behalf of the industry.

        (B) Extension of time

            In any case in which the administering authority is required 
        to poll or otherwise determine support for the petition by the 
        industry under paragraph (4)(D), the administering authority 
        may, in exceptional circumstances, apply subparagraph (A) by 
        substituting ``a maximum of 40 days'' for ``20 days''.

        (C) Time limits where petition involves same merchandise as an 
                order that has been revoked

            If a petition is filed under this section with respect to 
        merchandise that was the subject merchandise of--
                (i) a countervailing duty order that was revoked under 
            section 1675(d) of this title in the 24 months preceding the 
            date the petition is filed, or
                (ii) a suspended investigation that was terminated under 
            section 1675(d) of this title in the 24 months preceding the 
            date the petition is filed,

        the administering authority and the Commission shall, to the 
        maximum extent practicable, expedite any investigation initiated 
        under this section with respect to the petition.

                   (2) Affirmative determinations

        If the determinations under clauses (i) and (ii) of paragraph 
    (1)(A) are affirmative, the administering authority shall initiate 
    an investigation to determine whether a countervailable subsidy is 
    being provided with respect to the subject merchandise.

                     (3) Negative determinations

        If the determination under clause (i) or (ii) of paragraph 
    (1)(A) is negative, the administering authority shall dismiss the 
    petition, terminate the proceeding, and notify the petitioner in 
    writing of the reasons for the determination.

                (4) Determination of industry support

        (A) General rule

            For purposes of this subsection, the administering authority 
        shall determine that the petition has been filed by or on behalf 
        of the industry, if--
                (i) the domestic producers or workers who support the 
            petition account for at least 25 percent of the total 
            production of the domestic like product, and
                (ii) the domestic producers or workers who support the 
            petition account for more than 50 percent of the production 
            of the domestic like product produced by that portion of the 
            industry expressing support for or opposition to the 
            petition.

        (B) Certain positions disregarded

            (i) Producers related to foreign producers

                In determining industry support under subparagraph (A), 
            the administering authority shall disregard the position of 
            domestic producers who oppose the petition, if such 
            producers are related to foreign producers, as defined in 
            section 1677(4)(B)(ii) of this title, unless such domestic 
            producers demonstrate that their interests as domestic 
            producers would be adversely affected by the imposition of a 
            countervailing duty order.
            (ii) Producers who are importers

                The administering authority may disregard the position 
            of domestic producers of a domestic like product who are 
            importers of the subject merchandise.

        (C) Special rule for regional industries

            If the petition alleges that the industry is a regional 
        industry, the administering authority shall determine whether 
        the petition has been filed by or on behalf of the industry by 
        applying subparagraph (A) on the basis of production in the 
        region.

        (D) Polling the industry

            If the petition does not establish support of domestic 
        producers or workers accounting for more than 50 percent of the 
        total production of the domestic like product, the administering 
        authority shall--
                (i) poll the industry or rely on other information in 
            order to determine if there is support for the petition as 
            required by subparagraph (A), or
                (ii) if there is a large number of producers in the 
            industry, the administering authority may determine industry 
            support for the petition by using any statistically valid 
            sampling method to poll the industry.

        (E) Comments by interested parties

            Before the administering authority makes a determination 
        with respect to initiating an investigation, any person who 
        would qualify as an interested party under section 1677(9) of 
        this title if an investigation were initiated, may submit 
        comments or information on the issue of industry support. After 
        the administering authority makes a determination with respect 
        to initiating an investigation, the determination regarding 
        industry support shall not be reconsidered.

            (5) ``Domestic producers or workers'' defined

        For purposes of this subsection, the term ``domestic producers 
    or workers'' means those interested parties who are eligible to file 
    a petition under subsection (b)(1) of this section.

(d) Notification to Commission of determination

    The administering authority shall--
        (1) notify the Commission immediately of any determination it 
    makes under subsection (a) or (c) of this section, and
        (2) if the determination is affirmative, make available to the 
    Commission such information as it may have relating to the matter 
    under investigation, under such procedures as the administering 
    authority and the Commission may establish to prevent disclosure, 
    other than with the consent of the party providing it or under 
    protective order, of any information to which confidential treatment 
    has been given by the administering authority.

(e) Information regarding critical circumstances

    If, at any time after the initiation of an investigation under this 
part, the administering authority finds a reasonable basis to suspect 
that the alleged countervailable subsidy is inconsistent with the 
Subsidies Agreement, the administering authority may request the 
Commissioner of Customs to compile information on an expedited basis 
regarding entries of the subject merchandise. Upon receiving such 
request, the Commissioner of Customs shall collect information regarding 
the volume and value of entries of the subject merchandise and shall 
transmit such information to the administering authority at such times 
as the administering authority shall direct (at least once every 30 
days), until a final determination is made under section 1671d(a) of 
this title, the investigation is terminated, or the administering 
authority withdraws the request.

(June 17, 1930, ch. 497, title VII, Sec. 702, as added Pub. L. 96-39, 
title I, Sec. 101, July 26, 1979, 93 Stat. 151; amended Pub. L. 98-181, 
title VI, Sec. 650(a), Nov. 30, 1983, 97 Stat. 1266; Pub. L. 99-514, 
title XVIII, Sec. 1886(a)(2), Oct. 22, 1986, 100 Stat. 2921; Pub. L. 
100-418, title I, Secs. 1324(a)(1), 1326(d)(1), Aug. 23, 1988, 102 Stat. 
1199, 1204; Pub. L. 103-465, title II, Secs. 211(a), 212(a)(1), 
(b)(1)(E), 233(a)(5)(B), (6)(A)(i), (ii), 270(a)(1)(A), (d), Dec. 8, 
1994, 108 Stat. 4842, 4843, 4848, 4899, 4901, 4917, 4918; Pub. L. 104-
295, Sec. 20(b)(3), Oct. 11, 1996, 110 Stat. 3527.)


                               Amendments

    1996--Subsec. (c)(5). Pub. L. 104-295 substituted ``(b)(1)'' for 
``(b)(1)(A)''.
    1994--Subsecs. (a), (b)(1). Pub. L. 103-465, Sec. 233(a)(6)(A)(i), 
(ii), substituted ``initiated'' for ``commenced''.
    Subsec. (b)(3). Pub. L. 103-465, Secs. 211(a)(1), 212(b)(1)(E), 
substituted ``paragraph (1)'' for ``subsection (b)(1) of this section'' 
and ``5 days after the date on which the administering authority 
initiates an investigation under subsection (c) of this section,'' for 
``twenty days''.
    Subsec. (b)(4). Pub. L. 103-465, Sec. 211(a)(2), added par. (4).
    Subsec. (c). Pub. L. 103-465, Sec. 212(a)(1), amended heading and 
text of subsec. (c) generally. Prior to amendment, text read as follows: 
``Within 20 days after the date on which a petition is filed under 
subsection (b) of this section, the administering authority shall--
        ``(1) determine whether the petition alleges the elements 
    necessary for the imposition of a duty under section 1671(a) of this 
    title and contains information reasonably available to the 
    petitioner supporting the allegations,
        ``(2) if the determination is affirmative, commence an 
    investigation to determine whether a subsidy is being provided with 
    respect to the class or kind of merchandise described in the 
    petition, and provide for the publication of notice of the 
    determination to commence an investigation in the Federal Register, 
    and
        ``(3) if the determination is negative, dismiss the petition, 
    terminate the proceeding, notify the petitioner in writing of the 
    reasons for the determination, and provide for the publication of 
    notice of the determination in the Federal Register.''
    Subsec. (e). Pub. L. 103-465, Sec. 270(a)(1)(A), (d), substituted 
``countervailable subsidy'' for ``subsidy'' and ``Subsidies Agreement'' 
for ``Agreement''.
    Pub. L. 103-465, Sec. 233(a)(5)(B), substituted ``subject 
merchandise'' for ``class or kind of merchandise that is the subject of 
the investigation'' in two places.
    1988--Subsec. (b)(1). Pub. L. 100-418, Sec. 1326(d)(1), substituted 
``(F), or (G)'' for ``or (F)''.
    Subsec. (e). Pub. L. 100-418, Sec. 1324(a)(1), added subsec. (e).
    1986--Subsec. (b)(1). Pub. L. 99-514 inserted reference to subpar. 
(F) of section 1677(9) of this title.
    1983--Subsec. (b)(3). Pub. L. 98-181 added par. (3).


                    Effective Date of 1994 Amendment

    Amendment by Pub. L. 103-465 effective, except as otherwise 
provided, on the date on which the WTO Agreement enters into force with 
respect to the United States [Jan. 1, 1995], and applicable with respect 
to investigations, reviews, and inquiries initiated and petitions filed 
under specified provisions of this chapter after such date, see section 
291 of Pub. L. 103-465, set out as a note under section 1671 of this 
title.


                    Effective Date of 1988 Amendment

    Amendment by section 1324(a)(1) of Pub. L. 100-418 applicable with 
respect to investigations initiated after Aug. 23, 1988, and amendment 
by section 1326(d)(1) of Pub. L. 100-418 applicable with respect to 
investigations initiated after Aug. 23, 1988, and to reviews initiated 
under section 1673e(c) or 1675 of this title after Aug. 23, 1988, see 
section 1337(b), (c) of Pub. L. 100-418, set out as a note under section 
1671 of this title.


           Plan Amendments Not Required Until January 1, 1989

    For provisions directing that if any amendments made by subtitle A 
or subtitle C of title XI [Secs. 1101-1147 and 1171-1177] or title XVIII 
[Secs. 1801-1899A] of Pub. L. 99-514 require an amendment to any plan, 
such plan amendment shall not be required to be made before the first 
plan year beginning on or after Jan. 1, 1989, see section 1140 of Pub. 
L. 99-514, as amended, set out as a note under section 401 of Title 26, 
Internal Revenue Code.

                  Section Referred to in Other Sections

    This section is referred to in sections 1516a, 1671b, 1671c, 1677, 
1677f, 1677i, 3437 of this title.
