Anti-Dumping and Countervailing Duties Act 2018 · As enacted · Part II · Countervailing Duties
67. Determination of benefit by the grant of a subsidy
Official English translation. Where it differs from the Sinhala or Tamil text, the Act itself says which text prevails.
Official translationFrom Department of Government Printing, unchanged
In determining what amounts to the “conferring of a benefit” for the purpose of a “subsidy” as defined in section 85 of this Act, the Director-General shall have regard to the following guidelines:—
government provision of equity capital shall not be considered as conferring a benefit, unless the investment decision can be regarded as inconsistent with the usual investment practice, including the provision of risk capital, of private investors in the territory of that country;
a loan by a government shall not be considered as conferring a benefit, unless there is a difference between the amount that the firm receiving the loan pays on the government loan, and the amount the firm would pay on a comparable commercial loan which the firm could actually obtain on the market, in which case the benefit shall be the difference between these two amounts;
a loan guaranteed by a government shall not be considered as conferring a benefit, unless there is a difference between the amount that the firm receiving the guarantee pays on a loan guaranteed by the government, and the amount that the firm would pay on a comparable commercial loan without that government guarantee, in which case the benefit shall be the difference between these two amounts adjusted for any differences in fees;
and
the provision of goods or services or purchase of goods by a government shall not be considered as conferring a benefit, unless the provision is made for less than adequate remuneration, or the purchase is made for more than adequate remuneration.
Anti-Dumping and Countervailing Duties
For the purposes of paragraph (d) of subsection (1), the adequacy of remuneration shall be determined in relation to prevailing market conditions for the goods or services in question in the country of provision or purchase, including price, quality, availability, marketability, transportation and other conditions of purchase or sale.
Part III