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Safeguards Act 2006 Part V — DEFINITIVE SAFEGUARD MEASURE

s 25–s 35 · 11 sections

Determination of definitive safeguard measure

s 25

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Where the Government determines during a provisional safeguard measure that— (a) the product under investigation is being imported into Malaysia in such increased quantities, absolute or relative to domestic production; and (b) under such conditions, it causes or threaten to cause serious injury to the domestic industry that produces like or directly competitive products, the Government shall apply a definitive safeguard measure.

Notice of definitive safeguard measure

s 26

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Immediately upon taking a decision regarding the application of a definitive safeguard measure, the Government shall publish a notice regarding application of a definitive safeguard measure, and such notice shall contain information as prescribed.

Notification and consultation of a definitive safeguard measure

s 27

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(1) Immediately upon a decision to apply a definitive safeguard measure, but before such measure takes effect, the Government shall notify the Committee regarding— (a) the evidence of serious injury or threat thereof caused by increased imports; (b) t h e p r e c i s e d e s c r i p t i o n o f t h e p r o d u c t u n d e r investigation; (c) the form, level and duration of the proposed measure; (d) the proposed date of application of the measure; and (e) the proposed date of introduction, expected duration and timetable for progressive liberalization. (2) Before a definitive safeguard measure is applied, the Government shall provide adequate opportunity for consultation with those Members having a substantial interest as exporters of the product under investigation, with a view to— (a) reviewing the information notified to the Committee regarding the finding of serious injury or threat thereof caused by increased imports and the proposed measure; (b) exchanging views about the measure; and (c) reaching an understanding on ways to achieve the objective to maintain a substantially equivalent level of concessions and other obligations to that existing under GATT 1994 between Malaysia and the exporting Members which would be affected by such a measure. The Government may endeavour to provide any adequate means of trade compensation for the adverse effects of the measure on their trade. (3) The Government shall notify the Council for Trade in Goods of the WTO immediately, through the Committee, of the results of the consultation.

Form and application of a definitive safeguard measure

s 28

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(1) A definitive safeguard measure can be applied in the form of— (a) a safeguard duty; or (b) a quota on imports; or (c) a safeguard duty and a quota on imports. (2) Subject to section 34, any definitive safeguard measure under paragraphs (1)(a) and (b) shall be applied to all imports of the product under investigation, irrespective of source, entered on or after the date on which the measure takes effect.

Administrative matters

s 29

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(1) Any petition to be submitted under Part IV shall be submitted to the Ministry of International Trade and Industry. (2) Subject to the provisions of this Act, any action to be conducted or taken under this Act shall be conducted or taken by any officer or person authorized in writing in that behalf by the Minister. (3) Any finding of an investigation, whether for the purpose of a preliminary or final determination, or a review, under this Act, shall be forwarded to the Minister. (4) The Minister shall decide and such decision shall be final. (5) The Minister shall make a recommendation to the Minister of Finance to impose a definitive safeguard measure. (6) The implementation of a definitive safeguard measure in the form as provided in subsection 28(1) shall be conducted by an officer of customs. (7) If any question arises as to whether any particular product is or is not included in any notification given under this Act, such question shall be referred to the investigating authority who shall make a decision on the matter.

Transhipment

s 30

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In cases where products are not imported into Malaysia directly from the country of origin, but are exported to Malaysia from an intermediate country, the provisions of the Act shall be fully applicable and the transaction, for the purposes of this Act, shall be regarded as having taken place between the country of origin and Malaysia.

Customs clearance not to be hindered

s 31

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Any investigation conducted under this Act shall not hinder procedures for customs clearance.

Application of the Customs Act 1967

s 32

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(1) This Act shall be construed as one with the Customs Act 1967. (2) If there is any inconsistency between the provisions of the Customs Act 1967 and the provisions of this Act, the provisions of this Act shall prevail.

Developing country Member

s 33

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(1) Notwithstanding any other provisions of this Act, a definitive safeguard measure shall not be applied against the product under investigation originating in a developing country Member as long as its share of imports of the product concerned in Malaysia does not exceed three per cent of total imports of the product concerned, provided that developing country Members with less than three per cent import share collectively account for not more than nine per cent of total imports of the product concerned. (2) An action taken pursuant to subsection (1) must be notified to the Committee.

Duration of a definitive safeguard measure

s 34

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(1) A definitive safeguard measure shall be applied for a period of not more than four years unless it is extended as provided for in section 37. (2) The total duration of a definitive safeguard measure, including the period of application of any provisional safeguard measure and any extension thereof pursuant to section 37, shall not exceed ten years, in accordance with the provisions of the Agreement.

Liberalization of safeguard measure

s 35

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Where the period of application exceeds one year, the measure applied shall be progressively liberalized at regular intervals during the period of application.

Back to Safeguards Act 2006 — full text

Provisions on this page are reproduced verbatim from official open data. See the attribution line.

Text as at 1 November 2012 (LOM reprint); amendments made after that date may not be incorporated. Read the official text ↗

Source: Laws of Malaysia, Attorney General's Chambers of Malaysia (lom.agc.gov.my). Not a copy of the Gazette printed by the Government Printer (Interpretation Acts 1948 and 1967, s 61).

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