ARTICLE 41: FACTORS THAT CAUSE MATERIAL DAMAGE TO THE NATIONAL INDUSTRY

     

    The determination (RLCE: Art. 63) of the existence of material damage to the national industry, will be done by the Ministry (LCE: Art. 3) (RLCE: Art. 1) considering:

  • The import volume of the merchandise subject to price discrimination (RLCE: Art. 38) or subsidies. In this regard, it will consider whether there has been a significant increase in them, in absolute terms or in relation to the production or internal consumption of the country;
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  • The effect on the prices of identical or similar merchandise (RLCE: Art. 37) in the internal market causes or may cause the import of merchandise subject to price discrimination or subsidies. For this, the Ministry must consider whether the imported merchandise is sold in the internal market at a price significantly lower than that of identical or similar merchandise, or, if the effect of such imports is to lower it, otherwise, the prices of significant measure or to prevent the same measure the rise that otherwise would have occurred;
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  • The effect caused or that such imports may cause on the branch of the national production in question, considering the economic factors and indices (RLCE: Art. 65) relevant that influence the state of that branch of national production, such as the actual or potential decrease in sales, benefits, production volume, market share, productivity, output of the investments or the use of installed capacity; the factors that have an impact on internal prices; where applicable, the magnitude of the price discrimination margin; the actual or potential negative effects on cash flow, stocks, employment, salary, growth, the ability to raise capital or investment. This enumeration is not exhaustive and none of these factors in isolation will necessarily suffice to obtain a decisive guidance; and
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  • Other elements that the Ministry deems appropriate (RLCE: Art. 64) (RLCE: Art. 65), or if applicable, provide the national production.