The United States, Canada and Mexico have been adopting different tariff measures to protect their industries. This may lead to trade diversion towards the Colombian market.

What concrete actions can be taken to prevent the impact of massive imports under unfair conditions?

At Araújo Ibarra we know it

Trade

Commercial

Ensure fair competition against international competitors by designing efficient strategies to address unfair trade practices, such as dumping, subsidies or imports that displace the national industry

Rely on our commitment to safeguard your interests and ensure the sustainability of your operations.
Working with Araújo Ibarra will allow you to:

Have the support of an interdisciplinary team of advisors in legal, economic, and foreign trade matters, with experience in both the public and private sectors, successfully leading processes of varying complexities.

Design personalized defense strategies tailored specifically to your company's needs and objectives, aligned with the context of the market in which you operate.

Rely on our ongoing representation throughout the entire process, ensuring your interests are protected at all times.

This is how we support you in your internationalization process:

Step 1:

Personalized assessment:

Analyze your capabilities and global competitiveness to align with your goals.

Step 2:

Market validation:

Analyze your capabilities and global competitiveness to align with your goals.

Step 3:

Strategy development:

Analyze your capabilities and global competitiveness to align with your goals.

Services

Representation in investigations for the implementation of trade defense measures

Safeguard your business interests for the long term

We provide comprehensive representation in national and international investigations on antidumping duties, safeguard measures, and countervailing duties, including handling periodic reviews to protect your long-term interests.

Early identification of unfair practices and advisory services for export companies

Avoid restrictive practices

Detailed evaluation to proactively identify unfair practices and provide advisory services to exporters to avoid restrictive measures in foreign markets, adapting to changing regulations.

Tools to prevent the evasion of trade defense measures

Ensure transparency and regulatory compliance

Advisory on the implementation of rules of origin and other mechanisms to ensure compliance and prevent the evasion of trade defense measures, strengthening the integrity of commercial operations.

Frequently asked

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Unfair trade practices carried out by producing or exporting companies or countries include dumping and subsidies. 

An anti-dumping duty is a customs duty applied to imports of products to restore competitive conditions distorted by dumping (Decree 1750 of 2015, Article 1). 

The Directorate of Foreign Trade may determine and order the collection of anti-dumping duties on the import of any product subject to dumping, when it is determined that it causes or threatens to cause significant harm to domestic production or delays the establishment of a production branch in Colombia. 

The amount of the duties is generally expressed as an ad-valorem percentage or by setting a base price (Decree 1750 of 2015, Article 42). 

Whenever information is available and the characteristics of the investigation allow it, the duties are calculated in such a way that their amount is sufficient to eliminate the significant harm, the threat of significant harm, or the important delay in the establishment of a production branch. 

For this purpose, the following is taken into account: 

  1. The price of the imported product in the domestic market compared to the price of the domestic product.
    2. The prices at which the product is sold in the domestic market.
    3. The effect of the measures on the national market. 
    The application of an anti-dumping duty cannot be higher than the detected dumping margin. (Decree 1750 of 2015, Article 43) 

An anti-dumping duty can remain in effect for a maximum of five (5) years, unless the causes that originated it persist. The National Tax and Customs Directorate (DIAN) applies antidumping duties in accordance with legal provisions, the resolution imposing the duties, and the regulations concerning collection, guarantees, procedures, and other matters related to tariff levies. 

Under no circumstances can the investigations conducted obstruct the entry of merchandise into the national territory. 

No imported product from the same country can simultaneously be subject to both antidumping duties and countervailing duties, which aim to remedy the same situation resulting from dumping or subsidies (Decree 1750 of 2015, Article 49). 

In order to prevent damage during the investigation period, the Directorate of Foreign Trade can apply provisional duties if it reaches a preliminary conclusion that dumping exists in the imports under investigation, which causes harm to the national production sector. The Directorate carries out this action through a reasoned resolution, which is subject only to direct revocation after the investigated party has had the opportunity to exercise its defense, including completing questionnaires sent for this purpose. 

Provisional duties are applied for four months, except when specifically requested, in which case they are applied for six months. After an examination, when a duty lower than the dumping margin is sufficient to eliminate the harm, the investigating authority may apply provisional duties for six months and, at the request of the interested party, for nine months. 

The amount of provisional antidumping duties is specified in the resolution that imposes them, and applies to any importer regarding imports of the product for which it was concluded that imports were made at dumping prices that cause harm to a national production sector in Colombia. 

The resolution is published in the Official Gazette and communicated according to the form and timing established in the first paragraph of Article 28 of Decree 1750 of 2015. A copy of this resolution is sent to the National Tax and Customs Directorate (DIAN) for its relevant action. (Decree 1750 of 2015, Article 44). 

1. Merit evaluation for opening the investigation. 
2. Preliminary determination. 
3. Submission of the final report. 
4. Essential facts. 
5. Conclusion of the investigation. 

Once it is evident that the unfair practice causes or threatens to cause harm to national production or generates a significant delay in the establishment of any production in Colombia, the affected national production sector, or group of producers whose combined production constitutes a significant proportion of the total national production of such products, can request the Directorate of Foreign Trade (DCE), as the competent authority, to initiate an investigation for dumping against those imports that cause or threaten to cause harm. 

A safeguard is a temporary limitation on imports, which can take the form of a tariff or a quantitative restriction, and is applied to prevent or remedy serious harm or the threat of serious harm to a national production sector, as well as to facilitate its adjustment to competition conditions in the international market. These measures must be appropriate to facilitate the economic adjustment of the affected production sector, ensuring that the economic and social benefits outweigh the costs arising from the measure. 

A safeguard is adopted when it has been determined that imports of a certain product have increased in such quantity and under such conditions that they cause or threaten to cause serious harm to the national production sector that produces similar products or directly competing products. 

1. Receipt of compliance. 
2. Merit evaluation for opening the investigation. 
3. Investigation.
4. Adoption of the final determination. 

More than 53 years boosted the growth of
companies, regions and countries.

What our clients say

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Sarah Gomez

CCB

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Carlos López

Tech savvy

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