Presidential Decree No. 1973 — WHEREAS, the Philippines as a Contracting Party to the General Agreement on Tariffs and Trade (GATT) has acceded to the Agreement on Interpretation and Application of Article VI, XVI and XXIII of GATT, otherwise known as the Code on Subsidies and Countervailing Duties;

Section 1

Section 1. Subsection (a) of Section 302 of Presidential Decree Numbered Fourteen Hundred Sixty-Four as amended, is hereby further amended to read as follows:

Section 302

Section 302. Countervailing Duty

"a. Whenever any article is directly or indirectly granted any bounty, subsidy or subvention upon its production, manufacture or exportation in the country of origin and/or exportation, and the importation of which has been determined by the Minister, after investigation and report of the Commission, as likely to injure established industry, or prevent or considerably retard the establishment of an industry in the Philippines, there shall be levied a countervailing duty equal to the ascertained or estimated amount of such bounty, subsidy or subvention: Provided, that the injury criterion to a domestic industry shall be applied only in the case of imports from countries which adhere to GATT Code on Subsidies and Countervailing Duties: Provided, further, That the exemption of any exported article from duty or tax imposed on like articles when destined for consumption in the country or origin and/or exportation or the refunding of such duty or tax, shall not be deemed to constitute a grant of a bounty, subsidy or subvention within the meaning of this Section: Provided, furthermore, That should an article be allowed drawback by the country of origin and/or exportation, only the ascertained or estimated excess of the amount of the drawback over the total amount of the duties and/or internal taxes, if any, shall constitute a bounty, subsidy or subvention: Provided, finally, That petitions for imposition of countervailing duty shall be filed with the Minister of Finance. Upon finding of a prima facie case of bounty, subsidy or subvention enjoyed by the imported article and injury to, or likelihood of injury to a domestic industry. The Minister shall refer the case to the Tariff Commission for investigation and shall instruct the Commissioner of Customs, to require the filing of countervailing bonds for importations entered during the pendency of countervailing proceedings.

Section 2

Repealing Clause

Section 2. Repealing Clause./Any provision of law, decree, rules and regulations inconsistent herewith are hereby deemed repealed, amended or modified accordingly.

Section 3

Effectivity Clause

Section 3. Effectivity Clause. This Decree shall take effect immediately.

DONE in the City of Manila, this 13th of April, nineteen hundred and eighty-five.