(a) For Korea: Korea Agency for Technology and Standards, or its successor; and
(b) For the UAE: the Standards and Regulation Sector, the Ministry of Industry and Advanced Technology, or its successor.
4. Each Party shall promptly notify the other Party of any change of its Contact Point.
5. The Contact Points shall work jointly in order to facilitate implementation of this Chapter and co-operation between the Parties in all matters pertaining to this Chapter.
Article 6.11. Information Exchange and Technical Discussions
1. Any information or explanation that a Party provides upon request of the other Party pursuant to this Chapter shall be provided in print or electronically within a reasonable period of time. Each Party shall endeavor to respond to such a request within 60 days.
2. All communication between the Parties on any matter covered by this Chapter shall be conducted through the Contact Points designated under Article 6.10.
3. On request of a Party for technical discussions on any matter arising under this Chapter, the Parties shall endeavor, to the extent practicable, to enter into technical discussions by notifying the Contact Points designated under Article 6.10.
Chapter SEVEN. TRADE REMEDIES
Section A: Scope
Article Article 7.1: Scope
This Chapter shall apply to investigations and measures that are taken under each Party’s competent authority.
For purposes of this Chapter, competent authority means:
for Korea, the Korea Trade Commission, or its successor; and
for the UAE, the Ministry of Economy, or its successor.
Section B: Anti-Dumping and Countervailing Measures
Article Article 7.2: General Provisions
The Parties reaffirm their rights and obligations under Articles VI and XVI of GATT 1994, the Anti-Dumping Agreement; and the SCM Agreement.
The Parties recognize the right to apply measures consistent with Article VI of GATT 1994, the Anti-Dumping Agreement and the SCM Agreement, and the importance of promoting transparency.
Except as otherwise stipulated in this Article, this Agreement does not confer any additional rights or obligations on the Parties with regard to anti-dumping and countervailing measures, including the initiation and conduct of anti-dumping and countervailing duty investigations as well as the application of anti-dumping and/or countervailing measures.
Each Party’s competent authority shall ensure, before a final determination is made, the disclosure of all essential facts under consideration which form the basis for the decision whether to apply definitive measures. This is without prejudice to Article 6.5 of the Anti-Dumping Agreement and Article 12.4 of the
PRIVILEGED & CONFIDENTIAL
SCM Agreement. Disclosures shall be made in writing and allow interested parties sufficient time to make their comments.
Article Article 7.3: Notification and Consultation
When a Party’s competent authority receives a written application by or on behalf of its domestic industry for the initiation of an anti-dumping investigation in respect of a good from the other Party, the receiving Party shall notify the other Party of the application as far in advance of the initiation of such investigation.
As soon as possible after accepting an application for a countervailing duty investigation in respect of a good imported from the other Party, and in any event before initiating an investigation, the Party shall provide a written notification of its receipt of the application to the other Party and invite the other Party for consultations with the aim of clarifying the situation as to the matters referred to in the application and arriving at a mutually agreed solution.
Interested parties should be granted the right to express their views during anti-dumping and anti-subsidy investigations in accordance with each Party’s domestic law.
The Party whose goods are subject to anti-dumping or countervailing measures imposed by the other Party has the right to request consultations in order to discuss the impact of these measures on bilateral trade.
Article Article 7.4: Lesser Duty Rule
Should a Party decide to impose a provisional or definitive anti-dumping or countervailing duty, the amount of such duty shall not exceed the margin of dumping or amount of the countervailable subsidy, but it may be less than that margin if, pursuant to the Party’s domestic law, such a lesser duty would be adequate to remove the injury to the domestic industry.
Article Article 7.5: Non-Application of Dispute Settlement
Neither Party shall have recourse to Chapter Fifteen (Dispute Settlement) of this Agreement for any matter arising under this Section.
PRIVILEGED & CONFIDENTIAL
Section C: Bilateral Safeguard Measures
Article Article 7.6: Definitions
For purposes of this Section:
bilateral safeguard measure means a bilateral safeguard measure applied within a transition period and as described in Article 7.7;
domestic industry means, with respect to an imported good, the producers as a whole of the like or directly competitive good operating within the territory of a Party, or those producers whose collective production of the like or directly competitive good constitutes a major proportion of the total domestic production of that good;
provisional measure means a provisional bilateral safeguard measure described in Article 7.10;
serious injury means a significant overall impairment in the position of a domestic industry;
threat of serious injury means serious injury that, on the basis of facts and not merely on allegation, conjecture or remote possibility, is clearly imminent; and
transition period means the period from the date of entry into force of this Agreement until five years from the date of completion of tariff reduction or elimination in accordance with each Party’s Schedule in Annex 2-A (Reduction or Elimination of Customs Duties).
Article Article 7.7: Application of Bilateral Safeguard Measures
If, as a result of the reduction or elimination of a customs duty under this Agreement, an originating good of a Party is being imported into the territory of the other Party in such increased quantities, in absolute terms or relative to domestic production, and under such conditions as to cause serious injury or threat thereof to a domestic industry producing a like or directly competitive good, the other Party may, to the extent necessary to prevent or remedy the serious injury, apply a bilateral safeguard measure consisting of:
PRIVILEGED & CONFIDENTIAL
the suspension of the further reduction of any rate of customs duty on the good provided for under this Agreement; or
an increase of the rate of customs duty on the good to a level not to exceed the lesser of:
the most-favored-nation (hereinafter referred to as “MFN”) applied rate of customs duty on the good in effect on the date on which the bilateral safeguard measure is taken; or
the MFN applied rate of customs duty on the good in effect on the day immediately preceding the date this Agreement enters into force.
Article Article 7.8: Notification and Consultation
A Party shall immediately notify the other Party in writing upon:
initiation of an investigation described in Article 7.9:
making a finding of serious injury or threat thereof caused by increased imports of an originating good of the other Party as a result of the reduction or elimination of a customs duty on the good pursuant to this Agreement; and
taking a decision to apply or extend a provisional or final bilateral safeguard measure.
A Party shall consult with the other Party as far in advance of applying a bilateral safeguard measure as practicable, with a view to reviewing the non-confidential version of the information arising from the investigation and exchanging views on the measure.
Article Article 7.9: Conditions and Limitations
A Party shall apply a bilateral safeguard measure only following an investigation by the Party’s competent authorities in accordance with Articles 3 and 4.2(c) of the Safeguards Agreement, and to this end, Articles 3 and 4.2(c) of the Safeguards Agreement are incorporated into and made a part of this Agreement, mutatis mutandis.
In the investigation described in paragraph 1, the Party shall comply with the requirements of Articles 4.2(a) and 4.2(b) of the Safeguards Agreement, and to this end, Articles 4.2(a) and 4.2(b) of the Safeguards Agreement are incorporated into and made a part of this Agreement, mutatis mutandis.
Each Party shall ensure that its competent authorities complete any such investigation within one year of its date of initiation.
Neither Party shall apply a bilateral safeguard measure:
except to the extent, and for such time, as may be necessary to prevent or remedy serious injury and to facilitate adjustment;
for a period exceeding two years, except that the period may be extended by up to one year if the competent authorities of the importing Party determine, in conformity with the procedures specified in this Section, that the measure continues to be necessary to prevent or remedy serious injury and to facilitate adjustment and that there is evidence that the industry is adjusting, provided that the total period of application of a bilateral safeguard measure, including the period of initial application and any extension thereof, shall not exceed three years; or
beyond the expiration of the transition period, except with the consent of the other Party.
No bilateral safeguard measure shall be applied again to the import of a good which has been previously subject to such measure for a period of time equal to the period during which the previous measure was applied.
Where the expected duration of the bilateral safeguard measure is over one year, the importing Party shall progressively liberalize it at regular intervals.
When a Party terminates a bilateral safeguard measure, the rate of customs duty shall be the rate that, according to the Party’s Schedule in Annex 2-A (Reduction or Elimination of Customs Duties), would have been in effect but for the measure.
Article Article 7.10: Provisional Measures
In critical circumstances where delay would cause damage that would be difficult to repair, a Party may apply a bilateral safeguard measure on a provisional basis pursuant to a preliminary determination by its competent authorities that there is clear evidence that imports of an originating good from the other Party have increased as the result of the reduction or elimination of a customs duty under this Agreement, and such imports have caused serious injury or threat thereof to the domestic industry.
Before applying a bilateral safeguard measure on a provisional basis, the applying Party shall notify the other Party. A Party may not apply a provisional measure until at least 45 days after the date its competent authorities initiate an investigation.
The duration of any provisional measure shall not exceed 200 days, during which time the Party shall comply with the requirements of Articles 7.9.1 and 7.9.2.
The Party shall promptly refund any tariff increases if the investigation described in Article 7.9 does not result in a finding that the requirements of Article
7.7 are met. The duration of any provisional measure shall be counted as part of the period described in Article 7.9.4(b).
Article Article 7.11: Compensation
No later than 30 days after it applies a bilateral safeguard measure, a Party shall afford an opportunity for the other Party to consult with it regarding appropriate trade liberalizing compensation in the form of concessions having substantially equivalent trade effects or equivalent to the value of the additional duties expected to result from the bilateral safeguard measure. The applying Party shall provide such compensation as the Parties mutually agree.
If the Parties are unable to agree on compensation within 30 days after consultations begin, the Party against whose originating good the measure is applied may suspend the application of concessions with respect to originating goods of the applying Party that have trade effects substantially equivalent to the bilateral safeguard measure. The Party exercising the right of suspension may suspend the application of concessions only for the minimum period necessary to achieve the substantially equivalent effects.
A Party against whose good the bilateral safeguard measure is applied shall notify the Party applying the bilateral safeguard measure in writing within a reasonable period of time before it suspends concessions in accordance with paragraph 2.
The right of suspension referred in paragraph 2 shall not be exercised for the first 24 months during which a bilateral safeguard measure is in effect, provided that the bilateral safeguard measure has been applied as a result of an absolute increase in imports and conforms to the provisions of this Agreement.
The applying Party’s obligation to provide compensation under paragraph 1 and the other Party’s right to suspend concessions under paragraph 2 shall terminate on the date the bilateral safeguard measure terminates.
Section D: Global Safeguard Measures
Article Article 7.12: Global Safeguard Measures
Each Party retains its rights and obligations under Article XIX of GATT 1994 and the Safeguards Agreement, including Article 9 of the Safeguards Agreement. This Agreement shall not confer any additional rights or impose any additional obligations on the Parties with regard to actions taken under Article XIX of GATT 1994 and the Safeguards Agreement.
Neither Party shall apply, with respect to the same good, at the same time:
a bilateral safeguard measure as applied in Section C; and
a measure under Article XIX of GATT 1994 and the Safeguards Agreement.
Where, as a result of a global safeguard measure, a safeguard duty is imposed, the margin of preference, in accordance with the Party’s Schedule in Annex 2-A (Reduction or Elimination of Customs Duties), shall be maintained.
At the request of the other Party, and provided that it has a substantial interest, the Party intending to take safeguard measures shall provide immediately written notification of all pertinent information on the initiation of the safeguard investigation, including the provisional findings and the final findings of the investigation, as well as offer the possibility for consultations to the other Party.
For purposes of this Article, it is considered that a Party has a substantial interest when it is among the five largest suppliers of the good under investigation during the most recent three-year period of time, measured in terms of either absolute volume or value.
Article Article 7.13: Non-Application of Dispute Settlement
Neither Party shall have recourse to Chapter Fifteen (Dispute Settlement) of this Agreement for any matter arising under this Section.
Section E: Cooperation on Trade Remedies
Article Article 7.14: Cooperation on Trade Remedies
The Parties shall endeavor to encourage cooperation on trade remedies between the relevant authorities of each Party who have responsibility for trade remedy matters.
Chapter EIGHT. TRADE IN SERVICES
Article 8.1. Definitions
Article 8.1: Definitions
For purposes of this Chapter:
aircraft repair and maintenance services means such activities when undertaken on an aircraft or a part thereof while it is withdrawn from service and do not include so-called line maintenance;
commercial presence means any type of business or professional establishment including through:
(a) the constitution, acquisition or maintenance of a juridical person; or
(b) the creation or maintenance of a branch or a representative office, within the territory of a Party for the purpose of supplying a service;
computer reservation system services means services provided by computerized systems that contain information about air carriers’ schedules, availability, fares and fare rules, through which reservations can be made or tickets may be issued;
ground handling services means the supply at an airport, on a fee or contract basis, of the following: airline representation, administration and supervision; passenger handling; baggage handling; ramp services; catering (except the preparation of the food); air cargo and mail handling; fueling of an aircraft; aircraft servicing and cleaning; surface transport; and flight operations, crew administration and flight planning. Ground handling services do not include: self-handling; security; line maintenance; aircraft repair and maintenance; or management or operation of essential centralized airport infrastructure such as de-icing facilities, fuel distribution systems, baggage handling systems, and fixed intra-airport transport systems;
juridical person means any legal entity duly constituted or otherwise organized under applicable law, whether for profit or otherwise, and whether privately-owned or governmentally-owned, including any corporation, trust, partnership, joint venture, sole proprietorship or association;
juridical person of the other Party means a juridical person which is either:
(a) constituted or otherwise organized under the law of that other Party, and is engaged in substantive business operations in the territory of that Party; or
(b) in the case of the supply of a service through commercial presence, owned or controlled by:
(i) natural persons of that Party; or
(ii) juridical persons of that other Party identified under subparagraph (a);
a juridical person is:
(a) owned by persons of a Party if more than 50 percent of the equity interest in it is beneficially owned by persons of that Party;
(b) controlled by persons of a Party if such persons have the power to name a majority of its directors or otherwise to legally direct its actions; or
(c) affiliated with another person when it controls, or is controlled by, that other person; or when it and the other person are both controlled by the same person;
measure means any measure by a Party, whether in the form of a law, regulation, rule, procedure, decision, administrative action, or any other form;
measures by Parties means measures adopted or maintained by:
(a) central, regional, or local governments and authorities; and
(b) non-governmental bodies in the exercise of powers delegated by central, regional, or local governments or authorities;
In fulfilling its obligations and commitments under this Chapter, each Party shall take such reasonable measures as may be available to it to ensure their observance by regional and local governments and authorities and non- governmental bodies within its territory;
measures by Parties affecting trade in services includes measures in respect of
(a) the purchase, payment, or use of a service;
(b) the access to and use of, in connection with the supply of a service, services which are required by a Party to be offered to the public generally; and
(c) the presence, including commercial presence, of persons of a Party for the supply of a service in the territory of the other Party;
monopoly supplier of a service means any person, public or private, which in the relevant market of the territory of a Party is authorized or established formally or in effect by that Party as the sole supplier of that service;
natural person of a Party means a national or a permanent resident (1) of a Party according to its laws and regulations;
person means either a natural person or a juridical person;
sector of a service means:
(a) with reference to a specific commitment, one or more, or all, subsectors of that service, as specified in a Party's Schedule; or
(b) otherwise, the whole of that service sector, including all of its subsectors;
selling and marketing of air transport services means opportunities for the air carrier concerned to sell and market freely its air transport services including all aspects of marketing such as market research, advertising and distribution. These activities do not include the pricing of air transport services nor the applicable conditions;
services includes any service in any sector except services supplied in the exercise of governmental authority;
service consumer means any person that receives or uses a service;
service of the other Party means a service which is supplied:
(a) from or in the territory of that other Party, or in the case of maritime transport, by a vessel registered under the laws of that other Party, or by a person of that other Party which supplies the service through the operation of a vessel and/or its use in whole or in part; or
(b) in the case of the supply of a service through commercial presence or through the presence of natural persons, by a service supplier of that other Party;
a service supplied in the exercise of governmental authority means any service which is supplied neither on a commercial basis, nor in competition with one or more service suppliers;
service supplier means any person that seeks to supply or supplies a service; (2)
supply of a service includes the production, distribution, marketing, sale, and delivery of a service;
trade in services means the supply of a service:
(a) from the territory of a Party into the territory of the other Party;
(b) in the territory of a Party to the service consumer of the other Party;
(c) by a service supplier of a Party, through commercial presence in the territory of the other Party;
(d) by a service supplier of a Party, through presence of natural persons of a Party in the territory of the other Party; and
traffic rights means the right for scheduled and non-scheduled services to operate and/or to carry passengers, cargo and mail for remuneration or hire from, to, within, or over the territory of a Party, including points to be served, routes to be operated, types of traffic to be carried, capacity to be provided, tariffs to be charged and their conditions, and criteria for designation of airlines, including such criteria as number, ownership, and control.
Article 8.2. Scope and Coverage
1. This Chapter shall apply to measures by Parties affecting trade in services.
2. This Chapter shall not apply to:
(a) laws, regulations, or requirements governing the procurement by government agencies of services purchased for governmental purposes and not with a view to commercial resale or with a view to use in the supply of services for commercial sale;
(b) subsidies or grants provided by a Party, including government- supported loans, guarantees, and insurance;
(c) measures affecting natural persons seeking access to the employment market of a Party, or measures regarding citizenship, residence or employment on a permanent basis; and
