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LAW OF THE REPUBLIC OF ARMENIA

of May 15, 2001 No. ZR-175

About protection of the domestic market

(as amended on 16-01-2017)

Accepted by National Assembly of the Republic of Armenia on April 18, 2001

Chapter I. General provisions

Article 1. Subject of regulation of the Law

1. This Law establishes the relations connected using measures for protection of the domestic market concerning commodity importation on the territory of the Republic of Armenia.

2. This Law does not extend to the prohibition, quantitative restrictions or control measures applied by other laws of the Republic of Armenia concerning commodity importation.

Article 2. Legislation on protection of the domestic market

1. The legislation on protection of the domestic market consists of the Constitution, the Civil code, the Customs code of the Republic of Armenia, this Law and other legal acts.

2. If international treaties of the Republic of Armenia establish other regulations which are not provided by this Law, then regulations of agreements are applied.

Article 3. The basic concepts used in the Law

The basic concepts used in sense of this Law are:

economy industry - unity of the producers acting in the territory of the Republic of Armenia which make similar to the studied goods or the goods which are directly competing with it or those from the producers acting in the territory of the Republic of Armenia which jointly issue more than a half of all production of the similar or directly competing goods in the Republic of Armenia;

serious damage - considerable and continuous weakening of line item of industry of economy of the Republic of Armenia;

threat of serious damage - accurately predicted and come serious damage;

the studied goods - the goods imported into the Republic of Armenia, which are learning object for the purpose of application of measures for protection of the domestic market;

the tariff quota - establishment of tiered rate of customs duty on commodity importation depending on amount;

concerned parties:

- the exporter (exporters) of the studied goods from foreign state or its foreign producer (producers),

- the importer (importers) of the studied goods,

- public organization, association of legal entities most of which of members is producers, exporters or importers of the studied goods,

- the government (governments) exporting (exporting) the country (countries),

- producers of the similar or directly competing goods in the Republic of Armenia,

- public organization most of which part of members are producers of the similar or directly competing goods in the Republic of Armenia,

- consumers unions,

- industrial use of the studied goods;

authorized body - the state body of management authorized by the Government of the Republic of Armenia which performs the functions provided by this Law

participating concerned parties - concerned parties which in the procedure established by this Law in writing notified authorized body on their interest to participate in the carried-out studying.

Article 4. Measures for protection of the domestic market and condition of their application

1. In sense of this Law measures for protection of the domestic market are increase in effective rate of import customs duty on goods, application of the import tariff quota on goods, application of quantitative restriction (quoting) of commodity importation and application of any combination of the specified measures.

2. Measures for protection of the domestic market are only applied to the goods imported on the territory of the Republic of Armenia in case as a result of performed in the procedure for studying established by this Law becomes obvious that the studied goods are imported on the territory of the Republic of Armenia in such increasing amounts (in absolute value or concerning economy industry production volumes) and on such conditions which cause serious damage or threaten with drawing serious damage of industry of economy.

Chapter II. Procedure of studying

Article 5. The initiative began studying

1. In the presence of good causes the authorized body begins studying for establishment of the serious damage caused to industry of economy or threat of drawing serious damage, and also cause and effect relationship between serious damage or threat of serious damage and import of the studied goods in the increasing amounts and on these conditions.

Studying can be begun:

a) at the initiative of authorized body;

b) based on the written application of industry of economy submitted in authorized body;

c) based on the written application of person acting in the procedure established by the Law on behalf of economy industry submitted in authorized body.

2. The written application submitted in authorized body shall contain the following data:

a) names (names) and addresses of the applicant (applicants) and the producers of the similar or directly competing goods acting in the Republic of Armenia famous to applicant (applicants);

b) the description of imported goods, including technical characteristics, use of goods, number of the product code and rate of customs duty on it;

c) the description of the similar or directly competing goods made in the Republic of Armenia including their technical characteristics and application;

d) percentage ratio between quantity of the similar or directly competing goods made by the applicant (applicants), and total production of these goods in the Republic of Armenia;

e) cause and effect relationship between import of these goods in the increasing amount and the serious damage caused to economy industry or threat of drawing serious damage;

e) availability of the factors testimonial of the serious damage caused to economy industry within three years preceding the statement in which shall join:

- amounts of internal production,

- extent of use of production capabilities,

- amounts of the warehoused goods,

- market share,

- employment and salary,

- profit and losses;

g) in addition to the data specified in the subitem "e" of this Item in case of threat of drawing serious damage - as well possibility of increase of amounts of import of the studied goods to the territory of the Republic of Armenia and drawing thereof serious damage;

h) the data proving need of application of temporary protective measures if the statement submits also the request for application of such measures.

3. If data, stipulated in Item 2 these Articles, are incomplete, studying can be begun if the data provided to authorized body and available at its order are sufficient for implementation of studying and pronouncement of the corresponding conclusion.

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