[Code of Federal Regulations]
[Title 19, Volume 3]
[Revised as of January 1, 2003]
From the U.S. Government Printing Office via GPO Access
[CITE: 19CFR351.511]

[Page 273]
 
                        TITLE 19--CUSTOMS DUTIES
 
                         DEPARTMENT OF COMMERCE
 
PART 351--ANTIDUMPING AND COUNTERVAILING DUTIES--Table of Contents
 
 Subpart E--Identification and Measurement of Countervailable Subsidies
 
Sec.  351.511  Provision of goods or services.

    (a) Benefit--(1) In general. In the case where goods or services are 
provided, a benefit exists to the extent that such goods or services are 
provided for less than adequate remuneration. See section 771(5)(E)(iv) 
of the Act.
    (2) ``Adequate Remuneration'' defined--(i) In general. The Secretary 
will normally seek to measure the adequacy of remuneration by comparing 
the government price to a market-determined price for the good or 
service resulting from actual transactions in the country in question. 
Such a price could include prices stemming from actual transactions 
between private parties, actual imports, or, in certain circumstances, 
actual sales from competitively run government auctions. In choosing 
such transactions or sales, the Secretary will consider product 
similarity; quantities sold, imported, or auctioned; and other factors 
affecting comparability.
    (ii) Actual market-determined price unavailable. If there is no 
useable market-determined price with which to make the comparison under 
paragraph (a)(2)(i) of this section, the Secretary will seek to measure 
the adequacy of remuneration by comparing the government price to a 
world market price where it is reasonable to conclude that such price 
would be available to purchasers in the country in question. Where there 
is more than one commercially available world market price, the 
Secretary will average such prices to the extent practicable, making due 
allowance for factors affecting comparability.
    (iii) World market price unavailable. If there is no world market 
price available to purchasers in the country in question, the Secretary 
will normally measure the adequacy of remuneration by assessing whether 
the government price is consistent with market principles.
    (iv) Use of delivered prices. In measuring adequate remuneration 
under paragraph (a)(2)(i) or (a)(2)(ii) of this section, the Secretary 
will adjust the comparison price to reflect the price that a firm 
actually paid or would pay if it imported the product. This adjustment 
will include delivery charges and import duties.
    (b) Time of receipt of benefit. In the case of the provision of a 
good or service, the Secretary normally will consider a benefit as 
having been received as of the date on which the firm pays or, in the 
absence of payment, was due to pay for the government-provided good or 
service.
    (c) Allocation of benefit to a particular time period. In the case 
of the provision of a good or service, the Secretary will normally 
allocate (expense) the benefit to the year in which the benefit is 
considered to have been received under paragraph (b) of this section. In 
the case of the provision of infrastructure, the Secretary will normally 
treat the benefit as non-recurring and will allocate the benefit to a 
particular year in accordance with Sec.  351.524(d).
    (d) Exception for general infrastructure. A financial contribution 
does not exist in the case of the government provision of general 
infrastructure. General infrastructure is defined as infrastructure that 
is created for the broad societal welfare of a country, region, state or 
municipality.

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