108 STAT. 4902 PUBLIC LAW 103-465—DEC. 8, 1994 Subtitle B—Subsidies Provisions PART 1—COUNTERVAILABLE SUBSIDIES SEC. 251. COUNTERVAILABLE SUBSIDY. (a) IN GENERAL.—Section 771 (19 U.S.C. 1677) is amended by stiiJdng paragraph (5) and inserting the following: "(5) COUNTERVAILABLE SUBSIDY.— "(A) IN GENERAL.— Except as provided in paragraph (5B), a countervailable subsidy is a subsidy described in tiiis paragraph which is specific as described in paragraph (5A). "(B) SUBSIDY DESCRIBED. — A subsidy is described in this par£^raph in the case in which an autiiority— (i) provides a financial contribution, "(ii) provides any form of income or price support within the meaning of Article XVI of the GATT 1994, or
- (iii) makes a payment to a funding mechanism
to provide a financial contribution, or entrusts or directs a private entity to make a financial contribution, if providing the contribution would normally be vested in the government and the practice does not differ in substance from practices normally followed by governments, to a person and a benefit is thereby conferred. For purposes of tms paragraph and paragraphs (5A) and (5B), the term 'authority* means a government of a country or any public entity within the territory of the country. (C) OTHER FACTORS. —The determination of whether a subsidy exists shall be made without regard to whether the recipient of the subsidy is publicly or privately owned and without regard to whether the subsidy is provided directiy or indirectly on the manufacture, production, or export of merchandise. The administering authority is not required to consider the effect of the subsidy in determining whether a subsidy exists under this paragraph. "(D) FINANCIAL CONTRIBUTION. — The term 'financial contribution' means—
- (i) the e^rect transfer of ftinds, such as grants,
loans, and equity in^sions, or the potential direct transfer of funds or liabilities, such as loan guarantees, "(ii) fbregoii^ or not collecting revenue that is otherwise due, such as granting tax credits or deductions icom. taxable income, "(iii) providing goods or services, other than general iafi:astructure, or
- (iv) purchasing goods.
"(E) BENEFIT CONFERRED. — A benefit shall normaUy he treated as conferred where there is a benefit to the recipient, including— "(i) in the case of an equity infusion, if the investment decision is incoi^istent with the usual investment practice of private investors, including the practice regardiag iihe provision of risk capital, in the country in which the equity in^sion is made,
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