Vol. 1, No. 10, March 27, 2002
Kazakhstan gets "market economy" status
On Tuesday, March 26, 2002 the U.S. Department of
Commerce announced that it is revoking Kazakhstan's
non-market economy (NME) status under the U.S.
antidumping law. The Department found that Kazakhstan
has operated as a market-economy country, effective
October 1, 2001, and that this finding will be
effective for all current and future administrative
proceedings. This decision was made in the context of
the Department's ongoing antidumping investigation of
silicomanganese from Kazakhstan.
In reviewing Kazakhstan's non-market economy status,
the Department was required to take into account six
statutory factors: (1) the degree of currency
convertibility, (2) free wage rate determination, (3)
foreign investment, (4) government ownership or
control of production, (5) government ownership over
the allocation of resources, and (6) other appropriate
factors.
Because Kazakhstan has graduated to market economy
status, the calculation of dumping for products from
Kazakhstan in future antidumping proceedings will be
determined by using a normal value (market economy)
methodology based on prices and costs within
Kazakhstan rather than a factor valuation (non-market
economy) methodology based on costs in a similar
"surrogate" market economy country.
"The decision to grant Kazakhstan, the first among the
CIS states, a market economy country status, is
objective recognition on the part of the United States
of our achievement in reforming the economy and and of
the democratic changes in the country", Kanat
Saudabayev, Ambassador of Kazakhstan to the U.S., said
commenting on the occasion.
"We consider this step of the United States as a sign
of support for the development model of an independent
Kazakhstan, which our people have chosen under
President Nazarbayev ten years ago. The granting of
the market economy status provides new opportunity for
further strengthening and broadening trade and
economic partnerships between Kazakhstan and the
United States which already amount to billions of
dollars," Ambassador Saudabayev said.
* * *
News Bulletin of the Embassy
of the Republic of Kazakhstan
(Compiled from own sources and various agencies'
reports)
Contact persons: Roman Vassilenko, Aibek Nurbalin
Tel.: (202) 232- 5488 ext. 104, 115
Fax: (202) 232- 5845
