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1 February 2016

Sayenko Kharenko represented interests of the Ukrainian producers of ammonium nitrate in court proceeding related to challenging of anti-dumping duties

Sayenko Kharenko successfully represented interests of the DF Group companies, including JSC “Azot”, JSC “Rivne Azot”, PJSC “Severodonetsk Azot Association” and JSC “Concern Stirol”, in court proceedings initiated by JSC “Mineral Chemical Company “EuroChem”, one of the world's leading mineral fertilizer producers, in order to abolish anti-dumping measures applied following results of interim and sunset reviews of anti-dumping measures imposed on imports into Ukraine of ammonium nitrate originating in Russia.

Based on its sound experience and expertise in the trade defense remedies proceedings and the WTO related issues, Sayenko Kharenko’s international trade team together with the firm’s litigation team successfully represented interests of the Ukrainian ammonium nitrate producers in all court instances from the first instance and on out to the consideration of the case by the Highest Court of Ukraine.

The relevant judgments contain several crucial conclusions that may have precedential value for Ukraine. Particularly, the courts ruled that the Interdepartmental Commission on International Trade (the Commission) has exclusive competence to adopt decisions on initiation of investigations and reviews as well as on application of anti-dumping measures. Dumping, material injury caused by such dumping as well as other grounds mandatory for application of anti-dumping measures (including adoption of decision under which anti-dumping measures shall not apply to particular companies) shall be established only by competent authorities and only in the course of anti-dumping investigation. Another crucial aspect, particularly important for foreign companies, is that the conclusions of the Commission made in respect of a holding company shall not apply to related companies because under the effective legislation anti-dumping duty rate shall be established individually for each producer and exporter. Additionally, for substantiating their positions, the courts directly referred not only to the WTO Agreements, but also quoted WTO jurisprudence. The above may be treated as indirect confirmation that the courts are ready to take into consideration thereof.

Group DF is a diversified international group of companies, operating in a number of countries across Europe and Asia. Its core areas of operations are the fertilizer and titanium businesses and gas distribution. Currently, it is one of the leading chemical industry investors in Eastern Europe.

Sayenko Kharenko’s team was led by partner Tatyana Slipachuk and included senior associate Anzhela Makhinova, associates, Olexiy Gerasimchuk and Oleksandra Brovko. 

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