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WTO Issues Involving the U.S. for December 2009

The World Trade Organization frequently posts communications to WTO members on issues that involve the U.S. The following are short summaries of such issues for December 2009:

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Requests for Consultations/Panels Involving the U.S.

U.S. Section 421 duties on tires from China - panel requested. On December 9, 2009, China requested a dispute settlement panel (DSP) to examine "U.S. - Measures Affecting Imports of Certain Passenger Vehicle and Light Truck Tires from China" (DS399) concerning the 35-25% additional Section 421 duties imposed by the U.S. in September 2009 on such tires from China. (See ITT's Online Archives or 01/08/10 news, 10010820, for BP summary.) (Posted 12/11/09)

India's taxes on imported wines/spirits - U.S. to join consultations. The U.S. asked to join consultations requested by the European Community (EC) on "India - Certain Taxes and Other Measures on Imported Wines and Spirits" (DS380) as it has a substantial trade interest in the consultations. (Posted 12/03/09)

Ongoing Disputes Involving the U.S.

Banana dispute - agreement reached. On December 15, 2009, the European Community (EC) and Latin American countries reached an agreement to end their 15-year dispute over EU banana imports. In response, the U.S. also agreed to settle its related dispute with the EU. (See ITT's Online Archives or 12/16/09 news, 09121605, for BP summary.) WTO press release (dated 12/15/09) available at http://www.wto.org/english/news_e/pres09_e/pr591_e.htm

China "famous brands" dispute - agreement reached. In December 2009, the U.S. and China signed an agreement confirming China's full elimination of numerous subsidies that had been supporting the export of "famous brands" of Chinese products in the dispute, "China's Grants, Loans, and Other Incentives" (DS387). (See ITT's Online Archives or 12/21/09 news, 09122120, for BP summary.)

China's import restrictions on DVDs, music, etc. - report issued. The Appellate Body circulated its report regarding "China - Measures Affecting Trading Rights and Distribution Services for Certain Publications and Audiovisual Entertainment Products." (DS363). The report found that China's restrictions on the importation and distribution of certain copyright-intensive products are inconsistent with its WTO obligations. (See ITT's Online Archives or 12/23/09 news, 09122325, for BP summary of the ruling.) (Posted 12/21/09)

China's raw material export restrictions - joint panel established. The Dispute Settlement Body established a single panel to examine similar complaints by the U.S. (DS394), European Union (DS395) and Mexico (DS398) concerning "China - Measures Related to the Exportation of Various Raw Materials." (Notice, dated 12/21/09, available at http://www.wto.org/english/news_e/news09_e/dsb_21dec09_e.htm)

U.S. tuna labeling rules - panel formed. On December 14, 2009, a DSP was composed to examine Mexico's complaints over "U.S. Measures Concerning the Importation, Marketing, and Sale of Tuna and Tuna Products" (DS381). In addition, Argentina, Australia, Brazil, Canada, China, Ecuador, the EC, Guatemala, Japan, Korea, New Zealand, Chinese Taipei, Thailand, Turkey and Venezuela reserved their rights to participate in the Panel proceedings as third parties. (Posted 12/15/09)

EC's IT tariffs - report delayed again. The report on the disputes brought by the U.S. (DS375), Japan (DS376), and Taiwan (DS377) on the EC's tariff treatment of certain IT products, including flat panel computer monitors, printers, copiers, faxes, etc. will again be delayed due to the complexity of the matter. The panel now estimates that it will issue its final report in April 2010 instead of December 2009. (Posted 12/23/09)

U.S. trade measures for large civil aircraft - report delayed. The interim report on the dispute over U.S. Measures Affecting Trade in Large Civil Aircraft (DS353) will be delayed until June 2010, with the timing of the final report to be determined. (Posted 12/17/09)

Questions to/from WTO Members Involving the U.S.

Japan asks U.S. about Jones Act. Japan submitted highly critical questions regarding the U.S.'s justification of the Jones Act, which Japan feels harms the consistency of the entire WTO legal framework. (Posted 12/09/09)

Proposed text on export licensing transparency. The U.S., Korea, and Taiwan responded to questions on their proposed text on Enhanced Transparency on Export Licensing. The countries stated that their rationale in having a separate protocol on this topic is that even though the GATT emphasizes its importance, it has been difficult to secure the effectiveness of such provisions without procedural rules. (Posted 12/11/09)

Proposed text on remanufactured goods. The U.S., Japan, and Switzerland submitted the latest text as well as the latest questions and answers on their proposal for a Ministerial Decision on Trade in Remanufactured Goods. (Posted 12/04/09)

Thailand & Honduras' safeguard legislation. Thailand and Honduras responded to U.S. questions on their safeguard regulations. Thailand explained that its committee appointed by Thailand's Cabinet of Ministers has full authority in making determinations on whether or not to impose, adjust, or terminate a safeguard measure. Honduras explained that while its period of investigation is meant to be three years, it may be longer or shorter, depending on the circumstances of the case. (Posted 12/22/09 and 12/03/09)

Miscellaneous WTO Issues Involving the U.S.

Lamy suggests deciding in March if concluding Doha in 2010 is feasible. WTO Director-General Pascal Lamy, stated that WTO members should reserve the last week of March of 2010 for stocktaking to assess whether concluding the Doha Round in 2010 "is doable." (News release, dated 12/17/09, available at http://www.wto.org/english/news_e/news09_e/tnc_chair_report_17dec09_e.htm)

Lamy discusses border measures at climate talks, pushes multilateralism. WTO Director-General Lamy said on December 21, 2009 that during the (Copenhagen) conference the issue of border measures was raised, but the more countries move toward a multilateral framework on climate change, the harder it will be to justify unilateral trade measures. (News release, dated 12/21/09, available at http://www.wto.org/english/news_e/news09_e/climate_21dec09_e.htm)

China's 8th annual transitional review. The minutes from China's eighth annual transitional review of its implementation of its WTO agreements were circulated. Among other things, countries noted that the vast majority of goods seized for IPR infringements are still from China and more work is needed to address growing challenges involving Internet counterfeiting and piracy in China, etc. (Posted 12/11/09)

U.S. submits text on LDCs to negotiating group. The U.S. submitted a draft text for consideration by the WTO negotiating group on trade facilitation entitled, "Transition Provisions for Developing and Least-Developed Country Members." Among other things, the draft text states that members should exercise restraint in raising matters under dispute settlement procedures involving an LDC Member. (Posted 12/15/09)

Georgia's trade policy review. The WTO posted its Trade Policy Review for Georgia, stating that the country's recent economic policies have met with considerable success. (Press release, dated 12/08/09, available at http://www.wto.org/english/tratop_e/tpr_e/tp324_e.htm)

Documents not specifically cited above are available on the WTO Web site at http://www.wto.org/index.htm by clicking on Documents, Official Documents, Simple Search, and by typing "United States" and the desired date range in the appropriate fields.