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WTO Issues Involving the U.S. for April 2010

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 April 2010:

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Export Compliance Daily combines U.S. export control news, foreign border import regulation and policy developments into a single daily information service that reliably informs its trade professional readers about important current issues affecting their operations.

(Note that all of these items were covered individually when they were first posted. Also note that it may be necessary to open certain of the source documents twice for proper viewing.)

Requests for Consultations/Panels Involving the U.S.

U.S. clove cigarette ban - Indonesia requests consultations. Indonesia requested WTO consultations with the U.S. on "U.S. - Measures Affecting the Production and Sale of Clove Cigarettes" (DS406). Indonesia objects to the U.S. ban on all flavored cigarettes, except menthol, brought about by the "Family Smoking Prevention Tobacco Control Act of 2009." (Notice, posted 04/14/10, available at http://docsonline.wto.org/DDFDocuments/t/g/tbt/D38.doc)

U.S. AD “zeroing” -- Korea requests panel. Korea requested the establishment of a dispute settlement panel (DSP) on “U.S. - Use of Zeroing in Antidumping Measures Involving Products from Korea” (DS402) regarding certain stainless steel products and diamond sawblades. (See ITT’s Online Archives or 04/20/10 news, (Ref: 10042035), for BP summary.)

Ongoing Disputes Involving the U.S.

U.S.-EC Byrd Amendment dispute - EC expands sanctions. The European Union notified WTO members that effective May 1, 2010, it would add 19 products classified under 19 codes of the European Union's tariff and statistical nomenclature to the list of products subject to an ad valorem additional duty of 15% when originating in the U.S, due to increased U.S. "Byrd Amendment" payouts. The majority were apparel products. (See ITT’s Online Archives or 04/21/10 and 04/23/10 news, (Ref: 10042130) and (Ref: 10042320), for BP summaries.) (Notice, posted 04/27/10, available at http://docsonline.wto.org/DDFDocuments/t/wt/ds/217-57.doc)

U.S.-Brazil cotton dispute -- MOU signed, add’l duties delayed. In April 20, 2010, the U.S. and Brazil signed a Memorandum of Understanding and agreed to a “path forward” toward resolving U.S. - Subsidies on Upland Cotton (DS 267). In exchange for certain measures taken by the U.S., Brazil agreed to delay the countermeasures on U.S. goods that were to take effect on April 22 for at least 60 days while negotiations continue. (See ITT’s Online Archives or 04/21/10 news, (Ref: 10042110), for most recent BP summary.)

U.S.-EC zeroing dispute -- arbitration meeting open to public. The WTO has announced that at the request of the parties, the Arbitrator has agreed to start its meeting regarding “US - Zeroing (EC) (DS294) on May 20, 2010 with a session open to public viewing at the WTO Headquarters in Geneva. (News item, dated 04/19/10, available at http://www.wto.org/english/news_e/news10_e/hear_ds294_16apr10_e.htm)

U.S.-Thailand carrier bag dispute -- U.S. to implement ruling by Aug 18. The U.S. and Thailand notified WTO members that they have agreed that the "reasonable period of time" for the U.S. to implement the recommendations and rulings of the dispute settlement panel in the dispute "U.S. - Anti-Dumping Measures on Polyethylene Retail Carrier Bags from Thailand" (DS383) on U.S. "zeroing," etc. will end on August 18, 2010. (Notice, dated 04/06/10, available at http://docsonline.wto.org/DDFDocuments/t/wt/ds/383-6.doc)

China-U.S. IPR dispute -- agreement circulated. China and the U.S. circulated their agreement regarding "China - Measures Affecting the Protection and Enforcement of Intellectual Property Rights" (DS362). The parties agreed that the "reasonable period of time" for China to implement the panel's rulings is twelve months and that the U.S. may request authorization to suspend concessions or other obligations if the measures taken by China to resolve the dispute do not exist or are inconsistent with their agreement. (Notice, posted 04/13/10, available at http://docsonline.wto.org/DDFDocuments/t/wt/ds/362-15.doc)

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

Chinese responses on its trade policies. China has answered additional questions resulting from its 2008 Trade Policy Review regarding its free trade agreement with New Zealand, its measures affecting exports, its exchange rate policies, etc. (Responses, posted 04/13/10, available at http://docsonline.wto.org/DDFDocuments/t/wt/tpr/M199A2.doc)

EU responses about its export refunds. The European Union responded to questions by Canada regarding its export refunds, such as whether the EU anticipates that its "high levels of export refunds will continue in the future." The EU stated that it sets export refunds within the volumes agreed in the Uruguay Round and will not go beyond those limits. (Notice, posted 04/26/10, available at http://docsonline.wto.org/DDFDocuments/t/g/scmq2/EEC62.doc)

Thailand responses on its customs law. Thailand responded to U.S. questions on amendments to its Customs Law, stating that details regarding customs valuation methods will be provided under a Ministerial regulation, similar to Regulation 132; that its law provides for different penalties, depending on the severity of the infringement; etc. (Responses, posted 04/27/10, available at http://docsonline.wto.org/DDFDocuments/t/g/val/W190.doc)

Miscellaneous WTO Issues Involving or of Interest to the U.S.

DSB's April 20 meeting. During the Dispute Settlement Body's April 20, 2010 meeting, a panel was established to examine Philippines Taxes on Distilled Spirits; the U.S. blocked requests by Korea and Vietnam for panels to examine U.S. use of AD "zeroing;" the EU blocked China's request for a panel on EU AD measures on certain footwear from China; etc. (WTO news release, dated 04/20/10, available at http://www.wto.org/english/news_e/news10_e/dsb_20apr10_e.htm)

OECD paper on strategic raw material restrictions. The WTO posted an Organization for Economic Cooperation and Development paper on export restrictions applied to strategic raw materials and their impact on trade and global supply. (See ITT’s Online Archives or 04/13/10 news, (Ref: 10041325), for BP summary.) (Paper, posted 04/06/10, available at http://www.wto.org/english/res_e/publications_e/wtr10_oecd2_e.htm)

Brazil import licensing. Brazil has circulated information to WTO Members on its import licensing procedures which states that as a general rule, it does not require licensing. However, some products, such as those which may cause damage to human, plant or animal health; weapons; etc. require either automatic import licensing or non-automatic import licensing through Brazil's SISCOMEX system. (Notice, posted 04/19/10, available at http://docsonline.wto.org/DDFDocuments/t/g/lic/N3BRA8.doc)

Cuba proposal on technology transfer. Cuba has submitted a proposal that developed countries transfer on preferential terms to developing countries the equipment and technology needed to meet developed countries' technical regulations, standards, etc, if the developing country lacks the financial means or equipment to do so. (Proposal, dated 04/06/10, available at http://docsonline.wto.org/DDFDocuments/t/tn/ctd/W32.doc)

Syria's request to join WTO. Egypt has asked that the Syrian Arab Republic's request to join the WTO be added to the agenda of the next General Council session on May 4-5, 2010. (WTO document available at http://docsonline.wto.org/GEN_viewerwindow.asp?http://docsonline.wto.org:80/DDFDocuments/t/wt/gc/127.doc)

India’s textile/apparel export competitiveness. The WTO has issued a revision to its calculation of the export competitiveness of textile and apparel exports from India, which it calculated due to a request by the U.S. (Revision, posted 04/21/10, available at http://docsonline.wto.org/DDFDocuments/t/g/scm/132A1R1.doc)

U.S. comments on fisheries subsidies. The U.S. commented on a November 2007 text by the Chair of the Negotiating Group on Rules on Fisheries Subsidies which the U.S. states that it broadly supports but made certain additional recommendations. (Document available at http://docsonline.wto.org/GEN_viewerwindow.asp?http://docsonline.wto.org:80/DDFDocuments/t/tn/rl/GEN165.doc)

India, others terminate safeguard actions. During the Committee on Safeguards' April 26, 2010 meeting, India announced it had terminated 8 safeguard actions, and other countries such as Brazil, Chile, Vietnam, etc. said they had terminated 1-2 each Members expressed concern about the number of safeguard actions taken recently as they should be reserved for special circumstances. (Notice, posted 04/26/10, available at http://www.wto.org/english/news_e/news10_e/safe_26apr10_e.htm)

Australia-Chile FTA presentation. The WTO has circulated a presentation on the Free Trade Agreement between Australia and Chile on goods and services, in accordance with the rules and procedures contained in the Decision for a Transparency Mechanism for Regional Trade Agreements. (Presentation, dated 04/01/10, available at http://docsonline.wto.org/DDFDocuments/t/WT/REG/263-1.doc)

Updated 2010 official program of meetings. The WTO has updated its official program of meetings for 2010. (Program, updated 03/05/10, available at http://www.wto.org/meets_public/meets_e.pdf)

Documents not specifically cited above or that are difficult to open 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 the desired date range.