Notes
Slide Show
Outline
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Trade Remedy Measures Imposed
Between 1995 and 30 June 2006*
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DISPUTE SETTLEMENT
Panels Established
(1995  -  2006  - Article 21.5 info not included)
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DISPUTE SETTLEMENT
Trade Remedy Disputes
(Panels Established, 1995 - 2006)
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SAFEGUARD MEASURES IMPOSED
1995 – 2007
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SAFEGUARDS
IMPOSING COUNTRIES
1995 - 2007
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DEVELOPED vs DEVELOPING
IMPOSING MEMBERS
1995 - 2007
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SAFEGUARDS
  • Differ from AD/CVD:
    • Don’t require “unfair” practice
    • “serious” vs “material” injury
    • To be taken on MFN basis (with certain exception)
    • Have to “pay” when take them (as a rule)
  • Note : “SG measures are extraordinary remedies to be taken only in emergency situations” (US – Line Pipe (DS202))


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SAFEGUARDS:
BASIC REQUIREMENTS
  • A determination that,
    • As a result of (i) unforeseen developments and (ii) the effect of a Member’s obligations under GATT 1994
    • A product is being imported in such increased quantities
    • As to cause or threaten to cause
    • Serious injury
    • To the domestic industry
    • Producing like or directly competitive products


    • (GATT:XIX & Art. 2.1)
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NEED FOR INVESTIGATION
  • Must establish and publish procedures, including:
    • Public notice to interested parties
    • Public hearings
    • Opportunity to address public interest
    • Published report of findings and conclusions
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INCREASED QUANTITY OF IMPORTS
  • Absolute
  • Relative to domestic production
  • Increase must be sufficiently recent, sudden, sharp and significant


  • (Argentina -- footwear etc.)
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CAUSATION OF INJURY
  • Identify injury caused by factors other than increased imports, and demonstrate that such injury has not been attributed to increased imports (“non-attribution”)


  • No specific formula to separate the non-attribution. (US – Line Pipe (AB, DS202; March 2002)


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APPLICATION OF MEASURES
  • General principles
    • Applied to all imports irrespective of their source (MFN)
    • Only to the extent necessary to prevent injury AND to facilitate adjustment


    • (Art. 2.2 & 5.1)
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DURATION OF MEASURES
  • Only for such period of time as may be necessary to prevent or remedy serious injury and facilitate adjustment
    • Not exceed 4 years
    • Extend to 8 years if continuation necessary and industry adjusting (no extension of modulated quota)
    • Progressive liberalization if longer than 1 year
    • Mid-term review if longer than 3 years
    • (Art. 7)

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COMPENSATION AND SUSPENSION
OF EQUIVALENT CONCESSIONS
  • Members taking safeguard measures have to “pay” for them through compensation or equivalent concessions
  • Consult with Members having substantial export interests
  • If can’t agree on compensation in 30 days, Member may suspend equivalent concessions unless Council on Trade in Goods disapproves
  • Right of suspension cannot be exercised in first 3 years, provided:
    • There is an absolute increase in imports
    • Measure is consistent with Agreement
    • (Art. 8)
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SAFEGUARDS: SPECIAL AND DIFFERENTIAL TREATMENT
  • Measures shall not apply to developing countries with imports
      • That do not exceed 3 per cent of total imports individually
      • Unless developing countries under 3 per cent together account for more than 9 per cent of total imports
      • (Art. 9.1)