DSB establishes a panel in reference to EC's measures concerning civil aircraft

The Dispute Settlement Body, on 9 May, established a second panel to consider additional EC and Member States measures affecting US' trade in large civil aircraft (WT/DS316).

> Disputes in the WTO
> Find disputes cases
> Find disputes documents

> Disputes chronologically
> Disputes by subject
> Disputes by country

NOTE:
This summary has been prepared by the WTO Secretariat’s Information and Media Relations Division to help public understanding about developments in WTO disputes. It is not a legal interpretation of the issues, and it is not intended as a complete account of the issues. These can be found in the reports themselves and in the minutes of the Dispute Settlement Body’s meetings.

I. DS316: European Communities and Certain Member States — Measures Affecting Trade in Large Civil Aircraft back to top

A. Request by the United States for a decision of the DSB (WT/DS316/5)

As discussed for the first time at the DSB meeting on 21 April 2006, the US requested again at today's meeting that the DSB decide to combine the panel, after its establishment, with the panel established on 20 July 2005. The US explained that it took a substantial investment of time and resources to compose the July 2005 panel. For this reason, the US was seeking to have this second US' panel being merged with the first one. For the second time, the EC rejected this request.

B. Request for the Establishment of a panel by the United States (WT/DS316/6)

In light of the EC's objection to refer the second panel to the existing one, the US said that it was obliged to request the DSB to establish a new panel. The EC did not object to its establishment. However, it argued that the alleged support for A350 did not exist and no commitment had been taken on whether or not EC Member States would wish to invest in this project. As a result, the EC strongly objected to the inclusion of this non-existing measure in the panel request. In response, the US argued that the concerned EC Member States had committed to the launch aid.

The DSB agreed to establish the panel.

Members who reserved their third-party rights were Canada, Brazil, Australia, China, Korea and Japan.

II. DS277: United States — Investigation of the International Trade Commission in Softwood Lumber from Canada: Recourse to Article 21.5 of the DSU by Canada back to top

A. Report of the Appellate Body (WT/DS277/AB/RW) and Report of the panel (WT/DS277/RW), (Annex A)

The DSB adopted the Panel and Appellate Body reports.

Canada welcomed the findings of the Appellate Body in respect of the standard of review to be applied by panels in trade remedy cases. The US stated that on 27 April 2006, the US and Canada reached an agreement on the basic terms for settling their decades-old differences over softwood lumber trade. The US added that this new development should bring an end to the present and other related lumber disputes.

III. DS294: United States — Laws, Regulations and Methodology for Calculating Dumping Margins (“Zeroing”) back to top

A. Report of the Appellate Body (WT/DS294/AB/R) and Report of the panel (WT/DS294/R), (Annex A)

The DSB adopted the Panel and Appellate Body reports.

Whereas the US was troubled by the Appellate Body report, the EC and other delegations welcomed the findings which clarified that a margin dumping should be in relation to a product under investigation and for an exporter or a foreign producer. In addition, the EC welcomed the US' initiative, which was announced on 6 March 2006, that the US' Department of Commerce would cease the zeroing practice.

The US requested that a written document, explaining at length its views on the findings, be circulated to all Members (WT/DS294/16).

IV. Next meeting back to top

The next meeting of the DSB will be on 17 May 2006.