DISPUTE SETTLEMENT

DS: Brazil — Measures concerning the Importation of PET Film from Peru and Imported Products in General

This summary has been prepared by the Secretariat under its own responsibility. The summary is for general information only and is not intended to affect the rights and obligations of Members.

  

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Summary of the dispute to date

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Consultations

Complaint by Peru

On 10 July 2020, Peru requested consultations with Brazil regarding certain measures that concern the importation to and commercialization in Brazil of biaxially-oriented polyethylene terephthalate (PET) film from Peru and imported products in general. The following are the measures Peru referred to: (a) definitive anti-dumping duties imposed by Brazil's investigative authority on PET film, including the different stages of the underlying investigation; (b) an alleged practice by Brazil's investigating authority that includes not requiring the domestic industry to provide, with the initiation application, evidence relating to internal sales in the country of origin or export, and accepting, instead, unverified and unrepresentative information on normal value; and (c) tax treatment allegedly received by imported products in general, including PET film, through the imposition of the Tax on Industrialized Products (IPI Tax).

Peru claimed that measure (a) above (the definitive anti-dumping measures imposed on PET film) appears to be inconsistent with:

  • Articles 1, 2.1, 2.2, 2.2.2, 2.4, 3.1, 3.2, 3.4, 3.5, 5.2, 5.3, 5.8, 6.8 and 18.1 and Annex II of the Anti-Dumping Agreement; and
      
  • Article VI of the GATT 1994.

Peru claimed that measure (b) above (the alleged practice by Brazil's investigating authority) appears to be inconsistent with:

  • Articles 2.1, 2.4, 5.2 and 5.3 of the Anti-Dumping Agreement.

Peru claimed that measure (c) above (IPI Tax) appears to be inconsistent with:

  • Articles III:2, first and second sentence, and III:4 of the GATT 1994.

On 24 July 2020, Bahrain requested to join the consultations.

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