Article

The ‘Mutuality’ of a mutually agreed solution under the Dispute Settlement Understanding

By Divyashree Suri

The article in this issue of International Trade Amicus discusses an interesting proposition which arose in a recent dispute before the WTO’s DSB in the case United States - Tariff Measures on Certain Goods from China (DS543). Relying on Article 12.7 of the Dispute Settlement Understanding (‘DSU’), the United States had requested the Panel to not issue findings regarding the tariffs imposed by the United States on certain Chinese imports. The Panel however, laid great emphasis on the absolute right of the Member Countries to initiate WTO dispute proceedings, if benefits being accrued to them are impaired by the measures adopted by a Member Country, under Article 3.3 of the DSU. According to the author, the Panel has clarified that for a solution to be accepted as a mutually agreed solution within the meaning of Article 12.7, the solution must be acceptable to both parties, i.e. should be mutual, and must resolve the issue at hand. The author notes that while shying away from commenting on the consequences of a solution which is not notified under Article 3.6, the Panel has emphasized on the importance of a written document which may serve as evidence of the existence of a mutually agreed solution...

Trade Remedy News

• 2-Ethyl Hexanol from European Union, Indonesia, Korea RP, Malaysia, Taiwan and USA – India initiates anti-dumping duty sunset review
• Acrylic Fibre from Belarus, European Union, Peru and Ukraine – Indian authorities (DGAD) recommend definitive anti-dumping duty
• Acrylic Fibre from Thailand – Indian authorities recommend continuation of anti-dumping duty after sunset review
• Aluminium and Zinc coated flat products from Korea RP – India initiates anti-dumping duty mid-term review limited to change of name of producer/exporter
• Axle for trailers from China – India initiates anti-dumping duty anti-circumvention investigation
• Calcium Gypsum Powder from Iran, Oman, Saudi Arabia and UAE – India initiates anti-dumping investigation
• Carbazole Violet Pigment 23 from India – USA initiates 3rd 5-year review
• Ceftriaxone Sodium Sterile from China – India initiates anti-dumping investigation
• Ciprofloxacin Hydrochloride from China – India imposes provisional anti-dumping duty
• Diketopyrrolo Pyrrole Pigment Red 254 (DPP Red 254) from China – Indian authorities recommend continuation of anti-dumping duty after sunset review
• Flat rolled products of Aluminium from China – India initiates anti-dumping investigation
• Flexible Slabstock Polyol from Saudi Arabia and United Arab Emirates – Indian authorities recommend definitive anti-dumping duty
• Float Glass of thickness 2 mm to 12 mm from China – India extends anti-dumping duty till 07-12-2020
• Frozen Warmwater Shrimp from India – USA issues notice of initiation and preliminary results of anti-dumping duty changed circumstances review
• Glass Fibre and articles thereof from China – India initiates sunset review of anti-dumping duty
• Hot Rolled Flat Products of Stainless Steel-304 grade from China, Malaysia and Korea RP – Indian authorities recommend continuation of anti-dumping duty after sunset review
• Hydrofluorocarbons (HFC) component R-32 from China – India initiates anti-dumping investigation
• Measuring tapes from China – India initiates anti-dumping duty anti-circumvention investigation 
• Melamine from China – India initiates sunset review of anti-dumping duty
• Methylene Chloride from China – India initiates sunset review of anti-dumping duty
• Non-woven fabric from Malaysia, Indonesia, Thailand, Saudi Arabia and China – India terminates anti-dumping investigation
• Normal Butanol from European Union, Malaysia, Singapore, South Africa and USA – India initiates sunset review of anti-dumping duty
• Persulphates from China and USA – India initiates anti-dumping investigation
• Phthalic Anhydride from Korea RP – Indian authorities recommend safeguard duty under bilateral measures
• Polyethylene Terephthalate from India – USA issues affirmative 5-year review of anti-dumping duty and countervailing duty
• PVC Suspension Grade Resin from Japan – India initiates bilateral safeguard investigation
• Silicone Sealants from China – India initiates anti-dumping investigation
• Sodium Hydrosulphite from China and Korea RP – India initiates anti-dumping investigation
• Toluene Di-Isocyanate from European Union, Saudi Arabia, Chinese Taipei and United Arab Emirates – Indian authorities recommend imposition of provisional anti-dumping duty 
• Tungsten electrodes from India – European Union terminates anti-dumping duty anti-circumvention investigation
• Untreated Fumed Silica from China and Korea RP – India initiates anti-dumping investigation
• Vitamin C from China – India initiates anti-dumping investigation

WTO News

• USA’s additional duties on certain Chinese goods violate WTO provisions 
• Indonesian and Russian localisation measures discussed at TRIMs Committee
• Safeguard investigations initiated around the world – Aluminium foil, Ceramic floor and wall tiles, High-density polyethylene and linear low-density polyethylene pellets and granules, and insulated wires and cables

India Customs & Trade Policy Update

• Merchandise Export from India Scheme – Ceiling and sunset notified
• FTAs – Bill of Entry formats revised to enforce requirements of CAROTA Rules
• Standard Unit Quantity Codes mandatory from 1-11-2020 for all exports/imports
• Faceless assessment for import of goods to be rolled out pan India from 31-10-2020 
• Steel Import Monitoring System – Compulsory registration of all goods falling under Chapters 72, 73 and 86 of ITC (HS)
• Onion exports prohibited
• LED products – Random sampling to be done

Ratio decidendi

• Anti-dumping duty – Action of Designated Authority asking for contemporary data, correct – Supreme Court
• General principles of GATT 1994 not fully applicable unless notified by Government under FTDR Act – Supreme Court
• Rate of duty when notification issued on same date when bills of entry presented – Time of issuance also important – Supreme Court
• Refund of anti-dumping duty – Protest payment – Madras High Court