The World Trade Organization implemented the Dispute Settlement Understanding (DSU) as a means for member countries to settle trade disputes in an orderly process. The process involves an alleged injured country (complainant) filing a request for consultations with the alleged injuring party (respondent). If the consultations do not result in a mutually acceptable outcome, the complainant may request a Panel to hear the case and provide recommendations in accordance with GATT other WTO agreements. If either party disputes the outcome, they may appeal to the Appellate Body (AB), which may uphold or overturn the panel’s decision. Compliance with the recommendations is not compulsory however if a country does not conform to recommendations, the other party may request and impose sanctions on the other party if they are granted (Trebilock, Howe, & Eliason, 2013). Following are summaries of three cases presented before the Dispute Settlement Body.
Japan — Measures Affecting the Importation of Apples
On March 1, 2002, the United States (US) filed a request for consultations with Japan concerning their Sanitary Phytosanitary (SPS) regulations. At issue was Japans policy of restricting importation of apples from the US to prevent against fire blight bacterium. Since 1994, Japan had required triannual inspection of US apple orchards for fire blight, and banned importation from any orchard showing sign of the blight within a 500-meter perimeter of the orchard. It further required the sanitization of harvested apples with chlorine. The US argued
Japan's measures appear to be inconsistent with the obligations of Japan under Article XI of GATT 1994, Articles 2.2, 2.3, 5.1, 5.2, 5.3, 5...
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...pan - Measures affecting the importation of apples - Report of the panel. Retrieved from World Trade Organization: https://docs.wto.org/dol2fe/Pages/FE_Search/FE_S_S009-DP.aspx?language=E&CatalogueIdList=14714&CurrentCatalogueIdIndex=0&FullTextSearch=
Summary. (2010, February 24). Summary of the dispute to date. Retrieved from World Trade Organization: http://www.wto.org/english/tratop_e/dispu_e/cases_e/ds245_e.htm
Trebilock, M., Howe, R., & Eliason, A. (2013). The Regulation of International Trade. New York, NY: Routledge.
WT/DS243/8. (2003, July 21). United States - Rules of Origin for Textiles and Apparel Products - Panel Report - Action by the Dispute Settlement Body. Retrieved from World Trade Organization: https://docs.wto.org/dol2fe/Pages/FE_Search/FE_S_S006.aspx?Query=(@Symbol=%20wt/ds243/*)&Language=ENGLISH&Context=FomerScriptedSearch&languageUIChanged=true#
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