World Trade Organization

• Author: International Law Group

The Appellate Body of the World Trade Organization (WTO) has issued its report in the U.S.-Canadian dispute over U.S. antidumping determinations regarding Canadian softwood lumber (DS/264). The dispute developed out of the anti-dumping investigation of the U.S. Department of Commerce (DOC) that began in April 2001. The DOC limited its investigation to the six largest Canadian exporters, and in April 2002 published its final anti-dumping duty order imposing duties of between 2.18 and 12.44 percent.

A WTO Panel had released its report in April 2004. See 2004 International Law Update 59. The Appellate Body (AB) upholds the Panel's finding that the U.S. action did not square with Article 2.4.2 of the Agreement in determining the existence of dumping margins based on a "zeroing" methodology, that is, adjusting to zero value...