World Trade Organization
Author | International Law Group |
A Dispute Settlement Panel of the World Trade Organization has issued its report in the dispute over U.S. safeguard measures on lamb meat from New Zealand and Australia. Circulated on December 21, 2000, the Report concerns the definitive safeguard measures that the U.S. had imposed in the form of a tariff-rate quota. Based on a complaint by U.S. trade organizations, the U.S. International Trade Commission (USITC) found on February 9, 1999, that increased imports of lamb meat posed a threat of serious injury to the U.S. lamb industry (see USITC Publication 3176 "Lamb Meat," Investigation TA-201-68, April 1999).
The U.S. quota imposed on July 7, 1999, gave Australia for the first year an annual allocation of 17,139,582 kg, and New Zealand an allocation of 14,481,603 kg. For the first year, the In-Quota Tariff Duty was 9 percent, the Out-of-Quota Tariff Duty was 40 percent. The measure was to continue for a total of three years with increasing allocations and declining tariff duties. The safeguard measure did not apply to imports from Canada or Mexico, or from beneficiary countries of certain preferential trade arrangements such as those within the Caribbean Basin Economic Recovery Act.
Among other claims, Australia and New Zealand argued that the USITC report failed to show that increased lamb meat imports were threatening to cause serious injury to...
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