RESTRICTEDWORLD TRADE
ORGANIZATIONWT/DSB/W/111
8 September 1999
(99-3728)
Dispute Settlement Body
DISPUTE SETTLEMENT BODY
Draft Annual Report (1999)1
The present report has been prepared in pursuance of the Procedures for an Annual Overview
of WTO Activities and for Reporting under the WTO (WT/L/105), and sets out the actions taken by
the Dispute Settlement Body (DSB) in the period since its previous annual report.2
In carrying out its task, the DSB has held 15 meetings since the period covered by the
previous report.  The minutes of these meetings, which remain the record of the DSB's work, arecontained in documents WT /DSB/M/53 - WT/DSB/M/67.
The following subjects are included in the report:
Page
1. Election of Chairperson...................................................................................................... ......3
2. Rules of Conduct............................................................................................................. ..........3
3. Review of the DSU ............................................................................................................ ........3
4. Indicative list of governmental and non-governmental panelists.........................................3
5. Adoption of panel reports .................................................................................................... ....4
6. Time-periods under Article 16.4 of the DSU expiring in the month of August...................4
7. Argentina - Measures affecting imports of footwear:  Request for the
establishment of a panel by the United States ........................................................................5
8. European Communities - Measures affecting differential and favourable
treatment of coffee:  Request for consultations by Brazil .....................................................5
9. European Communities - Measures affecting the importation of certain poultry
products ....................................................................................................................... ..............5
10. European Communities - Regime for the importation, sale and distribution of
bananas ........................................................................................................................ ..............5
11. Recourse to dispute settlement procedures ............................................................................6
(a) Argen tina ................................................................................................................... .................6
(i) Measures affecting im ports of footwear .....................................................................................6
(ii) Measures affecting the export of bovine hi des and the import of  finished leather .....................6
(iii) Safeguard measures on imports of footwear ..............................................................................6
(b) Austr alia................................................................................................................... ...................7
(i) Measures affecting im portation of salmon .................................................................................7
(ii) Measures affecting the importation of salmonids.......................................................................7
                                                     
1The Overview of the State of Play of WTO Disputes since 1 January 1995 to 31 August 1999 prepared
by the Secretariat on its own responsibility is included, for practical purposes, in an Addendum to this report.
2WT/DSB/14, Add.1, Add.1/Corr.1 and Add.2.WT/DSB/W/111
Page 2
(iii) Subsidies provided to producers an d exporters of auto motive leather.......................................7
(c) Brazil...................................................................................................................... .....................8
(i) Export financing programme for aircraft ...................................................................................8
(d) Canada ...................................................................................................................... ..................8
(i) Certain measures affecti ng the automoti ve industry...................................................................8
(ii) Measures affecting the ex port of civili an aircraft.......................................................................8
(iii) Patent protection of pharmaceutical products............................................................................9
(iv) Terms of patent protection................................................................................................. .........9
(e) European Commun ities........................................................................................................ .......9
(i) Measures concerning meat and meat products (hormones) .......................................................9
(ii) Regime for the importation, sa le and distribution of bananas .................................................10
(iii) Regime for the importation, sale and distribution of bananas - Recourse to Article
21.5 of the DSU by Ecuador ..................................................................................................... 11
(f) Guatem ala ................................................................................................................... ..............12
(i) Definitive anti-dumping measure on grey Portland cement from Mexico................................12
(g) Japan ....................................................................................................................... ..................12
(i) Measures affecting ag ricultural products.................................................................................12
(h) Korea....................................................................................................................... ..................12
(i) Measures affecting go vernment procurement...........................................................................12
(ii) Measures affecting imports of fresh, chilled and frozen beef ...................................................13
(iii) Taxes on alc oholic beverages .............................................................................................. .....14
(i) United States............................................................................................................... ..............14
(i) Anti-Dumping Act of 1916 .................................................................................................... ....14
(ii) Anti-dumping duty on dynamic random access memory semiconductors (DRAMS) of
one megabit or above from Korea ............................................................................................15
(iii) Definitive safeguard measures on imports of wheat gluten from the European
Communities .................................................................................................................... .........15
(iv) Import measures on certain products from the European Communities ..................................16
(v) Import prohibition of certain shrimp and shrimp products ......................................................16
(vi) Imposition of countervailing duties on certain hot-rolled lead and bismuth carbon
steel products originating in the United Kingdom....................................................................17
(vii) Section 110(5) of the US Copyright Act.................................................................................... 17
(viii) Sections 301 - 310 of th e Trade Act of 1974.............................................................................1 7
12. Surveillance of implementation of recommendations adopted by the DSB.......................18
(a) Argen tina ................................................................................................................... ...............18
(i) Measures affecting imports of footwear, textiles, apparel and other items..............................18
(b) European Commun ities........................................................................................................ .....19
(i) Measures concerning meat and meat products (hormones) .....................................................19
(ii) Regime for the importation, sale and distribution of bananas - Recourse to Article
21.5 of the DSU by Ecuador ..................................................................................................... 20
(c) India ....................................................................................................................... ...................20
(i) Patent protection for pharmaceutical  and agricultural chem ical products .............................20
(d) Indonesia................................................................................................................... ................21
(i) Certain measures affecti ng the automobile industry ................................................................21
(e) United States............................................................................................................... ..............21
(i) Import prohibition of certain shrimp and shrimp products ......................................................21WT/DSB/W/111
Page 3
1. Election of Chairperson (WT/DSB/M/55 and Corr.1)
At the DSB meeting on 17 February 1999, the DSB elected Mr. Nobutoshi Akao (Japan) as
Chairman by acclamation.
The representatives of Canada, United States, Ecuador, Australia, Turkey, Argentina, Japan,
European Communities, Philippines, also on behalf of the ASEAN Members, and the outgoing
Chairman spoke.
The DSB took note of the statements.
2. Rules of Conduct (WT/DSB/M/54)
At the DSB meeting on 25, 28 and 29 January and 1 February 1999, the Chairman recalled
that at the 25 November 1998 DSB meeting, he had made a statement to the effect that, in accordance
with Section IX of the Rules of Conduct "the Rule s of Conduct shall be reviewed within two years of
their adoption and a decision shall be taken by the DSB as to whether to continue, modify or terminate
these Rules".  At that meeting he had proposed that, if delegations had no objections, the DSB at itsnext regular meeting, would decide to continue to apply the current Rules of Conduct
(WT/DSB/RC/1) and to review them at a later stage, as necessary.  Since he had not received any
objections, he proposed that the DSB decide to continue to apply the current Rules of Conduct as
contained in WT/DSB/RC/1 and review th em at a later stage, as necessary.
The DSB so agreed.
3. Review of the DSU (WT/DSB/M/67)
At the DSB meeting on 20 August 1999, the Chairman recalled that at the 30 July informal
DSB meeting on the DSU Review, Members had not been in a position to reach consensus with
regard to a possible recommendation on the DSU Review.  He noted that since the deadline for
completion of the Review had expired on 31 July 1999, further informal discussions to be held would
have to be ratified retroactively by the General Council at its meeting on 6 October.  He would
therefore carry out informal consultations in the beginning of September with a view to finalizing a
report on the DSU Review to be presented to the General Council at its meeting scheduled for
6 October.
The DSB took note of the statement.
4. Indicative list of governmental and non- governmental panelists (WT/DSB/M/54, 55 and
Corr.1, 60, 62)
At its meeting on 25, 28 and 29 January and 1 February 1999, the DSB approved the names
contained in document WT/DSB/W/89 proposed for inclusion on the indicative list in accordance
with Article 8.4 of the DSU.
At its meeting on 17 February 1999, the DSB approved the names contained in document
WT/DSB/W/92 proposed for inclusion on the indicativ e list in accordance with Article 8.4 of the
DSU.WT/DSB/W/111
Page 4
At its meeting on 28 April 1999, the DSB approved the names contained in document
WT/DSB/W/99 proposed for inclusion on the indicativ e list in accordance with Article 8.4 of the
DSU.
At its meeting on 26 May 1999, the DSB approved the names contained in document
WT/DSB/W/103 proposed for inclusion on the indicativ e list in accordance with Article 8.4 of the
DSU.
5. Adoption of panel reports (WT/DSB/M/62, 63)
At the DSB meeting on 26 May 1999, the Chairman sought Members' views on the question
of how to deal with a situation in which a panel report was not placed on the DSB agenda within the
60-day time-period required under the DSU.
The representative of the European Communities, United States, India and Ecuador spoke.The DSB took note of the statements.At the DSB meeting on 3 June 1999, the Chairman reported on the outcome of his
consultations on the question of the adoption of the Report of the original Panel on "European
Communities – Regime for the Importation, Sale and Distribution of Bananas – Recourse to Article
21.5 of the DSU by the European Communities (WT/DS27/RW/EEC and Corr.1).
The representatives of Panama, Philippines, Un ited States, Turkey, Uruguay, Brazil, India and
Hong Kong, China spoke.
The DSB took note of the statements.
6. Time-periods under Article 16.4 of the DSU expiring in the month of August
(WT/DSB/M/65)
At the DSB meeting on 26 July 1999, the EC represen tative drew attention to the fact that the
60-day time-period under Article 16.4 of the DSU for adoption of three Panel Reports3 would expire
in August.  For practical purposes, the EC proposed that the DSB agree to postpone consideration ofthese Panel Reports on the understanding that the rights of the parties to appeal would be fully
preserved.
The representatives of the European Communities, Korea, Argentina, Chile, Mexico and the
Philippines spoke.
The DSB took note of the statements and agreed  to the proposal made by the EC to postpone
the consideration of the three Panel Reports referred to by the EC.
                                                     
3Panel Reports on:  "Chile - Taxes on Alcoholic Beverages" (WT/DS87/R - WT/DS110/R);
"Argentina - Safeguard Measures on Imports of Footwear" (WT/DS121/R);  and "Korea - Definitive Safeguard
Measure on Imports of Certain Dairy Products" (WT/DS98/R).WT/DSB/W/111
Page 5
7. Argentina - Measures affecting imports of footwear:  Request for the establishment of a
panel by the United States (WT/DSB/M/62)
At the DSB meeting on 26 May 1999, the representative of Argentina expressed his country's
concern with regard to the inclusion on the agenda of the special DSB meeting scheduled for 3 June
of the US request for the establishment of a panel on this matter (WT/DS164/3).  In Argentina's view,
the US action violated the current practice to limit the agendas of special meetings to those matters
which required the convening of special meetings and could not be postponed due to strict time-
periods under the DSU.
The representative of the United States spoke.The DSB took note of the statements.
8. European Communities - Measures affectin g differential and favourable treatment of
coffee:  Request for consultations by Brazil (WT/DSB/M/54)
At the DSB meeting on 25, 28 and 29 January and 1 February 1999, the representative of
Colombia expressed his delegation's concern about Brazil's request for consultations with the EC on
this matter (WT/DS154/1).  Colombia was concerned that Brazil had made its request for
consultations under Article XXIII of GATT 1994, thereby preventing other interested parties from
participating therein.  Colombia believed that the request should have been made under Article XXII
of GATT 1994 which would allow interested countries to join in the consultations.
The representative of Colombia, Costa Rica, Honduras, Guatemala, El Salvador, Ecuador,
Venezuela, Bolivia and Brazil spoke.
The DSB took note of the statements.
9. European Communities - Measures affecting the importation of certain poultry
products (WT/DSB/M/55 and Corr.1, 57)
At the DSB meeting on 17 February 1999, the representative of Brazil made a statement
concerning the implementation by the EC of the DSB's recommendations on this matter.
The representatives of Brazil and the European Communities spoke.The DSB took note of the statements.At the DSB meeting on 19 March 1999, the representative of Brazil made a statement
concerning the implementation by the EC of the DSB's recommendations on this matter.
The representative of Brazil and the European Communities spoke.The DSB took note of the statements.
10. European Communities - Regime for the importation, sale and distribution of bananas
(WT/DSB/M/54)
At the DSB meeting on 25, 28 and 29 January and 1 February 1999, the representative of
Panama sought clarification from the Secretariat as to why a status report on the EC's banana importWT/DSB/W/111
Page 6
regime had not been placed on the agenda of the meeting under the item concerning the surveillance
of implementation of the recommendations adopted by the DSB.
The representative of the Secretariat spoke.
The DSB took note of the statements.
11. Recourse to dispute settlement procedures
(a) Argentina
(i) Measures affecting imports of footwear (WT/DSB/M/65)
At its meeting on 26 July 1999, the DSB considered a request by the United States for the
establishment of a panel to examine its complaint with regard to certain measures implemented by
Argentina affecting imports of footwear (WT/DS164/4).
The representatives of the United States, Argentina and Indonesia spoke.
The DSB took note of the statements and agreed to establish a panel in accordance with the
provisions of Article 6 of the DSU with standard terms of reference.4
(ii) Measures affecting the export of bovine hides and the import of finished leather
(WT/DSB/M/64, 65)
At its meeting on 16 June 1999, the DSB considered a request by the European Communities
for the establishment of a panel to examine its complaint concerning certain measures taken by
Argentina on the export of bovine hides and the imports of finished leather (WT/DS155/2).
The representatives of the European Communities and Argentina spoke.The DSB took note of the statements and agreed to revert to this matter.At its meeting on 26 July 1999, the DSB again considered this matter.
The representatives of the European Communities and Argentina spoke.
The DSB took note of the statements and agreed to establish a panel in accordance with the
provisions of Article 6 of the DSU with standard terms of reference.
(iii) Safeguard measures on imports  of footwear (WT/DSB/M/60)
At its meeting on 28 April 1999, the DSB considered a request by Indonesia for the
establishment of a panel to examine the provisional and definitive safeguard measures and the
subsequent modifications imposed by Arge ntina on imports of footwear (WT/DS123/3).
The representatives of Indonesia, Argentina, European Communities, Uruguay, Venezuela
and Hong Kong, China spoke.
The DSB took note of the statements and agreed to revert to this matter at a later date.
                                                     
4After the meeting Indonesia reserved its third-party rights to participate in the Panel's proceedings.WT/DSB/W/111
Page 7
(b) Australia
(i) Measures affecting importat ion of salmon (WT/DSB/M/66)
At the DSB meeting on 27 and 28 July 1999 the DSB considered a request by Canada under
Article 22.2 of the DSU to suspend the application to Australia of tariff concessions and related
obligations under the GATT 1994 (WT/DS18/12).  Also at that meeting, the DSB considered a
request by Canada under Article 21.5 of the DSU fo r determination of consistency of implementation
measures in the salmon case (WT/DS18/14)
The representatives of Canada, Australia, European Communities, Japan, United States, India
and Indonesia spoke.
The DSB took note of the statements and agreed that, as requested by Australia pursuant to
Article 22.6 of the DSU, the matter be referred to arbitration to determine the level of suspension of
concessions requested by Canada in document WT/DS18/12.  The DSB further agreed that the
Article 21.5 request by Canada be referred to the original Panel.
(ii) Measures affecting the importation of salmonids (WT/DSB/M/62, 64)
At its meeting on 26 May 1999, the DSB considered a request by the United States for the
establishment of a panel to examine its complaint with regard to Australia's import prohibition on
fresh, chilled or frozen salmonids, including salmon (WT/DS21/4).
The representative of the United States, Australia and Canada spoke.
The DSB took note of the statements and agreed to revert to this matter.At its meeting on 16 June 1999 the DSB again considered this matter.
The representatives of the United States, Australia, Philippines, India, Malaysia, Korea,
European Communities, Canada, Hong Kong, China and the Chairman spoke.
The DSB took note of the statements and agreed to establish a panel in accordance with the
provisions of Article 6 of the DSU.  With regard to  the terms of reference, the Chairman said that the
parties to the dispute would make efforts to try to reach agreement on the terms of reference of thePanel.  The DSB took note of the statement made by Australia to the effect that under Article 7.3 of
the DSU "the DSB might authorize its Chairman to  draw up the terms of reference of a panel in
consultation with the parties to the dispute".
The representatives of Canada, European Communities, India, Norway and Hong Kong,
China reserved their third-party rights to participate in the Panel's proceedings.
5
(iii) Subsidies provided to producers and exporters of automotive leather (WT/DSB/M/64)
In June 19986, the DSB had established a panel to examine the complaint by the United States
with regard to certain subsidies provided by Aust ralia to its producers and exporters of automotive
leather.
                                                     
5After the meeting Iceland reserved its third-party rights to participate in the Panel's proceedings.
6WT/DSB/M/46.WT/DSB/W/111
Page 8
At its meeting on 16 June 1999, the DSB considered the Panel Report contained in
WT/DS126/R pertaining to the complaint by the United States.
The representatives of Australia, United States and the European Communities spoke.
The DSB took note of the statements a nd adopted the Panel Report contained in
WT/DS126/R.
(c) Brazil
(i) Export financing programme fo r aircraft (WT/DSB/M/67)
In July 19987 the DSB had established a panel to examine the complaint by Canada with
regard to certain export subsidies granted under the Brazilian Programa de Financiamento às
Exportações  (PROEX).  In May 1999 Brazil and Canada had notified the DSB of their decisions to
appeal certain issues of law and legal interpretations developed by the Panel.
At its meeting on 20 August 1999, the DSB considered the Appellate Body Report in
WT/DS46/AB/R and the Panel Report in WT/DS46/R pertaining to the complaint by Canada.
The representatives of Canada and Brazil spoke.The DSB took note of the statements and adopted the Appellate Body Report in
WT/DS46/AB/R and the Panel Report in WT/DS46/ R as modified by the Appellate Body Report.
(d) Canada
(i) Certain measures affecting the automotive industry (WT/DSB/M/54)
At its meeting on 25, 28 and 29 January and 1 February 1999, the DSB considered two
requests for the establishment of a panel to examine the complaints by Japan (WT/DS139/2) and the
European Communities (WT/DS142/2) with regard to certain aspects of Canada's automotive trade
regime.
The representatives of Japan, European Communities and Canada spoke.The DSB took note of the statements and agreed to establish a single panel in accordance with
the provisions of Article 9.1 of the DSU, with standard terms of reference.
India, Korea and the United States reserved their third-party rights to participate in the Panel's
proceedings.
(ii) Measures affecting the export of civilian aircraft (WT/DSB/M/67)
In July 1998
8 the DSB had established a panel to examine the complaint by Brazil with regard
to certain subsidies granted by Canada to support its export of civilian aircraft.  In May 1999 Canada
and Brazil had notified the DSB of their decisions to appeal certain issues of law and legal
interpretations developed by the Panel.
                                                     
7WT/DSB/M/47.
8WT/DSB/M/47.WT/DSB/W/111
Page 9
At its meeting on 20 August 1999, the DSB considered the Appellate Body Report in
WT/DS70/AB/R and the Panel Report in WT/DS70/R pertaining to the complaint by Brazil.
The representatives of Brazil, Canada, European Communities, United States and the
Chairman spoke.
The DSB took note of the statements and adopted the Appellate Body Report in
WT/DS70/AB/R and the Panel Re port in WT/DS70/R as upheld by the Appellate Body Report.
(iii) Patent protection of pharmaceutical products (WT/DSB/M/54)
At its meeting on 25, 28 and 29 January and 1 February 1999, the DSB considered a request
by the European Communities for the establishment of  a panel to examine its complaint with regard to
certain aspects of Canada's patent laws and regulations (WT/DS114/5).
The representative of the European Communities and Canada spoke.The DSB took note of the statements and agreed to establish a panel in accordance with the
provisions of Article 6 of the DSU, with standard terms of reference.
Australia, Brazil, Cuba, India, Israel, Japan, Poland, Switzerland and the United States
reserved their third-party rights to participate in the Panel's proceedings.
9
(iv) Terms of patent protection (WT/DSB/M/65)
At its meeting on 26 July 1999, the DSB considered a request by the United States for the
establishment of a panel to examine its complaint wi th regard to the grant of patent terms in Canada
(WT/DS170/2).
The representatives of the United States, Canada and the Philippines spoke.
The DSB took note of the statements and agreed to revert to this matter.
(e) European Communities
(i) Measures concerning meat and meat products (hormones) (WT/DSB/M/63, 65)
At its meeting on 3 June 1999, the DSB considered the requests by the United States
(WT/DS26/19) and Canada (WT/DS48/17) under Article 22.2 of the DSU for suspension of the
application to the European Communities and its member States of tariff concessions and related
obligations under the GATT 1994.
The representatives of the European Communities, United States, Canada, Philippines, India,
Bulgaria, Uruguay and Hong Kong, China spoke.
The DSB took note of the statements and that, in light of the EC's request, each matter shall
be referred to arbitration by the original Panel in accordance with Article 22.6 of the DSU.
At its meeting on 26 July 1999, the DSB considered the requests under Article 22.7 of the
DSU by the United States (WT/DS26/21) and Canada (WT/DS48/19) for suspension of the
                                                     
9After the meeting Colombia and Thailand reserved their third party-rights to participate in the panel's
proceedings.WT/DSB/W/111
Page 10
application to the European Communities and its member States of tariff concessions and related
obligations under the GATT 1994.
The representatives of the United States, Canada, European Communities and Australia
spoke.
The DSB took note of the statements and, pursuant to the requests under Article 22.7 of the
DSU by the United States (WT/DS26/21) and Canada (WT/DS48/19), agreed to grant authorization to
suspend the application to the European Communities and its member States of tariff concessions and
related obligations under the GATT 1994, consistent with the Decisions of the Arbitrators contained
in documents WT/DS26/ARB an d WT/DS48/ARB, respectively.
(ii) Regime for the importation, sale and di stribution of bananas (WT/DSB/M/53, 54, 59)
At its meeting on 12 January 1999, the DSB considered Ecuador's request to reconvene the
original Panel under Article 21.5 of the DSU to examine the implementation of the DSB's
recommendations in the matter "European Communities - Regime for the Importation, Sale and
Distribution of Bananas (WT/DS27/41).
The representatives of Ecuador, European Communities, Mexico, Japan and the Chairman
spoke.
The DSB took note of the statements and agreed to refer to the original Panel, pursuant to
Article 21.5 of the DSU, the matter raised by Ecuador in document WT/DS27/41.  It was agreed that
the panel would have standard terms of reference.
Colombia, Costa Rica, Côte d'Ivoire, Domini ca, Dominican Republic, Jamaica, Mauritius,
Nicaragua, Saint Lucia and Saint Vincent and the Grenadines reserved their third-party rights toparticipate in the Panel's proceedings.
10
Also at its meeting on 12 January 1999, the DSB considered the EC's request to reconvene the
original Panel, under Article 21.5 of the DSU to examine the implementation of the DSB'srecommendations in the matter, "European Communities - Regime for the Importation, Sale and
Distribution of Bananas" (WT/DS27/40).
The representatives of the European Communities, United States, Panama, Guatemala,
Honduras, Saint Lucia, Philippines, Mexico, Ecuador, India and the Chairman spoke.
The DSB took note of the statements and agreed to refer to the original Panel, pursuant to
Article 21.5 of the DSU, the matter raised by the European Communities in document WT/DS27/40.It was agreed that the panel would have standard terms of reference.
Colombia, Costa Rica, Côte d'Ivoire, Domi nica, Dominican Republic, India, Jamaica,
Mauritius, Nicaragua, Saint Lucia and Saint Vincen t and the Grenadines reserved their third-party
rights to participate in the panel's proceedings.
11
                                                     
10After the meeting Belize, Brazil, Cameroon, Grenada and Haiti reserved their third-party rights to
participate in the Panel's proceedings.
11After the meeting, Belize, Cameroon, Grenada, Haiti and Japan reserved their third-party rights to
participate in the Panel's proceedings.WT/DSB/W/111
Page 11
At the DSB meeting on 25, 28 and 29 January and 1 February 1999, prior to the adoption of
the agenda, there was a procedural debate on the question of whether the DSB was competent to deal
with the US request for suspension of concessions (WT/DS27/43).
The representatives of Dominica, United States, Colombia, India, Saint Lucia, Honduras,
European Communities, Côte d'Ivoire, Panama, Guatemala, Turkey, Japan, Philippines, Ecuador,
Canada, Mexico, the Director-General and the Chairman spoke.
Following the adoption of the agenda, the DSB considered the US request under Article 22.2
of the DSU for suspension of the application to the European Communities and its member States of
tariff concessions and related obligations under the GATT 1994 (WT/DS27/43).
The representatives of Saint Lucia, United States, European Communities, Mauritius, Japan,
Philippines, Dominica, India, Honduras, Trinidad and Tobago, Hungary, also on behalf of Bulgaria,
Czech Republic, Poland, Romania, Slovak Republic and Slovenia, and the representatives of
Switzerland, Norway, Panama, Barbados, Indonesia, Canada, Colombia, Jamaica, Korea, Brazil,
Guatemala, Australia, Argentina, New Zealand, Egypt, Turkey, Malaysia and the Chairman spoke.
The DSB took note of the statements and agreed that the matter be referred to arbitration by
the original Panel in accordance with Article 22.6 of the DSU.
At its meeting on 19 April 1999, the DSB considered the request by the United States under
Article 22.7 of the DSU for suspension of the application to the European Communities and its
member States of tariff concessions and related obligations under the GATT 1994 (WT/DS27/49).
The representatives of the United States, European Communities, Japan, Panama, Brazil,
India, Mexico, Guatemala, Côte d'Ivoire, Jamaica, Philippines, Egypt, Australia, Mauritius, Indonesia,
Norway and the Chairman spoke.
The DSB took note of the statements and pursuant to the US request under Article 22.7 of the
DSU, agreed to grant authorization to suspend the application to the European Communities of tariff
concessions and related obligations under the GATT 1994, consistent with the Decision of the
Arbitrators contained in document WT/DS27/ARB.
(iii) Regime for the importation, sale and distribution of bananas - Recourse to Article 21.5 of the
DSU by Ecuador (WT/DSB/M/61, 63)
At its meeting on 6 May 1999, the DSB considered the Report of the original Panel
reconvened in accordance with Article 21.5 of the DSU at the request of Ecuador to examine the
implementation of the DSB's recommendations in the matter of "European Communities - Regime forthe Importation, Sale and Distributi on of Bananas" (WT/DS27/RW/ECU).
The representatives of Ecuador, European Communities, United States, Guatemala, Panama,
Costa Rica, Australia, Brazil, Colombia, Japan, Mexico, India, Jamaica, Côte d'Ivoire, Turkey and
Hong Kong, China spoke.
The DSB took note of the statements a nd adopted the Panel Report contained in
WT/DS27/RW/ECU.
At the DSB meeting on 3 June 1999, the representative of Ecuador made a statement
concerning the implementation by the EC of the DSB's recommendations on this matter.  He
requested the EC to report on its progress towards implementation.WT/DSB/W/111
Page 12
The representatives of Ecuador, European Communities, United States, Guatemala, Panama,
Mexico, Colombia, Honduras and the Chairman spoke.
The DSB took note of the statements and agreed to revert to this matter.
(f) Guatemala
(i) Definitive anti-dumping measure on grey Po rtland cement from Mexico (WT/DSB/M/65)
At its meeting on 26 July 1999, the DSB considered a request by Mexico for the
establishment of a panel to examine its complaint with regard to Guatemala's definitive anti-dumping
measure on grey Portland cement from Mexico (WT/DS156/2).
The representatives of Mexico and Guatemala spoke.The DSB took note of the statements and agreed to revert to this matter.
(g) Japan
(i) Measures affecting agricultur al products (WT/DSB/M/57, 58)
In November 1997,
12 the DSB had established a panel to examine the complaint by the United
States with regard to Japan's prohibition of imports of agricultural products.  In November 1998,
Japan had notified the DSB of its decision to appeal certain issues of law and legal interpretations
developed by the Panel.
At its meeting on 19 March 1999, the DSB considered the Appellate Body Report in
WT/DS76/AB/R and the Panel Report in WT/DS76/R pertaining to the complaint by the United
States.
The representatives of the United States, Japan, European Communities, Brazil and Hungary
spoke.
The DSB took note of the statements and adopted the Appellate Body Report in
WT/DS76/AB/R and the Panel Report in WT/DS76/ R as modified by the Appellate Body Report.
At the DSB meeting on 15 July 1999, the representative of Japan informed the DSB of his
country's intentions in respect of implementation of the DSB's recommendations on this matter.  He
said that Japan would consult with the United States on a reasonable period of time forimplementation.
The representatives of Japan, United States and Australia spoke.The DSB took note of the statements and of the information provided by Japan in respect of
implementation of the DSB's recommendations.
(h) Korea
(i) Measures affecting government procurement (WT/DSB/M/62, 64)
                                                     
12WT/DSB/M/39.WT/DSB/W/111
Page 13
At its meeting on 26 May 1999, the DSB considered a request by the United States for the
establishment of a panel to examine its complaint wi th regard to Korea's airport procurement practices
(WT/DS163/4).
The representatives of the United States and Korea spoke.The DSB took note of the statements and agreed to revert to this matter.At its meeting on 16 June 1999, the DSB again considered this matter.
The representatives of the United States and Korea spoke.
The DSB took note of the statements and agreed to establish a panel in accordance with the
provisions of Article 6 of the DSU with standard terms of reference.
The European Communities and Japan reserved thei r third-party rights to participate in the
Panel's proceedings.
(ii) Measures affecting imports of fresh, chilled and frozen beef (WT/DSB/M/60, 62, 65)
At its meeting on 28 April 1999, the DSB considered a request by the United States for the
establishment of a panel to examine its complaint with regard to Korea's restrictions on imports of
beef (WT/DS161/5).
The representatives of the United States and Korea spoke.The DSB took note of the statements and agreed to revert to this matter.
At its meeting on 26 May 1999, the DSB again considered this matter.
The representatives of the United States and Korea spoke.
The DSB took note of the statements and agreed to establish a panel in accordance with the
provisions of Article 6 of the DSU with standard terms of reference.
Australia, Canada and New Zealand reserved their third-party rights to participate in the
Panel's proceedings.
At its meeting on 26 July 1999, the DSB considered a request by Australia for the
establishment of a panel to examine its complaint on Korea's restrictions on imports of beef
(WT/DS169/5).
The representatives of Australia, Korea and the United States spoke.The DSB took note of the statements and agreed that Australia's request for the establishment
of a panel with standard terms of reference be accepted, and that as provided for in Article 9 of the
DSU in respect of multiple complainants, the Panel established on 26 May 1999 to examine the
complaint by the United States contained in WT/DS161/5 would also examine Australia's complaint
in document WT/DS169/5.
Canada, New Zealand and the United States reserved their third-party rights to participate in
the proceedings of the Panel established at the request of Australia.WT/DSB/W/111
Page 14
(iii) Taxes on alcoholic beverages (WT/DSB/M/55 and Corr.1, 57, 60)
In October199713, the DSB agreed to establish a single panel to examine the complaints by
the European Communities and the United States.  In October 1998, Korea notified the DSB of its
decision to appeal certain issues of law and legal interpretations developed by the Panel.
At its meeting on 17 February 1999, the DSB considered the Appellate Body Report in
WT/DS75/AB/R - WT/DS84/AB/R and the Panel Report in WT/DS75/R - WT/DS84/R pertaining to
the complaints by the European Communities and the United States.
The representatives of Korea, United States and the European Communities spoke.The DSB took note of the statements and adopted the Appellate Body Report in
WT/DS75/AB/R - WT/DS84/AB/R and the Panel Report in WT/DS75/R - WT/DS84/R as upheld by
the Appellate Body Report.
At the DSB meeting on 19 March 1999, the representative of Korea informed the DSB of his
country's intentions in respect of implementation of the DSB's recommendations pursuant to
Article 21.3 of the DSU.  He said that in light of its legislative process, Korea would require a
reasonable period of time in order to comply with the DSB's recommendations.
The representatives of Korea, European Communities and the United States spoke.
The DSB took note of the statements and of the information provided by Korea regarding its
intentions in respect of implementation of the DSB's recommendations.
At the DSB meeting on 28 April 1999, the representative of Korea informed the DSB that the
United States and Korea had agreed on 23 April 1999 to appoint Mr. C.-D. Ehlermann as arbitrator to
determine a reasonable period of time for implementation of the DSB's recommendation in the case:
"Korea - Taxes on Alcoholic Beverages".
The DSB took note of the statement.
(i) United States
(i) Anti-Dumping Act of 1 916 (WT/DSB/M/54, 64, 65)
At its meeting on 25, 28 and 29 January and 1 February 1999, the DSB considered a request
by the European Communities for the establishment of  a panel to examine its complaint with respect
to the US Anti-Dumping Act of 1916 (WT/DS136/2).
The representatives of the European Communities and the United States spoke.The DSB took note of the statements and agreed to establish a panel in accordance with the
provisions of Article 6 of the DSU with standard terms of reference.
India, Japan and Mexico reserved their third-party rights to participate in the Panel's
proceedings.
At its meeting on 16 June 1999, the DSB considered a request by Japan for the establishment
of a panel to examine its complaint with respect  to the US Anti-Dumping Act of 1916 (WT/DS162/3).
                                                     
13WT/DSB/M/38.WT/DSB/W/111
Page 15
The representatives of Japan, United States and the European Communities spoke.
The DSB took note of the statements and agreed to revert to this matter.
At its meeting on 26 July 1999, the DSB again considered this matter.
The representatives of Japan and the United States spoke.
The DSB took note of the statements and agreed to establish a panel in accordance with the
provisions of Article 6 of the DSU with standard terms of reference.
The European Communities and India reserved their third-party rights to participate in the
Panel's proceedings.
(ii) Anti-dumping duty on dynamic random access memory semiconductors (DRAMS) of one
megabit or above from Korea (WT/DSB/M/57, 58, 65)
In January 1998,14 the DSB had agreed to establish a panel to examine the complaint by
Korea with regard to a decision by the US Department of Commerce not to revoke the anti-dumping
duty on dynamic random access memory semiconductors (DRAMS) of one megabit or above from
Korea.
At its meeting on 19 March 1999, the DSB considered the Panel Report in WT/DS99/R
pertaining to the complaint by Korea.
The representatives of Korea, United States and Hong Kong, China spoke.
The DSB took note of the statements and adop ted the Panel Report contained in WT/DS99/R.
At the DSB meeting on 15 April 1999, the US representative informed the DSB of her
country's intentions in respect of implementation of the DSB's recommendations on this matter.  She
said that the United States would require a reasonable period of time to comply with the DSB's
recommendations.
The representatives of the United States and Korea spoke.
The DSB took note of the statements and of the information provided by the United States
regarding its intentions in respect of implementation of the DSB's recommendations.
At the DSB meeting on 26 July 1999, the US representative informed the DSB that her
country and Korea had agreed that the United States would have eight months, until 19 November
1999, as a reasonable period of time for implementation of the DSB's recommendations in this matter.
The representatives of the United States and Korea spoke.
The DSB took note of the statements.
(iii) Definitive safeguard measures on imports of wheat gluten from the European Communities
(WT/DSB/M/64, 65)
                                                     
14WT/DSB/M/40.WT/DSB/W/111
Page 16
At its meeting on 16 June 1999, the DSB considered a request by the European Communities
for the establishment of a panel to examine its complaint with respect to definitive safeguard measures
imposed by the United States on imports of wheat gluten from the EC (WT/DS166/3)
The representatives of the European Communities and the United States spoke.The DSB took note of the statements and agreed to revert to this matter.At its meeting on 26 July 1999, the DSB again considered this matter.
The representatives of the European Communities and the United States spoke.
The DSB took note of the statements and agreed to establish a panel in accordance with the
provisions of Article 6 of the DSU with standard terms of reference.
Australia and New Zealand reserved their third-party rights to participate in the Panel's
proceedings.15
(iv) Import measures on certain products from  the European Communities (WT/DSB/M/62, 64)
At its meeting on 26 May 1999, the DSB considered a request by the European Communities
to examine its complaint with respect to the US decision, effective from 3 March 1999, to withhold
liquidation on imports from the EC of certain products, and to impose a contingent liability for100 per cent duties on individual importation of affected products (WT/DS165/8).
The representatives of the European Communities and United States spoke.The DSB took note of the statements and agreed to revert to this matter.At its meeting on 16 June 1999, the DSB again considered this matter.
The representatives of the European Communities, United States and the Philippines spoke.The DSB took note of the statements and agreed to establish a panel in accordance with the
provisions of Article 6 of the DSU with standard terms of reference.
Ecuador, India, Jamaica and Japan reserved their third-party rights to participate in the Panel's
proceedings.
(v) Import prohibition of certain shrimp  and shrimp products (WT/DSB/M/54)
At the DSB meeting on 25, 28 and 29 January and 1 February 1999, the representative of
India, also on behalf of Malaysia, Pakistan and Thailand, informed the DSB that on 21 January 1999
the parties to the dispute had agreed that the United States would have 13 months from
6 November 1998, the date of the adoption of the Pa nel and Appellate Body Re ports, to comply with
the DSB's recommendations on this matter.
The representative of the United States spoke.The DSB took note of the statements.
                                                     
15After the meeting Canada reserved its third-party rights to participate in the panel's proceedings.WT/DSB/W/111
Page 17
(vi) Imposition of countervailing duties on certain hot-rolled lead and bismuth carbon steel
products originating in the United Kingdom (WT/DSB/M/54, 55 and Corr.1)
At its meeting on 25, 28 and 29 January and 1 February 1999, the DSB considered a request
by the European Communities for the establishment of a panel to examine the US countervailing
duties on certain hot-rolled lead and bismuth carbon steel products originating in the United Kingdom(WT/DS138/3 and Corr.1)
The representatives of the European Communities and the United States spoke.The DSB took note of the statements and agreed to revert to this matter.At its meeting on 17 February 1999, the DSB again considered this matter.
The representatives of the European Communities, United States and Mexico spoke.The DSB took note of the statements and agreed to establish a panel in accordance with the
provisions of Article 6 of the DSU with standard terms of reference.
The representatives of Brazil and Mexico reserved  their third-party rights to participate in the
Panel's proceedings.
(vii) Section 110(5) of the US Copyright Act (WT/DSB/M/60, 62)
At its meeting on 28 April 1999, the DSB considered a request by the European Communities
and their member States for the establishment of a panel to examine Section 110(5) of the US
Copyright Act, as amended by the Fairness in Music Licensing Act (WT/DS160/5).
The representatives of the European Communities and the United States spoke.The DSB took note of the statements and agreed to revert to this matter.At its meeting on 26 May 1999, the DSB again considered this matter.
The representatives of the European Communities and the United States spoke.
The DSB took note of the statements and agreed to establish a panel in accordance with the
provisions of Article 6 of the DSU with standard terms of reference.
Australia, Japan and Switzerland reserved their third-party rights to participate in the Panel's
proceedings.16
(viii) Sections 301 - 310 of the Trade Act of 1974 (WT/DSB/M/55 and Corr.1, 56)
At its meeting on 17 February 1999, the DSB considered a request by the European
Communities for the establishment of a panel to examine its complaint with regard to Sections 301 -
310 of the US Trade Act of 1974 (WT/DS152/11).
The representatives of the European Communities, United States, Cuba and Ecuador spoke.
                                                     
16After the meeting Brazil and Canada reserved their third-party rights to participate in the Panel's
proceedings.WT/DSB/W/111
Page 18
The DSB took note of the statements and agreed to revert to this matter.
At its meeting on 2 March 1999, the DSB again considered this matter.
The representatives of the European Communities and the United States spoke.The DSB took note of the statements and agreed to establish a panel in accordance with the
provisions of Article 6 of the DSU with standard terms of reference.
Cameroon, Canada, Colombia, Dominica, Ecuador, India, Jamaica, Japan, Korea, Saint Lucia
and Thailand reserved their third-party rights to participate in the Panel's proceedings.
17
12. Surveillance of implementation of recommendations adopted by the DSB
Matters considered by the DSB under this item are included on the agenda pursuant to Article
21.6 of the DSU which provides that:  "Unles s the DSB decides otherwise, the issue of
implementation of the recommendations or rulings shall be placed on the agenda of the DSB meeting
after six months following the date of establishment of the reasonable time-period pursuant to
paragraph 3 and shall remain on the DSB's agenda until the issue is resolved.  At least 10 days prior to
each such DSB meeting, the Member concerned shall provide the DSB with a status report in writing
of its progress in the implementation of the recommendations or rulings."
(a) Argentina
(i) Measures affecting imports of footwear, text iles, apparel and other items (WT/DSB/M/54, 55
and Corr.1, 57, 60, 62, 64)
At the DSB meeting on 25, 28 and 29 January and 1 February 1999, Argentina informed the
DSB that the parties to the dispute had agreed that Argentina's first status report on its progress in the
implementation of the DSB's recommendations on this matter would be submitted at the next regular
DSB meeting (WT/DS56/15).
The DSB took note of the statements and agreed to revert to this matter at its next regular
meeting.
At its meeting on 17 February 1999, the DSB considered the first status report by Argentina
contained in WT/DS56/15/Add.1.
The representative of Argentina spoke.
The DSB took note of the statement and agreed to revert to this matter at its next regular
meeting.
At its meeting on 19 March 1999, the DSB considered the second status report by Argentina
contained in WT/DS56/15/Add.2.
The representatives of Argentina and the United States spoke.
                                                     
17Subsequently Cameroon notified the Secretariat of its withdrawal.  After the meeting Brazil,
Costa Rica, Cuba, Dominican Republic, Israel and Hong Kong, China reserved their third-party rights to
participate in the Panel's proceedings.WT/DSB/W/111
Page 19
The DSB took note of the statements and agreed to revert to this matter at its next regular
meeting.
At its meeting on 28 April 1999, the DSB considered the third status report by Argentina
contained in WT/DS56/15/Add.3.
The representative of Argentina spoke.The DSB took note of the statement and agreed to revert to this matter at its next regular
meeting.
At its meeting on 26 May 1999, the DSB considered the fourth status report by Argentina
contained in WT/DS56/15/Add.4.
The representative of Argentina spoke.The DSB took note of the statements and agreed to revert to this matter at its next regular
meeting.
At its meeting on 16 June 1999, the DSB considered the final status report by Argentina
contained in WT/DS56/15/Add.5.
The representative of Argentina spoke.
The DSB took note of the statement.
(b) European Communities
(i) Measures concerning meat and meat produc ts (hormones) (WT/DSB/M/54, 55 and Corr.1,
57, 60, 62).
At its meeting on 25, 28 and 29 January and 1 February 1999, the DSB considered the first
status report by the EC on its progress in the implementation of the DSB's recommendations on this
matter (WT/DS26/17 - WT/DS48/15).
The representatives of the European Communities, United States and Canada spoke.The DSB took note of the statements and agreed to revert to this matter at its next regular
meeting.
At its meeting on 17 February 1999, the DSB considered the second status report by the
European Communities contained in WT/DS26/17/Add.1 - WT/DS48/15/Add.1.
The representatives of the European Communities, United States, Canada, Australia and New
Zealand spoke.
The DSB took note of the statements and agreed to revert to this matter next regular meeting.
At its meeting on 19 March 1999, the DSB considered the third status report by the European
Communities contained in WT/DS26/17/Add.2 - WT/DS48/15/Add.2).
The representatives of the European Communities, United States and Canada spoke.WT/DSB/W/111
Page 20
The DSB took note of the statements and agreed to revert to this matter at its next regular
meeting.
At its meeting on 28 April 1999, the DSB considered the fourth status report by the European
Communities contained in WT/DS26/17/Add.3 - WT/DS48/15/Add.3.
The representatives of the European Communities, United States, Canada, Australia and
Japan spoke.
The DSB took note of the statements and agreed to revert to this matter at its next regular
meeting.
At its meeting on 26 May 1999, the DSB considered the fifth status report by the European
Communities contained in WT/DS26/17/Add.4 - WT/DS48/15/Add.4.
The representatives of the European Communities, United States, Canada and Australia
spoke.
The DSB took note of the statements and agreed to revert to this matter at its meeting on 3
June.
(ii) Regime for the importation, sale and distribution of bananas - Recourse to Article 21.5 of the
DSU by Ecuador (WT/DSB/M/64, 65)
At the DSB meeting on 16 June 1999, the EC representative made an oral report on the EC's
progress in the implementation of the DSB's recommendations on this matter.
The representatives of the European Communities, Ecuador, Panama, Guatemala, Colombia,
Honduras, Philippines and the Chairman spoke.
The DSB took note of the statements and agreed to revert to this matter at its next regular
meeting.
At its meeting on 26 July 1999, the DSB considered the EC's status report on its progress in
the implementation of the DSB's recommendations on this matter (WT/DS27/51).
The representatives of the European Communities, Panama, Ecuador, Guatemala, Honduras,
Japan, Mexico, United States, Colombia, Philippines and the Chairman spoke.
The DSB took note of the statements and agreed to revert to this matter at its next regular
meeting.
(c) India
(i) Patent protection for pharmaceutical and agricultural chemical products (WT/DSB/M/54, 55
and Corr.1, 57, 60)
At its meeting on 25, 28 and 29 January and 1 February 1999, the DSB considered India's
second status report on its progress in the implementation of the DSB's recommendations on this
matter (WT/DS50/10/Add.1).
The representatives of India and the United States spoke.WT/DSB/W/111
Page 21
The DSB took note of the statements and agreed to revert to this matter at its next regular
meeting.
At its meeting on 17 February 1999, the DSB considered the third status report by India
contained in WT/DS50/10/Add.2.
The representatives of India, United States and the European Communities spoke.The DSB took note of the statements and agreed to revert to this matter at its next regular
meeting.
At its meeting on 19 March 1999, the DSB considered the fourth status report by India
contained in WT/DS50/10/Add.3.
The representatives of India, United States and the European Communities spoke.The DSB took note of the statements and agreed to revert to this matter at its next regular
meeting.
At its meeting on 28 April 1999, the DSB considered the final status report by India contained
in WT/DS50/10/Add.4 - WT/DS79/6.
The representatives of India, United States and the European Communities spoke.
The DSB took note of the statements.
(d) Indonesia
(i) Certain measures affecting the automobile industry (WT/DSB/M/64, 65)
At its meeting on 16 June 1999, the DSB considered the first status report by Indonesia on its
progress in the implementation of the DSB's recommendations on this matter (WT/DS54/17 -
WT/DS55/16 - WT/DS59/ 15 - WT/DS64/14).
The representatives of Indonesia, European Communities and Japan spoke.
The DSB took note of the statements and agreed to revert to this matter at its next regular
meeting.
At its meeting on 26 July 1999, the DSB considered the second status report by Indonesia
contained in WT/DS54/17/Add.1 - WT/DS55/16 /Add.1 - WT/DS59/15/Add.1  - WT/DS64/14/Add.1.
The representatives of Indonesia, European Communities, Japan and the United States spoke.The DSB took note of the statements.
(e) United States
(i) Import prohibition of certain shrimp  and shrimp products (WT/DSB/M/65)
At its meeting on 26 July 1999, the DSB considered the first status report by the United States
on its progress in the implementation of the DSB's recommendations on this matter (WT/DS58/15).WT/DSB/W/111
Page 22
The representatives of the United States, Thailand, India, Malaysia, Pakistan, Australia and
Ecuador spoke.
The DSB took note of the statements and agreed to revert to this matter at its next regular
meeting.
__________