WT/DS522/8  
 
30 October 2017  
(17-5861) Page: 1/2 
  Original: English  
 
CANADA – MEASURES CONCERNING TRADE IN COMMERCIAL AIRCRAFT  
COMMUNICATION FROM BRAZIL  
The following communication, dated 25 October 2017 , from the delegation of Brazil  to the Annex  V 
Facilitator and to the Chairperson of the Dispute Settlement Body, is circulated at the request of 
that delegation.  
 
 
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Brazil makes reference to Canada 's preliminary ruling request to the yet -to-be-composed panel in 
the dispute Canada – Measures Concerning Trade in Commercial Aircraft (DS522) and the letter 
sent to you requesting that the Annex V procedures be suspended until a decision on Canada 's 
request is made by the Panel.  
Brazil disagrees with the proposed suspension of the Annex V procedures.  Canada 's procedural 
tactics seem intended to delay and disr upt the collection of information solely in Canada 's control 
and undermine Brazil 's rights under the SCM Agreement and the DSU.  Moreover, the acceptance 
of Canada 's request would effectively nullify the Annex V process and the timetable expressly 
provided  under the SCM Agreement, because any responding Member could then simply raise any 
DSU Article 6.2 objection and derail the Annex V procedures, to the detriment of the complaining 
Member.  The suspension of the procedures would render the dispute settleme nt process much 
less effective, hinder the timely development of information, and endanger the well -functioning of 
the dispute settlement and the Annex V processes.  
Brazil understands that the Annex V procedures run independently from the panel proceedings  and 
are under the authority of the Facilitator alone, whose sole purpose, according to the text of 
Annex  V, is to "ensure the timely development of the information necessary to facilitate 
expeditious subsequent multilateral review of the dispute. "  
This s ituation has happened before in the Korea – Measures Affecting Trade in Commercial Vessels  
(DS273) dispute.  Korea, the responding Member in that dispute, filed a preliminary ruling request 
with regard to the panel 's terms of reference under Article 6.2 of  the DSU and sent a letter to the 
facilitator asking for the suspension of the Annex V procedures until a decision had been reached 
on its preliminary claims.  The facilitator correctly refused, reaffirming that his mandate was to 
"ensure the timely develo pment of the information necessary to facilitate expeditious subsequent 
multilateral review of the dispute ", as provided under paragraph 4 of Annex V.  In that dispute, 
Korea also asked the panel for the procedures to be suspended.  The panel also correctl y refused, 
understanding that it did not have authority to intervene in the procedure, which is "under the 
control of the Facilitator ".1 
The Annex V procedures in the European Communities and Certain Member States – Measures 
Affecting Trade in Large Civil Aircraft (DS316) also followed their due course despite requests for 
preliminary rulings from the responding Member.  
In light of these precedents and of the text and objectives of Annex V, Brazil requests that you 
continue the Annex V procedures and sugge sts that the appropriate next step is to proceed with 
                                                
1 Panel Report, Korea – Vessels, para. 7.1.  WT/DS522/8  
 
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  establishing the working procedures and timetable for the Annex V procedures.  Brazil is ready to 
submit its questions to Canada and other third -country Members as soon as you finalize the 
working proce dures and timetable.  
After the Panel is composed, Brazil will respond in detail to Canada 's request for a preliminary 
ruling before the Panel.  
 
 
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