WT/DS562/1  
G/L/1257  
G/SG/D60/1  
 
16 August 2018  
(18-5212) Page: 1/3 
  Original: English  
 
UNITED STATES  – SAFEGUARD MEASURE ON  IMPORTS OF  
CRYSTALLINE SILICON PHOTOVOLTAIC PRODUCT S 
REQUEST FOR CONSULTA TIONS BY CHINA  
The following communication, dated 14 August 2018, from the delegation of China to the 
delegation of the United States, is circulated to the Dispute Settlement Body in accordance with 
Article 4.4 of the DSU.  
 
_______________  
 
 
My authorities have instructe d me to request consultations with the Government of the United 
States of America ("United States") pursuant to Articles 1 and 4 of the Understanding on Rules and 
Procedures Governing the Settlement of Disputes , Article XXII of the General Agreement on Tar iffs 
and Trade 1994 ("GATT 1994"), and Article 14 of the Agreement on Safeguards , regarding the 
definitive safeguard measure imposed by the  United States on imports of certain crystalline silicon 
photovoltaic cells, whether or not partially or fully assemb led into other products (including, but 
not limited to, modules, laminates, panels, and building -integrated materials) ("crystalline silicon 
photovoltaic products").  
This request identifies the measures at issue in Section I, and indicates the legal basis for China's 
complaint in Section II.  
I. Measures at Issue  
The United States imposed the definitive safeguard measure on imports of crystalline silicon 
photovoltaic products pursuant to "Proclamation 9693 of January 23, 2018 – To Facilitate Positive 
Adjustm ent to Competition from Imports of Certain Crystalline Silicon Photovoltaic Cells (Whether 
or Not Partially or Fully Assembled Into Other Products) and for Other Purposes"( 83 FR 3541).  
The safeguard measure on crystalline silicon photovoltaic products is b ased on the United States 
International Trade Commission ( "USITC") determination of injury on September 22, 2017 and the 
report to the President on November 13, 2017 regarding the Investigation No. TA -201-751, as well 
as the Supplemental Report Regarding Unforeseen Developments issued by the USITC on 
December  27, 20172. 
This request also concerns any modification, review, replacement or amendment to the definitive 
safeguard measure, including any closely conne cted, subsequent measures affecting the form and 
amount of the safeguard remedy, as well as the underlying reports, memoranda and other 
documents supporting the safeguard measure, including any subsequent determinations made by 
the United States Trade Repr esentative with respect to the exemption of certain products from the 
application of the safeguard measure.  
                                                
1 See, Public Report, Crystalline Silicon Photovoltaic Cells (Whether or not Partially or Fully Assembled 
into Other Products), Inv. No. TA -201-75, USITC Pub. 4739 (Nov. 2017), a summary of which was published in 
the U.S. Federal Register on 21 November 2017  under citation "82 FR 55393".  
2 The Supplemental Report Regarding Unforeseen Developments  is referenced in paragraph 4 of the 
Proclamation 9693 of January 23, 2018 – To Facilitate Positive Adjustment to Competition from Imports of 
Certain Crystalline Sili con Photovoltaic Cells (Whether or Not Partially or Fully Assembled Into Other Products) 
and for Other Purposes . See, https://www.federalregister.gov/d/2018 -01592/p -4. WT/DS562/1 • G/L/1257 • G/SG/D60/1  
 
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  II. Legal Basis of the Complaint  
China considers that the safeguard measure imposed by the United States on crystalline silicon 
photovoltaic product s is inconsistent with the obligations of the United States under the GATT 
1994 and the Agreement on Safeguards. In particular, China considers that the safeguard measure 
fails to comply with, among others , the following provisions:  
a. Article XIX:1(a) of the  GATT 1994 and Article 3.1 of the Agreement on Safeguards , 
because the US failed to establish , prior to the application of the measures, that the 
increases in imports and the conditions of importation of the products covered by the 
measures at issue were t he result of "unforeseen development" and of the effect of the US 
obligations under the GATT 1994 ; 
b. Articles 2.1 and 3.1 of the Agreement on Safeguards , because  the United States failed to 
make a proper determination, including a reasoned and adequate expla nation , that the 
subject imports increased "in such quantities and under such conditions"  to cause serious 
injury to the domestic industry;  
c. Articles 2.1, 3.1, 4.1 and 4.2 of the Agreement on Safeguards  as the United States failed 
to make a proper determina tion, including a reasoned and adequate explanation, of a 
significant overall impairment in the position of the domestic industry to support its 
conclusion that the domestic industry was suffering  from "serious injury or threat of 
serious injury";  
d. Articles  2.1, 3.1 and 4.2 of the Agreement on Safeguards because the safeguard measure 
is not supported by a reasoned and adequate explanation of how the imports  "cause d or 
threaten ed to cause " serious injury to the domestic industry;  
e. Articles 2.1, 3.1, 4.1(c) and 4.2 of the Agreement on Safeguards because the United 
States did not  properly define "domestic industry " as it failed to limit the scope to  only 
those producers producing "like or directly competitive products" to the subject imports;  
f. Articles 3.1 and 3.2 of the Agreement on Safeguards because the United States did not 
provide the interested parties with sufficient opportunities to participate in the 
investigation, including as a result of the failure to respect the requirements on gran ting 
confidential treatment and the availability of sufficiently informative non -confidential 
summaries, and because the United States failed to set forth in the published report the 
findings and reasoned conclusions on all pertinent issues of fact and law , including the 
conditions on which the measure was imposed , the nature and level of the actual measure , 
and the ground for excluding  certain sources;  
g. Articles 5.1 and 7.4 of the Agreement on Safeguards because  the United States failed  to 
grant relief onl y to the "extent necessary" and limit such relief to serious injury caused by 
increased imports at the time of the imposition of the measure as well as at the stages of 
progressive liberalization;  
h. Articles 2.1, 2.2, and 4.2 of the Agreement on Safeguards b ecause the United States 
excluded certain products from the scope of application of its safeguard measure;  
i. Article 7.1 of the Agreement on Safeguards  since the United states failed to  grant relief 
only "for such period of time as may be necessary to preven t or remedy serious injury and 
to facilitate adjustment";  
j. Article 8.1 of the Agreement on Safeguards  to the extent that the United States fail ed to 
endeavour to maintain a substantially equivalent level of concessions and other obligations 
under the GATT 1 994 between the United States  and China  in accordance with Article 12.3 
of the Agreement on Safeguards;  
k. Article XIX:2 of the GATT 1994 and Articles 12.1, 12.2 and 12.3 of the Agreement on 
Safeguards because the United States failed to provide immediate not ifications with all WT/DS562/1 • G/L/1257 • G/SG/D60/1  
 
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  pertinent information and failed to provide China  with an adequate opportunity to 
commence  prior consultations;  
l. Article X:3 of the GATT 1994 since the measure is not based on uniform, impartial and 
reasonable administration of the rele vant US laws and regulations;  and, 
m. Article XIII of the GATT 1994  because the measure is inconsistent with the obligation with 
respect to the allocation  of tariff rate quotas . 
China is concerned that the safeguard measure on imports of crystalline silicon photovoltaic 
products appears to nullify or impair the benefits accruing to China  directly or indirectly under the 
above Agreements . 
China  reserves the right to raise additiona l factual and legal issues, and to address additional 
measures and claims regarding the above matter, in the course of the  consultations and in any 
request for the establishment of a panel.  
China looks forward to receiving the United States' reply to the p resent request and to setting a 
mutually acceptable date and venue for consultations.  
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