. /.   WORLD TRADE  
ORGANIZATION  WT/DS294/38/Add.7 
14 January 2011 
 (11-0270) 
 Original:   English 
  
 
UNITED STATES – LAWS, REGULATIONS AND METHODOLOGY 
FOR CALCULATING DUMPING MARGINS ("ZEROING") 
 
Status Report by the United States
 
 
Addendum  
   The following communication, dated 13 January 2011, from the delegation of the United States to the Chairman of the Dispute Settleme nt Body, is circulated pursuant to Article 21.6 
of the DSU. 
 
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Status Report Regarding Implementation of the
 
DSB Recommendations and Rulings in the Dispute  
United States – Laws, Regulations and Methodology for  
Calculating Dumping Margins ("Zeroing")  
(WT/DS294)  
 
 
The United States submits this report in  accordance with Article 21.6 of the Understanding on 
Rules and Procedures Governing the Settlement of Disputes  ("DSU"). 
 
On 9 May 2006, the Dispute Settlement Body ("DSB") adopted its recommendations and 
rulings in United States – Laws, Regulations and Methodology for Calculating Dumping Margins 
("Zeroing") (DS294).  At the following DSB meeting on 30 May 2006, the United States informed the 
DSB of its intention to implement the recommendati ons and rulings of the DSB in connection with 
this matter.  The United States and the European  Communities ("EC") agreed that the reasonable 
period of time for the United States to implemen t the recommendations and rulings of the DSB would 
end on 9 April 2007. 
 
The United States has taken a number of step s to comply with the recommendations and 
rulings of the DSB in this dispute.  With respect  to the "as such" claims, as of 22 February 2007, the 
United States is no longer performing average-to-ave rage comparisons in anti-dumping investigations 
without offsets.   
 
With respect to the 15 anti-dumping investigati ons at issue in this dispute, three of the 
anti-dumping orders in question had been revoked before the DSB adopted its recommendations and 
rulings.  With respect to the remaining 12, the US  Department of Commerce issued 11 determinations 
on 9 April 2007 and one determination on 31 August 200 7.  In those determinations, the Department 
used an average-to-average comparison in which offs ets were provided.  As a result, in two of these 
determinations, the Department found no dumping, and the Departme nt revoked the orders.  The 
margins for the others were adju sted accordingly, and in sever al cases, the Department found no WT/DS294/38/Add.7 
Page 2  
 
  dumping by individual companies.  The Departme nt revoked the orders with respect to those 
companies.  Additionally, four of the remain ing anti-dumping orders were revoked as a result of 
sunset reviews, with effect prior to the end of the reasonable period of time.  
On 11 June 2009, the DSB adopted the Appella te Body report and the panel report, as 
modified by the Appellate Body report, regarding th e recourse to Article 21.5 of the DSU by the EC.  
 
On 28 December 2010, in part in response to th e findings in this dispute with respect to 
administrative reviews and sunset reviews, the US  Department of Commerce announced a proposal to 
change the methodology for calculating weighted average dumping margins and assessment rates in 
certain anti-dumping proceedings, including administrative reviews.  The Department proposes to 
compare monthly weighted average export prices w ith monthly weighted average normal values, and 
to grant an offset for comparisons that show an export price that exceeds normal value in the 
calculation of the weighted average margin of dumping and assessment rate.  The modifications the Department has made with respect to investigations, and is proposing to make w ith respect to reviews, 
address the underlying issue with respect to sunset reviews.  
 
The proposal has been published in the Federal Register, 75 Fed. Reg. 81533 (28 Dec. 2010), 
available at http://frwebgate1.access.gpo.go v/cgi-bin/PDFgate.cgi?WAISdocID=PiKeu1 
/0/2/0&WAISaction=retrieve.  Under US law, th ere will be a period for public comment on this 
proposal and for consultations with appr opriate committees in the US Congress.   
 
The United States will continue to consult with  interested parties as it works to address the 
findings contained in these reports.   
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