UNITED STATES – CONTINUED DUMPING AND SUBSIDY OFFSET ACT OF 2000
Document: Recourse by Korea to Article 22.7 of the DSU
Date: 11 November 2004
Document codes: WT/DS217/42
Complainant: Australia, Brazil, Chile, EU, India, Indonesia, Japan, South Korea, Thailand
Respondent: U.S.
Third parties: Argentina, Canada, Costa Rica, Hong Kong, Israel, Mexico, Norway
Dispute stage: Implementation & Compliance
Agreements cited: Art. X:3  GATT 1994Art. 18.4  Anti-dumpingArt. 32.5  Subsidies and Countervailing Measures (SCM)Art. VI:3  GATT 1994Art. XVI:4  Agreement Establishing the World Trade OrganizationArt. 1, 5.4  Anti-dumpingArt. 4.10, 7.9, 10, 11.4, 18, 32.1  Subsidies and Countervailing Measures (SCM)Art. 8  Anti-dumpingArt. VI:2  GATT 1994Art. 18.1  Anti-dumping

UNITED STATES – CONTINUED DUMPING AND
SUBSIDY OFFSET ACT OF 2000

Recourse by Korea to Article 22.7 of the DSU

 The following communication, dated 10 Novemb er 2004, from the delegation of Korea to the
Chairperson of the Dispute Settlement Body, is circulated pursuant to Article 22.7 of the DSU.

 The Republic of Korea requests that the follo wing item be placed on the agenda of the
meeting of the Dispute Settlement Body on 24 November 2004:

 Recourse by the Republic of Korea to Ar ticle 22.7 of the Understanding on Rules and
Procedures Governing the Settlement of Disputes

 The Panel and the Appellate Body found that the Continued Dumping and Subsidy Offset Act
of 2000 ("CDSOA") was inconsistent with th e United States' obligations under the General
Agreement on Tariffs and Trade 1994 (‘GATT 1994’), the Agreement on Implementation of
Article VI of the General Agreement on Tariffs and Trade 1994, the Agreement on Subsidies and
Countervailing Measures and the Marrakesh Agreemen t establishing the .
On 27 January 2003, the Dispute Settlement Body ("DSB") adopted the Appellate Body report and
the Panel report as modified by the Appellate Body report. The United States stated that it intended to
implement the recommendations and rulings of th e DSB but failed to do so within the required
deadline (by 27 December 2003).

 Consequently, on 15 January 2004, the Republic of Korea requested authorization to suspend
the application to the United States of tariff c oncessions and other obligations under GATT 1994. As
the United States objected to the le vel of suspension proposed, the matter was referred to arbitration
pursuant to Article 22.6 of the DSU on 26 January 2004.

 The Arbitrator issued its decision on 31 August 2004 which concluded that:

5.2 [T]he suspension by the Republic of Korea of concessions or other
obligations in the form of the imposition of an additional import duty above bound
custom duties on a list of products originating in the United States covering, on a
yearly basis, a total value of trade not exceeding, in US dollars, the amount resulting
from the following equation:
Amount of disbursements under CDSOA for the most recent year for
which data are available relating to anti-dumping or countervailing

duties paid on imports from the Repub lic of Korea at that time, as
published by the United States' authorities.
multiplied by:
0.72
would be consistent with Article 22.4 of the DSU.
1
 In accordance with Article 22.7 of the DS U, the Republic of Korea hereby requests
authorization from the DSB to susp end the application to the United States of tariff concessions and
other obligations under GATT 1994, in cluding Articles I and II thereof, in the form of the imposition
of additional import duties on products originating in the United States, at a level not exceeding every
year 72% of the amount of CDSOA disbursement s relating to anti-dumping or countervailing duties
paid on imports from the Republic of Korea for the mo st recent year for which data are available at
that time, consistent with the decision by the Arbitrator of 31 August 2004.2

 Furthermore, pursuant to the arbitration aw ard, the Republic of Korea will notify the DSB
every year, prior to the entry into force of the suspension of concessi ons or other obligations, the list
of products on which the additional import duty w ill be levied. The products will be drawn from the
attached indicative list of products.

1 WT/DS217/ARB/KOR, para. 5.2.
2 WT/DS217/ARB/KOR

ANNEX: LIST OF PRODUCTS

The products covered by the list are determined by the product description of the Harmonized Tariff
Schedule of the Republic of Korea. The descripti ons hereunder are given for information purposes
only.

Description HS codes(10-digits)
Washing preparations 3402-20-1000
of glass-ceramics 7013-10-0000 Glassware of a kind used for
table, kitchen, toilet, office,
indoor decoration or similar
purposes(other than that of
heading 70.10 or 70.18) other 7013-39-0000
Cod (Gadus morhua, Gadus ogac, Gadus macrocephalus), excluding livers
and roes 0303-60-0000
Angler (Monkfish) 0303-79-9091
Ray 0303-79-9096