UNITED STATES – MEASURES RELATING TO ZEROING AND SUNSET REVIEWS
Document: Recourse to Article 22.2 of the DSU by Japan Withdrawal of the Request pursuant to Article 22.2 by Japan
Date: 7 August 2012
Document codes: WT/DS322/46
Complainant: Japan
Respondent: U.S.
Third parties: Argentina, China, EU, Hong Kong, India, South Korea, Mexico, New Zealand, Norway, Taiwan, Thailand
Dispute stage: Implementation & Compliance
Agreements cited: Art. 2.1, 2.4, 2.4.2, 9.1, 9.2, 9.3, 5.8, 3, 9.5, 11.1, 11.2, 11.3, 1  Anti-dumpingArt. VI  GATT 1994Art. 18.4  Anti-dumpingArt. XVI:4  Agreement Establishing the World Trade Organization

UNITED STATES – MEASURES RELATING TO ZEROING
AND SUNSET REVIEWS

Recourse to Article 22.2 of the DSU by Japan

Withdrawal of the Request pursuant to Article 22.2 by Japan

 The following communication, dated 3 Augus t 2012 from the delegation of Japan, to the
Chairperson of the Dispute Settlement Body, is circulated to Members for their information.

This is in reference to the requests of Japan for authorization from the Dispute Settlement
Body ("DSB") to suspend the app lication to the United States of concessions and other obligations
pursuant to Article 22.2 of the Understanding on Rules and Procedures Governing the Settlement of
Disputes ("DSU") in documents and
As you recall, on 10 January 2008, Japan made these requests 1 in the dispute (WT/DS322). On 18 January 2008, the United
States objected to the level of suspension of c oncessions or other obligations proposed by Japan 2. As
a result, the matter was referred to arbitration pursuant to Article 22.6 of the DSU.
On 7 April 2008, Japan initiated compliance pro ceedings under Article 21.5 of the DSU by
filing a request for the establishment of a panel 3. On 18 April 2008, the DSB referred the matter to
the compliance panel pursuant to Article 21.5 of the DSU ("Article 21.5 Panel").
On 6 June 2008, in accordance with the Understanding between the United States and Japan
Regarding Procedures under Articles 21 and 22 of the DSU ("Confirmed Procedures")4, Japan and the
United States (the "Parties") requested the Arbitr ator to suspend its work. On 9 June 2008, in
accordance with this joint request, the Arbitrator decided to suspend the arbitration proceeding
effective as from that date until either party requests the resumption of the proceedings under the
certain circumstances described in the Confirmed Procedures.
On 31 August 2009, by adopting the Article 21.5 Panel report (WT/DS322/RW) and the
Appellate Body report (WT/DS322/AB/RW)5, the DSB found that the measu res taken to comply with
the DSB's 23 January 2007 recommendations and rulin gs in this dispute did not exist or were
inconsistent with a covered agreement.

1 WT/DS322/23 and WT/DS322/24.
2 WT/DS322/25.
3 WT/DS322/27.
4 WT/DS322/26.
5 WT/DS322/35.

On 23 April 2010, Japan requested the Arbitrat or to resume the arbitration proceeding
6 in
accordance with the Confirmed Procedures.
On 13 December 2010, upon request by the Parties, the Arbitrator suspended its work 7. Upon
request by the Parties, the Arbitrator decided to continue the suspension of its work on 12 September
2011
8, 7 November 20119, 30 November 201110, 9 January 201211 and 1 February 201212.
On 6 February 2012, the Parties signed a Me morandum of Understandi ng regarding this
dispute ("Understanding")13. The operative part of the Understanding reads as follows:
"1. As a measure taken to comply with the DSB recommendations and ruling in
the dispute, by no later than 7 days after the start date of this Understanding (defined
as the signature date of this Understandi ng), and subject to U.S. domestic legal
requirements, the United States will complete the process under Section 123 of the
Uruguay Round Agreements Act (URAA) to modify its methodologies, as described
in the notice Antidumping Proceedings: Calculation of the Weighted Average
Dumping Margin and Assessment Rate in Certain Antidumping Duty Proceedings, 75
FR 81533 (Dec. 28, 2010), by signing the final modification and submitting it
promptly for publication.
2. As specified in Annex II, the Un ited States will conduct proceedings under
Section 129 of the URAA.
3. By no later than 12 days after the start date, the United States will begin the
Section 129 proceeding listed in Annex II, paragraph 2, by transmittal of a written
request from the Office of the United St ates Trade Representative ("United States
Trade Representative") to the United States Department of Commerce ("Department
of Commerce").
4. By no later than 4 months after the start date, the Department of Commerce
will issue a final determination in the Section 129 proceeding listed in Annex II,
paragraph 2.
5. The United States and Japan will conti nue the suspension of the work of the
Arbitrator until, as described in paragraph 6, the Arbitrator notifies the DSB that it is
not necessary for the Arbitrator to issue an award, on the conditions that: (i) the
United States begins the Section 129 proce dure listed in Annex II, paragraph 2, no
later than 12 days after the start date; ( ii) the Department of Commerce issues a final
determination in the Section 129 proceeding listed in Annex II, pa ragraph 2, no later
than 4 months after the start date; and (iii) the United States completes the section
129 proceeding in Annex II, paragraph 2.
6. By no later than six months after the start date:
(a) Japan will, by letter to the chair of the DSB, withdraw its
requests to the DSB made pursuant to Article 22.2 of the
Understanding on Rules and Procedures Governing the Settlement of

6 WT/DS322/37.
7 WT/DS322/38.
8 WT/DS322/39.
9 WT/DS322/40.
10 WT/DS322/41.
11 WT/DS322/42.
12 WT/DS322/43.
13 WT/DS322/44.

Disputes ("DSU") in documents WT/DS322/23 and WT/DS322/24;
and
(b) Japan and the United States w ill submit a joint letter to the
Arbitrator noting that Japan has w ithdrawn its Article 22.2 requests;
informing the Arbitrator that the United States accordingly no longer
makes objections under Article 22.6 of the DSU; and requesting that
the Arbitrator notify the DSB that it is not necessary for the
Arbitrator to issue an award."
On 7 February 2012, upon request by the Parties, the Arbitrator decided to continue the
suspension of its work until 20 August 2012.
As foreseen in the above quoted paragraphs of the Understanding, the United States has taken
the following actions:
 On 7 February 2012, the United States signe d the final modification under Section 123 of
the Uruguay Round Agreements Act ("URAA") and submitted it for publication
14;
 On 13 February 2012, the United States in itiated the Section 129 proceeding of the
URAA listed in Annex II, paragraph 2 of the Understanding15;
 On 6 June 2012, the United States Department of Commerce issued its final
determination in the Section 129 proceeding16; and
 On 8 June 2012, the United States Trade Re presentative directed the Department of
Commerce to implement the Section 129 determination17.
Accordingly, following these actions taken by the United States, Japan hereby withdraws its
requests for authorization from the DSB to suspend the application to the United States of concessions
and other obligations made pursuant to Article 22.2 of the DSU in documents WT/DS322/23 and

I would be grateful if this communication could be circulated to the WTO members.

Calculation of the Weighted-Average Dumping Margin and Assessment Rate in Certain Antidumping Duty
Proceedings; Final Modification, 77 FR 8101, dated 14 February 2012.
15 Letter of 13 February 2012 from Mr. Ron Kirk, United States Trade Representative, to Mr. John
Bryson, United States Secretary of Commerce.
16 Memorandum of 6 June 2012 from Mr. Christian Marsh, Deputy Assistant Secretary for
Antidumping and Countervailing Duty Operations, to Mr. Paul Piquado, Assistant Secretary for Import
Administration, Final Results of Proceedings Under Sec tion 129: Stainless Steel Pl ate in Coils from Belgium,
Steel Concrete Reinforcing Bars from Latvia, Purified Carboxymethylcellulose from Finland, Certain Pasta
from Italy, Purified Carboxymethylcellulose from Nether lands, Stainless Steel Wire Rod from Spain, Granular
Polytetrafluoroethylene Resin from Italy, Stainless Steel Sheet and Strip in Coils from Japan.
17 Letter of 8 June 2012 from Mr. Ron Kirk, United States Trade Representative, to Mr. John Bryson,
United States Secretary of Commerce, directing the latter to implement the final determination in the Section
129 proceeding; See also Notice of Implementation of Determination Under Section 129 of the Uruguay Round
Agreements Act: Stainless Steel Plate in Coils from Be lgium, Steel Concrete Reinforcing Bars from Latvia,
Purified Carboxymethylcellulose from Finland, Certain Pasta from Italy, Pu rified Carboxymethylcellulose from
Netherlands, Stainless Steel Wire Rod from Spain, Granul ar Polytetrafluoroethylene Resin from Italy, Stainless
Steel Sheet and Strip in Coils from Japan, 77 FR 36257, dated 18 June 2012.