Thursday, April 5, 2018

USTR Announces WTO Dispute Settlement Proceeding Regarding India—Export Related Measures

On April 5, 2018, the Office of the United States Trade Representative published in the Federal Register (83 FR 14711) WTO Dispute Settlement Proceeding Regarding India--Export Related Measures.

I. Background

USTR is providing notice that consultations have been requested pursuant to the WTO Understanding on Rules and Procedures Governing the Settlement of Disputes (DSU). If these consultations do not resolve the matter, the United States could request that the WTO establish a dispute settlement panel pursuant to the DSU, which would hold its meetings in Geneva Switzerland, and issue a report on its findings.

II. Major Issues Raised by the United States

On March 14, 2018, the United States requested consultations concerning certain Indian export subsidies provided through: (1) The Export Oriented Units Scheme and sector specific schemes, including Electronics Hardware Technology Parks Scheme, (2) the Merchandise Exports from India Scheme, (3) the Export Promotion Capital Goods Scheme, (4) Special Economic Zones, and (5) a duty-free imports for exporters program.

The United States alleges that India is providing prohibited export subsidies contrary to Articles 3.1(a) and 3.2 of the Agreement on Subsidies and Countervailing Measures.

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