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WT/DS58/RW ORGANIZATION 15 June 2001 (01-2854)

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WT/DS58/RW ORGANIZATION 15 June 2001 (01-2854) WORLD TRADE WT/DS58/RW ORGANIZATION 15 June 2001 (01-2854) Original: English UNITED STATES – IMPORT PROHIBITION OF CERTAIN SHRIMP AND SHRIMP PRODUCTS Recourse to Article 21.5 by Malaysia Report of the Panel The report of the Panel on United States – Import Prohibition of Certain Shrimp and Shrimp Products – Recourse to Article 21.5 by Malaysia – is being circulated to all Members, pursuant to the DSU. The report is being circulated as an unrestricted document from 15 June 2001 pursuant to the Procedures for the Circulation and Derestriction of WTO Documents (WT/L/160/Rev.1). Members are reminded that in accordance with the DSU only parties to the dispute may appeal a panel report. An appeal shall be limited to issues of law covered in the Panel Report and legal interpretations developed by the Panel. There shall be no ex parte communications with the Panel or Appellate Body concerning matters under consideration by the Panel or Appellate Body. WT/DS58/RW Page i TABLE OF CONTENTS I. INTRODUCTION..........................................................................................................................1 A. TERMS OF REFERENCE.................................................................................................................1 B. PANEL COMPOSITION ..................................................................................................................2 II. FACTUAL ASPECTS ...................................................................................................................2 A. CONSERVATION ISSUES...............................................................................................................2 B. HISTORY OF THE CASE ................................................................................................................3 1. Section 609: the 1996 Guidelines .......................................................................................3 2. Panel proceedings ................................................................................................................5 C. REASONABLE PERIOD OF TIME ....................................................................................................6 D. IMPLEMENTATION .......................................................................................................................6 1. Section 609: the 1999 Revised Guidelines.........................................................................7 III. MAIN ARGUMENTS OF THE PARTIES .................................................................................9 A. PROCEDURAL ISSUES...................................................................................................................9 1. Terms of reference...............................................................................................................9 2. Submissions from non-governmental organizations.......................................................10 3. Burden of proof..................................................................................................................12 B. VIOLATION OF ARTICLE XI.......................................................................................................14 C. JUSTIFICATION UNDER ARTICLE XX.........................................................................................15 1. General comments .............................................................................................................15 2. Article XX(g) ......................................................................................................................16 3. Chapeau..............................................................................................................................17 (a) General compliance issues ...........................................................................................17 (b) Unjustifiable discrimination.........................................................................................20 (i) Cumulative assessment of the aspects found to constitute unjustifiable discrimination.......................................................................................................20 (ii) Efforts to negotiate and whether a WTO Member is obliged to seek or obtain international consensus.............................................................................20 (a) Efforts to negotiate ..........................................................................................20 (b) Whether a WTO Member is obliged to seek or obtain international consensus before resorting to the measure at issue ........................................26 (iii) Other aspects........................................................................................................31 (a) Consideration of the situation of exporting countries in the Revised Guidelines........................................................................................................31 (b) The ruling of the United States Court of International Trade.........................37 (c) Technical assistance........................................................................................39 (d) Phase-in period ...............................................................................................41 (c) Arbitrary discrimination...............................................................................................41 (a) Lack of flexibility.............................................................................................41 (b) Due process .....................................................................................................43 (d) Disguised restriction on international trade..................................................................45 WT/DS58/RW Page ii IV. SUMMARY OF THIRD PARTY SUBMISSIONS...................................................................46 1. Australia .............................................................................................................................46 2. Ecuador...............................................................................................................................50 3. European Communities.....................................................................................................51 4. Hong Kong, China .............................................................................................................55 5. India ....................................................................................................................................56 6. Japan...................................................................................................................................56 7. Mexico.................................................................................................................................57 8. Thailand..............................................................................................................................61 V. FINDINGS....................................................................................................................................65 A. GENERAL APPROACH TO THE ISSUES BEFORE THE PANEL........................................................65 B. PRELIMINARY ISSUES ................................................................................................................66 1. Terms of reference of the Panel........................................................................................66 2. Date on which the Panel should assess the facts .............................................................68 3. Admissibility of submissions from non-governmental organizations ...........................68 4. Burden of proof..................................................................................................................69 C. VIOLATION OF ARTICLE XI:1 OF THE GATT 1994...................................................................70 D. APPLICATION OF ARTICLE XX OF THE GATT 1994 .................................................................70 1. Preliminary remarks .........................................................................................................70 2. Consistency of the implementing measure with paragraph (g) of Article XX of the GATT 1994...................................................................................................................72 3. Arbitrary or unjustifiable discrimination between countries where the same conditions prevail: the question of international negotiations.......................................74 (a) Extent of the US obligation to negotiate and/or reach an international agreement on the protection and conservation of sea turtles .........................................................74 (i) Abuse or misuse of rights under Article XX as a standard for determining the extent of an obligation to negotiate and/or enter into an international agreement .............................................................................................................74 (ii) Obligation to negotiate v. obligation to reach an international agreement.........79 (iii) The Inter-American Convention as a benchmark of serious good faith efforts in this case.................................................................................................81 (iv) Conclusion............................................................................................................83 (b) Assessment of the consistency of the implementing measure......................................84
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