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USTR Requests Comments on WTO Dispute Concerning Mexico's AD Measure on Rice and Mexico's Foreign Trade Act

The Office of the U.S. Trade Representative (USTR) has issued a notice requesting comments by July 15, 2004 regarding a World Trade Organization (WTO) dispute for which a dispute settlement panel was established on November 7, 2003, at the request of the U.S., to examine Mexico's definitive antidumping (AD) measure on U.S. long-grain white rice and certain provisions of Mexico's Foreign Trade Act.

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Mexico's AD Measure on Rice, Foreign Trade Act are Allegedly WTO Inconsistent

The U.S. believes Mexico's definitive AD measure on long-grain white rice from the U.S. to be inconsistent with certain articles of the Agreement on Implementation of Article VI of the General Agreement on Tariffs and Trade 1994 (AD Agreement) and certain articles of the General Agreement on Tariffs and Trade 1994 (GATT 1994). The U.S. concerns relate, among other things, to the manner in which Mexico conducted its dumping and injury investigations; Mexico's calculation of the AD margins that it applied to exporters that did not receive individual margins; and Mexico's non-transparent determinations.

The U.S. is also challenging certain provisions of Mexico's Foreign Trade Act that appear to be inconsistent with Mexico's obligations under various provisions of the AD Agreement and the Agreement on Subsidies and Countervailing Measures (SCM Agreement). In addition, the U.S. is challenging an article of Mexico's Federal Code of Civil Procedure and certain articles of the Foreign Trade Act, as Mexican officials have represented to the U.S. that these provisions prevent Mexico from conducting reviews of AD or countervailing (CV) duty orders while a judicial review of the order is ongoing.

(See ITT's Online Archives or 11/18/03 news, 03111899 1, for BP summary of the establishment of the DSP.)

- comments should be submitted on or before July 15, 2004 to be assured of timely consideration; however, comments will be accepted during the course of proceedings.

USTR contact - David Ross (202) 395-6139

USTR notice (D/N WTO/DS-295, FR Pub 06/21/04) available at http://a257.g.akamaitech.net/7/257/2422/06jun20041800/edocket.access.gpo.gov/2004/pdf/04-13946.pdf