WTO CasesVolume 12Number 6 • 20th February 2008

Thailand and India prevail in dispute against us anti-dumping measures on shrimp

A WTO dispute panel ruled 29 February that US anti-dumping measures on shrimp imports from India and Thailand violated the WTO rules prohibiting importers from imposing policies other than extra duties to counter dumping.

Gretchen Hamel, spokesperson for the US trade representative’s office, said that the panel findings were “mixed,” arguing that the panel rejected many of Thailand and India’s claims that additional bond requirements were “‘as such’ inconsistent with US obligations under the WTO Anti-dumping Agreement.”

The US rules in question required exporters at risk of defaulting on the payment of anti-dumping duties to post a bond covering the full amount, a change from the original 10 percent duty imposed (see BRIDGES Trade BioRes, 11 May 2005, http://www.ictsd.org/biores/05-11-11/story1.htm). The US considered this to be a “reasonable security” deposit for collecting duties. Indian exporters deemed it “unreasonable,” and both India and Thailand argued that the measures resulted in an “excessive financial burden on exporters paying the anti-dumping duties.”

India and Thailand both requested consultations with the US in 2006 over the measures. Later that year, they requested panels to be established to resolve the dispute.

ICTSD reporting; “Victory at the WTO,” BANGKOK POST, 3 March 2008; “Victory for Indian Shrimp Exporters at WTO,” BUSINESS STANDARD, 2 March 2008; “WTO Panel Rules Against US in Shrimp Cases,” REUTERS, 29 February 2008.