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United States – Countervailing Measures Concerning Certain Products from the European Communities (WTO Doc. WT/DS212/AB/R): Recurring Misunderstanding of Non-Recurring Subsidies*

Published online by Cambridge University Press:  16 September 2015

Gene M. Grossman
Affiliation:
Princeton University
Petros C. Mavroidis
Affiliation:
University of Neuchâtel and Columbia University
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In United States – Countervailing Measures Concerning Certain Products from the European Communities (WTO Doc. WT/DS212/QB/R, henceforth Certain Products), the Appellate Body (AB) of the World Trade Organization was called upon to revisit the issue of whether the United States can legally impose countervailing duties following the privatization of state-owned enterprises that had received non-recurring subsidies. In twelve cases, the United States Department of Commerce (USDOC) had applied either the “gamma method” or the “same-person method” in assessing the impact of a change of ownership on the continued existence of a benefit from a countervailable subsidy. The European Communities challenged the legality of these methods.

Type
Research Article
Copyright
Copyright © Cambridge University Press 2005

Footnotes

*

We are grateful to Henrik Horn, Doug Irwin, Arun Venkataraman and Jasper-Martijn Wauters for helpful discussions on the issue treated in this report.

References

Grossman, Gene M. and Mavroidis, Petros C.. 2003. Here Today, Gone Tomorrow? Privatization and the Injury Caused by Non-Recurring Subsidies. A Discussion of the Appellate Body Report on United States – Imposition of Countervailing Duties on Certain Hot-Rolled Lead and Bismuth Carbon Steel Products Originating in the United Kingdom in Horn, H. and Mavroidis, P. C., eds., The WTO Case Law of 2001. Cambridge: Cambridge University Press.Google Scholar