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ARTICLE · 22 NOVEMBER 2018

WTO Panel Issues An Important Reminder That Safeguards Are Not Safe From Challenge

Borden Ladner Gervais LLP
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A November 6, 2018, World Trade Organization (WTO) dispute settlement panel report is further confirmation that while safeguard actions are in principle permitted by WTO rules

CanadaInternational Law

A November 6, 2018, World Trade Organization (WTO) dispute settlement panel report1 is further confirmation that while safeguard actions are in principle permitted by WTO rules, establishing compliance with those rules will be a daunting task when a safeguard is challenged by other WTO Members.

The November 6 panel report is just the latest in a long line of cases in which WTO Members have been unable to justify their safeguard measures. The case involved a complaint by Japan regarding a measure imposed by India on imports of hot-rolled flat steel products. The panel found the adequacy of the explanations by India's authority to be lacking, including with respect to the existence of serious injury or threat of serious injury and the causal relationship between the increase in imports and that serious injury or threat.

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