8. Disputes in Brief
7 September 2009
- China - IPRs: The US and China have agreed that the latter will implement the panel ruling on its enforcement of intellectual property rights by 20 March 2010. The panel found that Chinese authorities could not release into ‘channels of commerce' counterfeit goods after the removal of fake trademarks, and said that China should accord copyright protection even for works whose publication and dissemination have been prohibited by law. However, the US failed to show that copyright piracy or trademark counterfeiting were taking place on a ‘commercial scale'. Should that have been the case, China would have had to strengthen criminal procedures and penalties for such offences (Bridges Year 13 No.1 page 11).
- China Challenges EU, US: On 31 July, China requested consultations on the 26.5-85 percent anti-dumping duties imposed by the EU on Chinese screws earlier this year. The duties are to stay in place for five years, but China says the EU's investigation was faulty. The EU claims that Chinese producers benefit from artificially low raw material costs and tax breaks that encourage exports. In related news, a dispute settlement panel was established on 31 July on a US ban on Chinese poultry exports. The US prohibited poultry imports from China in 2007 on health grounds.
- US - Zeroing: US woes related to the controversial ‘zeroing' methodology to calculate anti-dumping margins continue. Brazil has announced a challenge against the practice in the determination of AD duties on its orange juice exports, while Japan has obtained an Appellate Body confirmation that the US has not implemented any of the findings of previous rulings condemning the use of zeroing in so-called sunset reviews. Japan can now seek the right to impose trade sanctions, but has not yet said whether it intends to do so.
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