European Communities – Customs Classification of Frozen Boneless Chicken Cuts - Complaint by Brazil (WT/DS269): Report of the Panel

Summary

INTRODUCTION

On 11 October 2002, Brazil requested consultations with the European Communities pursuant to Article 4 of the Understanding on the Rules and Procedures Governing the Settlement of Disputes (DSU) and Article XXII of the General Agreement on Tariffs and Trade 1994 (GATT 1994) (WT/DS269/1). The request concerned an EC Commission Regulation that Brazil alleged provided a new description of the products at issue under the EC's Combined Nomenclature (CN) Code 0207.14.10 namely, EC Commission Regulation No. 1223/2002 (EC Regulation No. 1223/2002), which Brazil describe in its request for consultations as “frozen, boneless cuts of poultry impregnated with salt in all parts, with a salt content by weight of 1.2%”.

Consultations were held between Brazil and the European Communities on 5 December 2002 and 19 March 2003 but did not lead to a resolution of the dispute. As a result, in a communication dated 19 September 2003, Brazil requested the establishment of a panel. Accordingly, the Dispute Settlement Body (DSB) at its meeting of 7 November 2003 established the Panel with standard terms of reference.

On 25 March 2003, Thailand requested consultations with the European Communities pursuant to Article 4 of the DSU and Article XXII of the GATT 1994 (WT/DS286/1) regarding the “customs reclassification set out in the EC Regulation No. 1223/2002 of 8 July 2002”. Thailand states in its request for consultations that “frozen boneless chicken cuts impregnated with salt in all parts, with a salt content by weight of 1.2% to 1.9% are reclassified as frozen boneless chicken cuts under code 0207.14.10 of the EC's combined nomenclature (CN)” under EC Regulation No. 1223/2002.

Consultations were held between Thailand and the European Communities on 21 May 2003 but did not lead to a resolution of the dispute. As a result, in a communication dated 27 October 2003, Thailand requested the establishment of a panel. Accordingly, at its meeting of 21 November 2003, the DSB established the Panel with standard terms of reference. At that meeting, it was agreed that, as provided for in Article 9.1 of the DSU in respect of multiple complainants, the Panel established on 7 November 2003 to examine the complaint by Brazil would also examine Thailand's complaint (WT/DSB/M/158).