Report of the Appelate Body

Summary

INTRODUCTION

China appeals certain issues of law and legal interpretations developed in the Panel Report, United States – Measures Affecting Imports of Certain Passenger Vehicle and Light Truck Tyres from China (the "Panel Report"). The Panel was established on 19 January 2010 to consider a complaint by China with respect to a safeguard measure imposed by the United States on imports of certain passenger vehicle and light truck tyres from China.

The measure was imposed as a product-specific safeguard under Section 16 of the Protocol on the Accession of the People's Republic of China to the World Trade Organization (the "WTO") ("China's Accession Protocol" or the “Protocol") following an investigation conducted by the United States International Trade Commission (the "USITC").

The safeguard investigation in this case was initiated following receipt of a petition filed by the United Steel, Paper and Forestry, Rubber, Manufacturing, Energy, Allied Industrial and Service Workers International Union on 20 April 2009. The petition alleged that certain passenger vehicle and light truck tyres from China were being imported into the United States in such increased quantities or under such conditions as to cause or threaten to cause market disruption to domestic producers of like or directly competitive products. The USITC initiated the investigation on 24 April 2009. The USITC determined that there was market disruption as a result of rapidly increasing imports of subject tyres from China that were a significant cause of material injury to the domestic industry.