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WTO Dispute Settlement Body—Article XX environmental exceptions to GATT—national treatment—consistency urith GATT of U.S. rules regarding imports of reformulated gasoline

Published online by Cambridge University Press:  27 February 2017

Maury D. Shenk
Affiliation:
Steptoe & Johnson LLP

Extract

United States—Standards for Reformulated and Conventional Gasoline. 35ILM 603 (1996).

World Trade Organization Appellate Body, April 29, 1996.

In United States—Standards for Reformulated and Conventional Gasoline (Gasoline), the Appellate Body of the World Trade Organization Dispute Settlement Body in its first decision addressed one of the most difficult contemporary issues in international trade— the tension between the growth of international trade and the protection of the global environment. The Appellate Body decided that rules regarding standards for cleanliness of gasoline (Gasoline Rule) adopted under the Clean Air Act by the U.S. Environmental Protection Agency (EPA), which required importers of gasoline to meet different standards from those required of domestic refiners, were not justifiable restrictions on trade under the environmental exceptions of Article XX of GATT 1994 (GATT).

Type
International Decisions
Copyright
Copyright © American Society of International Law 1996

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References

1 40 C.F.R. §§80.40–.130 (1995).

2 Clean Air Act Amendments of 1990, Pub. L. No. 101-549, §219, 104 Stat. 2399, 2492–2500.

3 For the text of the WTO agreements cited herein, see Final Act Embodying the Results of the Uruguay Round of Multilateral Trade Negotiations, Dec. 15, 1993, reprinted in 1 H.R. Doc. No. 316, 103d Cong., 2d Sess. (1994). For the Dispute Settlement Understanding and GATT 1994, see also 33 ILM 1125 (1994).

4 United States—Standards for Reformulated and Conventional Gasoline, WTO Doc. WT/DS2/R (Jan. 29, 1996), reprinted in 35 ILM 274 (1996).

5 Id., para. 6.16.

6 Id., para. 6.40.

7 Id.

8 WTO Doc. WT/DS2/AB/R, at 19, reprinted in 35 ILM 603 (1996).

9 Id. at 28–29, 35 ILM at 632–33.

10 Canada—Measures Affecting Exports of Unprocessed Herring and Salmon, GATT, Basic Instruments and Selected Documents [BISD], 35th Supp. 98, 114, para. 4.6 (1988) [hereinafter Herring and Salmon].

11 Daniel C. Esty, Greening the GATT 48 n.15 (1994) (citation omitted).

12 WTO Doc. WT/DS2/AB/R, at 19.

13 Id. at 28.

14 United States—Restrictions on Imports of Tuna, BISD, 39th Supp. 155, 199 (1992), reprinted in 30 ILM 1594, 1620, para. 5.28 (1991) (emphasis added) [hereinafter Tuna Dolphin].

15 San Antonio Indep. Sch. Dist. v. Rodriguez, 411 U.S. 1, 98–99 (1973) (Marshall, J., dissenting).

16 WTO Doc. WT/DS2/R, supra note 4, para. 2.13.

17 Office of the United States Trade Representative, Press Release (Apr. 29, 1996).

18 See Richard W. Stevenson, U.S. to Honor Trade Ruling Against It on Foreign Fuel, N.Y. Times, June 20, 1996, at D4.