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US–Tyres: Upholding a WTO Accession Contract – Imposing Pain for Little Gain

  • STEVE CHARNOVITZ (a1) and BERNARD HOEKMAN (a2)
Abstract
Abstract

In 2009, the United States imposed additional tariffs for a three-year period on imports of automotive tires from China under a special-safeguard provision included in China's Protocol of Accession to the WTO. China challenged the measure in the WTO. The case marked the first WTO dispute in which a challenged safeguard was upheld by the Appellate Body; the first in which an accession protocol was used successfully as a defense; and the first that China lost as a complaining party. It also was noteworthy in that the safeguard was sought by a labor union, not the domestic industry. This paper reviews the WTO Appellate Body's findings and discusses a number of the legal and policy implications regarding China's Accession Protocol, the Safeguards Agreement, and WTO accession law, as well as economic aspects of the case.

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Corresponding author
*Email: scharnovitz@law.gwu.edu.
**Email: bhoekman@worldbank.org.
References
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World Trade Review
  • ISSN: 1474-7456
  • EISSN: 1475-3138
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