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3 - US – Shrimp United States – Import Prohibition of Certain Shrimp and Shrimp Products, Recourse to Article 21.5 of the DSU by Malaysia

Published online by Cambridge University Press:  06 July 2010

Robert Howse
Affiliation:
Professor of Law, University of Michigan Law School
Damien J. Neven
Affiliation:
Professor of Economics, Graduate Institute for International Studies, University of Geneva
Henrik Horn
Affiliation:
Stockholms Universitet
Petros C. Mavroidis
Affiliation:
Université de Neuchâtel, Switzerland
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Summary

Introduction

This study discusses the ruling of the Appellate Body (AB) in the recourse to Article 21.5 of the DSU by Malaysia in the context of the US import prohibition of certain shrimp and shrimp products from a legal and economic perspective. The first part of the chapter (section 2) discusses the background of the case, and, in particular, presents the main issues at stake in the Panel and AB decisions in the original case as well as their main findings. Section 3 discusses the key elements of the compliance panel and its subsequent appeal and identifies a few issues that are discussed in further detail. In section 4, in the context of a simple model, we first consider the consequences of making imports contingent on the adoption of environmental measures in exporting countries. We find that the attractiveness of such measures depends heavily on the characteristics of abatement technology and the range of policies available in the exporting countries. Finally, section 5 briefly discusses the trade-off between flexibility in the imposition of environmental standards and the enforcement of dispute settlements' rulings.

Factual background and summary of legal issues and findings

Protection of sea turtles by the United States

Several species of sea turtles are endangered. In the 1980s, in an effort to protect these species, the United States enacted measures to reduce the number of sea turtles killed by US trawlers.

Type
Chapter
Information
The WTO Case Law of 2001
The American Law Institute Reporters' Studies
, pp. 41 - 71
Publisher: Cambridge University Press
Print publication year: 2004

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References

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Howse, R. (2002), The Appellate body rulings in the Shrimp/turtle case: a new legal baseline for the trade and environment debate, Columbia Journal of Environmental Law, 27(2), 491–521Google Scholar
Howse, R. and Regan, D (2000). The Product/Process Distinction – An Illusory Basis for Disciplining “Unilateralism” in Trade Policy, European Journal of International Law, 11(1), 249–283CrossRefGoogle Scholar
Ludema, R. and Wooton, I. (1994), Cross-border externalities and trade liberalization: the strategic control of pollution, The Canadian Journal of Economics, 27(4), 950–966CrossRefGoogle Scholar
OECD (1999), Trade measures in multilateral environmental agreements, OECD, Paris
Revesz, R. (2000), Federalism and regulation: extrapolating from the analysis of environmental regulation in the United States, Journal of International Economic Law, 219–233CrossRefGoogle Scholar

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