Members adopt panel report in frozen fries case, EU appeals ruling in steel duties dispute

At the start of the DSB meeting, the Chair of the DSB, Ambassador Clare Kelly (New Zealand), announced that two items that had been placed on the DSB agenda were being removed:

• Adoption of the panel ruling in the request from Indonesia for the adoption of the panel ruling in DS616: "European Union - Countervailing and Anti-Dumping Duties on Stainless Steel Cold-Rolled Flat Products from Indonesia" as a result of the European Union's decision to appeal the ruling;
• The European Union's request for DSB authorization to impose countermeasures on US goods imports in line with the arbitrator's decision in DS577: "United States - Anti-Dumping and Countervailing Duties on Ripe Olives from Spain".

DS591: Colombia - Anti-Dumping Duties on Frozen Fries from Belgium, Germany and the Netherlands: Recourse to Article 21.5 of the DSU by the European Union

The European Union requested that the DSB adopt the compliance panel's report in DS591. On 23 October, the panel found that Colombia had failed to fully comply with an earlier panel ruling and award of the arbitrators issued in accordance with the Multi-Party Interim Appeal Arbitration Arrangement (MPIA) concerning Colombia's anti-dumping duties on frozen fries from Belgium, Germany and the Netherlands.

The EU said the compliance panel report confirmed that Colombia incorrectly implemented the panel report and the appeal arbitration award, and it urged Colombia to take immediate action to comply with the ruling. The EU recalled that this dispute benefited from a fully functioning dispute settlement system as a result of the parties' use of the MPIA.

Colombia said that it disagreed with the findings both in the original panel report and in the compliance proceedings but said it would comply with the findings and that it was in contact with the EU to ensure the dispute is resolved.

The DSB adopted the panel report.

Appellate Body appointments

Colombia, speaking on behalf of 130 members, introduced for the 92nd time the group's proposal to start the selection processes for filling vacancies on the Appellate Body. The extensive number of members submitting the proposal reflects a common interest in the functioning of the Appellate Body and, more generally, in the functioning of the WTO's dispute settlement system, Colombia said.

The United States said it does not support the proposed decision and said it continues to reflect on the extent to which it is possible to achieve such a reformed WTO dispute settlement system that advances US interests while preserving US sovereignty, consistent with what WTO members agreed to in the Dispute Settlement Understanding (DSU).

Twenty-five members took the floor to comment, most voicing their support for the joint proposal.  Several delegations expressed their appreciation to the General Council and DSB chairs for their recent consultations with members on advancing dispute settlement reform and said they looked forward to the chairs' report.  Around a dozen members urged others to consider joining the MPIA.

Colombia, on behalf of the 130 members, said it regretted that for the 92nd occasion members have not been able to launch the selection processes. Ongoing conversations about reform of the dispute settlement system should not prevent the Appellate Body from continuing to operate fully, and members shall comply with their obligation under the DSU to fill the vacancies as they arise, Colombia said for the group.

Surveillance of implementation

The EU presented its status report with regard to DS600 "European Union and Certain Member States - Certain Measures Concerning Palm Oil and Oil Palm Crop-Based Biofuels" and  DS291, "EC - Measures Affecting the Approval and Marketing of Biotech Products."

The United States presented status reports with regard to DS184, "US - Anti-Dumping Measures on Certain Hot-Rolled Steel Products from Japan",  DS160, "United States - Section 110(5) of US Copyright Act", DS464, "United States - Anti-Dumping and Countervailing Measures on Large Residential Washers from Korea", and DS471, "United States - Certain Methodologies and their Application to Anti-Dumping Proceedings Involving China."

Indonesia presented its status reports in DS477 and DS478, "Indonesia - Importation of Horticultural Products, Animals and Animal Products." 

Other business

Indonesia expressed concern with the European Union's decision to appeal the panel ruling in DS616. Indonesia said the manner in which this right to appeal is exercised today will continue to bring adverse implication to the credibility and integrity of the multilateral trading system. Indonesia said it remains open to pursuing ad hoc arbitration under Article 25 of the DSU as a pragmatic way to preserve a functioning two tier dispute settlement system.

The EU said that, in the absence of available appeal arbitration to review the legal errors contained in the panel report, it has no choice but to exercise its right to appeal. The EU said it has repeatedly invited Indonesia to join the MPIA and that its invitation to do so still stands. The EU said it took note of Indonesia's statement that is ready to sign an appeal arbitration arrangement in this case and stands ready to engage with Indonesia bilaterally.

Five other members took the floor to comment on the exchange.

Next meeting

The next regular DSB meeting will take place on 19 December 2025.