Turkey – additional duties on certain products from
the United States

Report of the Panel

TABLE OF CONTENTS

1   Introduction.. 10

1.1   Complaint by the United States. 10

1.2   Panel establishment and composition. 10

1.3   Panel proceedings. 11

1.3.1   General 11

1.3.2   Requests for enhanced third-party rights. 12

2   Factual aspects. 12

2.1   The measure at issue. 12

2.2   Factual background. 13

3   Parties' requests for findings and recommendations. 14

4   Arguments of the Parties. 14

5   Arguments of the Third Parties. 14

6   Interim Review.. 15

6.1   Applicability of the relevant covered agreements. 15

6.1.1   Paragraph 7.3 and footnote 67. 15

6.1.2   Paragraphs 7.52-7.56. 15

6.1.3   Paragraph 7.61. 16

6.1.4   Section 7.1.2.5.2. 17

6.2   United States' claim under Articles II:1(a) and II:1(b) of the GATT 1994. 18

6.2.1   Section 7.2.3.2.2. 18

7   Findings. 21

7.1   Applicability of the relevant covered agreements. 21

7.1.1   Main arguments of the parties. 21

7.1.1.1   United States. 21

7.1.1.2   Türkiye. 23

7.1.2   Analysis by the Panel 24

7.1.2.1   Introduction. 24

7.1.2.2   The Panel's duty to assess the applicability of the relevant covered agreements. 25

7.1.2.3   Order of analysis. 26

7.1.2.4   Interpretation of Article 8.2 of the Agreement on Safeguards and Article XIX:3(a)
 of the GATT 1994. 27

7.1.2.5   Whether Article 8.2 of the Agreement on Safeguards and Article XIX:3(a) of the GATT 1994 apply to Türkiye's additional duties measure. 30

7.1.2.5.1   Interpretation of Article 11.1(c) of the Agreement on Safeguards. 31

7.1.2.5.2   Whether the United States' Section 232 measures are excluded from the scope
of application of the Agreement on Safeguards. 35

7.1.3   Conclusion. 40

7.2   United States' claims under the GATT 1994. 40

7.2.1   Whether the Panel should examine the additional duties measure as amended by Presidential Decision 1130/2019. 40

7.2.1.1   Main arguments of the parties. 40

7.2.1.1.1   United States. 40

7.2.1.1.2   Türkiye. 41

7.2.1.2   Analysis by the Panel 41

7.2.2   United States' claim under Article I:1 of the GATT 1994. 42

7.2.2.1   Main arguments of the parties. 42

7.2.2.1.1   United States. 42

7.2.2.1.2   Türkiye. 43

7.2.2.2   Analysis by the Panel 43

7.2.2.2.1   The applicable legal standard. 44

7.2.2.2.2   Whether the additional duties measure is inconsistent with Article I:1 of the
GATT 1994. 44

7.2.2.3   Conclusion. 45

7.2.3   United States' claim under Articles II:1(a) and II:1(b) of the GATT 1994. 46

7.2.3.1   Main arguments of the parties. 46

7.2.3.1.1   United States. 46

7.2.3.1.2   Türkiye. 46

7.2.3.2   Analysis by the Panel 47

7.2.3.2.1   The applicable legal standard. 47

7.2.3.2.2   Whether Türkiye's additional duties measure is inconsistent with Article II:1(b)
of the GATT 1994. 48

7.2.3.2.2.1   HS2017 tariff lines 210690980012, 210690980013, 210690980014,
210690980015, and 210690980019. 49

7.2.3.2.2.2   HS2017 tariff lines 870333909011, 870333909019, 870340100000,
870340900000, 870350000000, and 870360100000. 50

7.2.3.2.2.3   Conclusion. 53

7.2.3.2.3   Whether the additional duties measure is inconsistent with Article II:1(a) of
the GATT 1994. 53

7.2.3.3   Conclusion. 53

8   Conclusions and recommendation.. 54