INDONESIA - CERTAIN MEASURES AFFECTING

THE AUTOMOBILE INDUSTRY

Surveillance of Implementation of Recommendations and Rulings

Request for Arbitration by the European Communities

            The following communication, dated 8 October1998, from the Permanent Delegation of the European Commission to the Chairman of the Dispute Settlement Body, is circulated at the request of that delegation.

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            On 23 July, the Dispute Settlement Body adopted the recommendations and rulings of the panel report in "Indonesia - Certain Measures Affecting the Automobile Industry".  In view of the impossibility to reach an agreement with Indonesia on the duration of the period required for the implementation of the recommendations and rulings of that panel report in respect of the so-called "1993 Programme", the European Communities hereby request that such period be determined by binding arbitration pursuant to Article 21.3 (c) of the Dispute Settlement Understanding (DSU).

            Pursuant to footnote 12 of the DSU, the representatives of the European Communities will immediately open discussions with the other Members concerned with a view to achieving agreement on an arbitrator within the next ten days.