ABSTRACT

This chapter presents the rules of dispute settlement in the World Trade Organization and the General Agreement on Tariffs and Trade (GATT) in order to provide the reader with a better understanding of the dispute settlement process. As concerns trade restrictions that aim at product-related environmental or health effects, there have been several major decisions so far. The panel has shown ways on how to protect the environment without interfering with the trade rights of foreign countries. The panel ruled that the US import prohibition was inconsistent with GATT. The US disputed Canada's jurisdictional claims and imposed a ban on imports of tuna and tuna products from Canada in retaliation. The US and Canada had challenged the European Communities import ban on beef from cattle raised with growth hormones. In October 1998, an appellate body ruled on the import ban of fresh, chilled or frozen – that is, uncooked – salmon which had been imposed by Australia since 1975.