INTRODUCTION

On 26 January 2000, the European Communities (the “EC”) requested consultations with Argentina regarding the definitive anti-dumping measures on imports of ceramic floor tiles from Italy imposed by Argentina on 12 November 1999. The EC made its request pursuant to Article 4 of the Understanding on Rules and Procedures Governing the Settlement of Disputes (“DSU”) and Article 17.3 of the Agreement on Implementation of Article VI of the General Agreement on Tariffs and Trade 1994 (the “AD Agreement”). The EC and Argentina held consultations on 1 March 2000, but failed to reach a mutually satisfactory solution.

On 7 November 2000, the EC requested the establishment of a panel with the standard terms of reference set out in Article 7 of the DSU. The EC made its request pursuant to Article 6 of the DSU and Article 17 of the AD Agreement. In that request, the EC identified the measures at issue as the definitive antidumping measures on imports of ceramic floor tiles (“porcellanato”) from Italy imposed by Argentina on 12 November 1999.

At its meeting on 17 November 2000, the Dispute Settlement Body (“DSB”) established a Panel pursuant to the above request. At that meeting, the parties to the dispute agreed that the Panel should have standard terms of reference. The terms of reference were:

On 12 January 2001, the parties agreed to the following composition of the Panel:

Japan, Turkey and the United States reserved their rights to participate in the Panel proceedings as third parties.

The Panel met with the parties on 18-19 April 2001 and 1 June 2001. It met with the third parties on 19 April 2001.

The Panel submitted its interim report to the parties on 25 July 2001. The Panel submitted its final report to the parties on 14 September 2001.