Publication

In a dispute settlement case brought by Brazil against certain aspects of the U.S. cotton program, a WTO Appellate Body recommended in March 2005 that the United States remove certain “prohibited subsidies” by July 21, 2005, and remove the adverse effects resulting from certain “actionable subsidies” by September 21, 2005. When the United States failed to meet these deadlines, Brazil claimed the right to retaliate against $3 billion in U.S. exports to Brazil based on the prohibited subsidies, and proposed $1 billion in retaliation based on the actionable subsidies.