Legal Framework

Subsidies on agricultural products raise complex questions beyond the scope of this chapter.

Once the necessary findings are made, the United States Government may then impose countervailing duties to offset the impact of a subsidy.

Non-market economies have had an interesting history under the countervailing duty law.

Safeguard measures

08/12/2022

United States trade remedy laws are commonly understood to address 'unfair' trade practices that violate international rules of conduct.

Section 201 safeguard measures, also referred to as 'escape clause' measures, were developed to facilitate efforts by the domestic industry to make a positive adjustment to import competition.

International rules on safeguard or escape clause measures developed hand-in-hand with their development in the United States.

Between 1974 and the implementation of the WTO Safeguards Agreement in 1995, a total of 63 Section 201 petitions were filed. A little more than half of those petitions led to affirmative injury findings by the Commission.

There are two stages to a Section 201 investigation and two main government actors. The first stage of the investigation is known as the injury phase.

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