. /.RESTRICTEDWORLD TRADE
ORGANIZATIONWT/DSB/W/91
25 January 1999
(99-0257)
Dispute Settlement Body
25 January 1999Original:  English
EUROPEAN COMMUNITIES – REGIME FOR THE IMPORTATION,
SALE AND DISTRIBUTION OF BANANAS:  RECOURSE TO
ARTICLE 22.2 OF THE DSU BY THE UNITED STATES
Communication from Japan
The following letter addressed to the Chairman of the Dispute Settlement Body and dated
22 January 1999 has been received from Japan with the request that it be circulated to Members.
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We hereby write to you to suggest a proposal with regard to handling of Recourse to
Article 22.2 of the DSU by the United States at January 25 meeting of the Dispute Settlement Body
(DSB).
We are of the view that when there is a disagreement as to the existence or consistency with
the covered agreement of measures taken to comp ly with the recommendations and rulings of the
panel and the Appellate Body among the parties, the prevailing parties may not resort to Article 22
procedures for compensation or the suspension of concessions or other obligations before the
disagreement is settled through the procedure laid down in Article 21.5 of the DSU. The
determination of whether a party failed to bring the measure found to be inconsistent with a covered
agreement into compliance therewith or otherwise comply with the recommendations and rulingswithin a reasonable period of time, rest with the DSB and not with the prevailing party alone.
However, given the current situation where a common interpretation of the relevant
provisions of the DSU by all WTO Members is yet to be established, we propose that the parties to
the dispute agree on the following idea to solve this issue, and request you, Mr Chairman, to holdconsultations with the parties to reach a compromise along this line.
1) The US request for the authorisation from the DSB to suspend the application of
concessions or other obligations will be inscribed on the agenda of the January 25 DSB meeting.
However, the DSB will suspend the meeting on this agenda item and not deliberate nor take decisionuntil the process described in 2) is completed. The DSB will at the same time place on hold the
process during which the US may request and obtain such an authorisation from the DSB as stipulated
in Articles 22.2 and 22.6.
2) If the Panel and/or the Appellate Body (if ap pealed) finds that the EC has failed to bring
the measure found to be inconsistent with the WTO rules into compliance therewith or otherwise
comply with the recommendations and rulings, the DSB will first adopt the Panel (and Appellate
Body) report(s), then reconvene the suspended meeting and grant the authorisation to the US request
for the suspension of concessions or other obligations in accordance with Article 22.6 of the DSU.
Finally, we would like to request that you ci rculate this communication to all WTO Members.WT/DSB/W/91
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/s/ /s/ /s/
Dencho GEORGIEV Milan HOVORKA István MAJORMinister Plenipotentiary Minister Counsellor Ambassador
Representative Permanent Representative Permanent Representative
Republic of Bulgaria Czech Republic Republic of Hungary
/s/ /s/ /s/
Srinivasan NARAYANAN Halida MILJANI Nobutoshi AKAO
Ambassador Ambassador Ambassador
Permanent Representative Second DeputyPerm.Representative Permanent Representative
India Republic of Indonesia Japan
/s/ /s/ /s/
Man Soon CHANG Tomasz JODKO Alexandra VALACHOVÁ
Ambassador Minister Plenipotentiary Counsellor Permanent Representative Permanent Representative Permanent Representative
Republic of Korea Republic of Poland Slovak Republic 
/s/
Gregor ZORE
Ambassador
Permanent Representative
Republic of Slovenia
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