./.WORLD TRADE
ORGANIZATIONWT/DS70/12
22 May 2000
(00-2107)
Original:  English
CANADA – MEASURES AFFECTING THE EXPORT OF CIVILIAN AIRCRAFT
Recourse by Brazil to Article 21.5 of the DSU
Notification of an Appeal by Brazil under paragraph 8 of
Article 4 of the Agreement on Subsidies and Countervailing Measures
and paragraph 4 of Article 16 of the Understanding on Rules
and Procedures Governing the Settlement of Disputes
The following notification, dated 22 May 2000, sent by Brazil to the Dispute Settlement
Body (DSB), is circulated to Members.  This noti fication also constitutes the Notice of Appeal, filed
on the same day with the Appellate Body, pursuant to the  Working Procedures for Appellate Review .
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The Government of Brazil hereby notifies the Appellate Body and the Dispute Settlement
Body of its decision to appeal certain issues of law and legal interpretations developed by the Panel in
its Report on  Canada – Measures Affecting the Export of Civilian Aircraft – Recourse by Brazil to
Article 21.5 of the Dsu , as well as certain legal findings and conclusions of the Panel.
Brazil gives this notice pursuant to Article 4.8 of the Agreement on Subsidies and
Countervailing Measures  ("SCM Agreement "), Article 16.4 of the Understanding on Rules and
Procedures Governing the Settlement of Disput es (DSU), and Rules XX and XXXI(1) of the  Working
Procedures for Appellate Review .
Brazil asks the Appellate Body to review the following legal findings and conclusions of the
Panel, and the legal interpretations that support these findings and conclusions:
1. That Canada, as stated in paragraph 6.2 of the Report, "has implemented the 20 August 1999
DSB recommendation that Canada withdraw TPC assistance to the Canadian regional aircraft
industry within 90 days."
2. That pursuant to Article 21.5 of the DSU, the scope of the Panel's review was limited to the
consistency of Canada's amended Technology Pa rtnerships Canada ("TPC") program with the
recommendations and rulings of the Dispute Settlement Body ("DSB") and the factual
circumstances of the Panel's original ruling in  Canada – Measures Affecting the Export of
Civilian Aircraft , WT/DS70/R.
3. That partial amendment of the factors contributing to the Panel's and the Appellate Body's
determination that TPC constituted a prohibited export subsidy satisfies the requirement that
the Panel, pursuant to Article 21.5 of the DSU, review the existence or consistency of
implementation measures with the  SCM Agreement   and the recommendations and rulings of
the DSB.WT/DS70/12
Page 2
4. That the Panel's original ruling did not include a determination that prohibited export
subsidies granted by TPC were specific and targeted to the Canadian aerospace industry.
As a result of the review, Brazil asks that the Appellate Body reverse the Panel's conclusion
with regard to TPC, complete the Panel's analysis and conclude that Canada's amended TPC is notconsistent with the  SCM Agreement   or the recommendations and rulings of the DSB.
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