RESTRICTED
WORLD TRADE WT/DS11/1
17July1995
ORGANIZATION(95-2024)
Original: English
JAPAN -TAXES ONALCOHOLIC BEVERAGES
Request forConsultations bytheUnited States
Thefollowing communication dated 7July1995 from theOffice oftheUnited States Trade
Representative tothePermanent Mission ofJapan, iscirculated attherequest oftheOffice oftheUnited
States Trade Representative.
_______________
MyauthoritieshaveinstructedmetorequestconsultationswiththeGovernmentofJapanpursuant
toArticle4oftheUnderstandingonRulesandProceduresGoverningtheSettlementofDisputes("DSU")
andArticle XXIII:1 oftheGeneral Agreement onTariffs andTrade 1994("GATT 1994"), regarding
internal taxes imposed byJapan oncertain alcoholic beverages pursuant totheLiquor TaxLaw. The
products inquestion areshochu andallother distilled spirits andliqueurs falling within HSheading
2208.
These taxes appear tobeinconsistent withtheobligation ofJapan under Article III:2, firstand
second sentences, oftheGeneral Agreement onTariffs andTrade 1994. TheUnited States reserves
therighttoraiseadditional factual claims andlegalmatters during thecourse oftheconsultations.
Welookforward toreceiving your reply tothepresent request andtofixing amutually
convenient dateforconsultations within thenextthirty days.