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US demands quick EU and Indian action on WTO compliance rulings

THE United States has called for rapid enforcement of recent World Trade Organisation (WTO) decisions involving European subsidies for Airbus passenger aircraft and India's local content requirements for solar panels.

"We need to resolve these disputes once and for all," said US Trade Representative Michael Froman. 



"The Obama administration is committed to enforcing the rights of the United States under our trade agreements and we will use every tool at our disposal to expedite these cases for the benefit of American businesses and workers, " he said.



On September 16, the WTO Appellate Body ruled in favour of the US in a dispute challenging India's domestic content requirements for solar cells and modules under India's National Solar Mission. 



The appellate report affirmed a February 2016 WTO panel report finding that India's domestic content requirements breach the rules because they prohibit Indian solar power developers from using solar cells and modules made in the US in certain projects, the American Shipper reported.



"Since India enacted these requirements in 2011, American solar exports to India have fallen by more than 90 per cent," the Office of the US Trade Representative said. "By requesting the WTO to adopt the reports, the United States is pushing to stop India's discrimination against US solar exports sooner rather than later."



On September 22, a WTO compliance panel found that the European Union, Germany, France, the United Kingdom and Spain breached WTO rules by giving Airbus billions of dollars in additional subsidies.



The Obama administration recently requested a special meeting of the WTO Dispute Settlement Body to ensure that this report takes effect quickly.



While the European Union could seek to appeal the compliance panel's findings, the US has urged the EU members to accept the panel's findings and negotiate a settlement to remove all of the WTO-inconsistent subsidies.
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