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On 26 July 1999 a WTO dispute settlement panel was established in a case brought by the European Communities against the United States over the latter’s safeguard measure against imports of wheat gluten. New Zealand, Australia and Canada participated in the case as third parties. New Zealand had no commercial interest in the case, but had a systemic interest in the implementation by the United States of safeguards, given our parallel dispute with the United States over the lamb safeguard measure. Accordingly, New Zealand’s third party submission raised issues under Articles 2, 4, 5, and 12 of the Safeguards Agreement.
On 31 July 2000 the Panel issued its Report on the WTO-consistency of the United States wheat gluten safeguard measure. The Panel found that the measure was inconsistent with the obligations of the United States under the Safeguards Agreement. This finding was upheld by the Appellate Body following an appeal by the United States. In June 2001 the US removed its safeguard measure on wheat gluten, in line with the ruling of the WTO.
