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Manual of OP for Trade Remedy Investigations

a product irrespective of its source and potentially affects all Members. All
Members are therefore entitled to be kept informed, without delay, of the
various steps of the investigation."

24.132 In a WTO Dispute India-Iron and Steel Products (WT/DS 518/R), the
Panel in their finding dated 6 November 2018, inter-alia observed that the Authority
must demonstrate the link between the unforeseen developments and the increase
in imports (para 7.105), The Panel mentioned that:

“We recall that Article XIX:1(a) does not provide any guidance on how the
relationship between unforeseen developments and the increase in imports
shall be examined. The competent authorities enjoy certain discretion in
choosing the appropriate method for examining the relationship between
unforeseen developments and the increase in imports, taking into account
the facts and circumstances of the particular case. At the same time, a
competent authority must provide in its published report a reasoned
and adequate explanation supporting its conclusions on unforeseen
developments.”
XXII. QR INVESTIGATIONS

24.133. The Panel in Turkey – Textiles (DS-34) elaborated on the systemic
significance of Article XI in the GATT framework:

"The prohibition against quantitative restrictions is a reflection that tariffs
are GATT's border protection 'of choice'. Quantitative restrictions impose
absolute limits on imports, while tariffs do not. In contrast to MFN tariffs
which permit the most efficient competitor to supply imports, quantitative
restrictions usually have a trade distorting effect, their allocation can be
problematic and their administration may not be transparent. Notwithstanding
this broad prohibition against quantitative restrictions, GATT contracting
parties over many years failed to respect completely this obligation. From
early in the GATT, in sectors such as agriculture, quantitative restrictions
were maintained and even increased to the extent that the need to restrict
their use became central to the Uruguay Round negotiations. In the sector
of textiles and clothing, quantitative restrictions were maintained under the
Multifibre Agreement (further discussed below). Certain contracting parties
were even of the view that quantitative restrictions had gradually been
tolerated and accepted as negotiable and that Article XI could not be and

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