3. REQUEST FOR THE ESTABLISHMENT OF A PANEL On 5 November 2004, the European Communities requested consultations with the United States of America with a view to reaching a mutually satisfactory solution of the matter. The request was circulated in document WT/DS/108/27 dated 10 November 2004. Consultations were held on 11 January 2005 in Geneva. They have allowed a better understanding of the respective positions but have not led to a satisfactory resolution of the matter.
Therefore, there continues to be "a disagreement as to the existence or consistency with a covered agreement of measures taken to comply with the recommendations and rulings" of the DSB between the United States and the European Communities, within the meaning of Article 21.5 of the DSU.
Accordingly, pursuant to Articles 6 and 21.5 of the DSU, Article 4 of the SCM Agreement, Article 19 of the Agreement on Agriculture and Article XXIII of the GATT 1994, the European Communities hereby requests the establishment of a Panel. In particular, the European Communities respectfully requests the Panel to find the following:
– that the United States has failed to withdraw its prohibited subsidies as required by Article 4.7 of the SCM Agreement, has failed to bring its scheme into conformity with its WTO obligations and has thus failed to implement the DSB's recommendations and rulings, as specified by the DSB on 20 March 2000 and on 29 January 2002, as required by Articles 19.1 and 21.1 of the DSU.
– that the United States continues to violate Articles 3.1(a) and 3.2 of the SCM Agreement, Articles 10.1, 8 and 3.3 of the Agreement on Agricultureand Article III:4 of the GATT 1994.
In accordance with Article 21.5 of the DSU, the European Communities requests that this matter be referred to the original Panel. It further requests that the Panel examines the matter above in accordance with the standard terms of reference set out in Article 7 of the DSU.
The European Communities asks that this request be placed on the agenda for the meeting of the Dispute Settlement Body to be held on 25 January 2005.