Chapter Four The Record of Section 301 By April 1996, Section 301 had been used 101 times. Appendix A lists the cases and gives a brief summary of the actions and their outcome. Given that Section 301 has been used in such a wide variety of ways and with such widely differing levels of commitment by administrations over the years, a mere recitation of the cases is not particularly meaningful. Although the majority of the cases have been settled to the satisfaction of the U.S. industry involved and the U.S. trade negotiators, the success or failure of a case is a subjective judgment. Results are often difficult to quantify since actual trade flows depend on a number of factors, and Section 301 sometimes strips away one set of barriers only to reveal others. There can be little doubt, however, that Section 301 has been an important tool in opening markets and expanding U.S. exports. Section 301's ultimate source of leverage is the threat to close the U.S. market. Just the threat of Section 301 action, including recourse to multilateral dispute settlement, is sometimes sufficient to convince trading partners to open their market. To shed more light on the record of the statute, four representative Section 301 cases have been chosen to illustrate how Section 301 can work and when it is likely to fail. The case studies were also chosen to illustrate the connection between Section 301 and the GATT dispute settlement procedure in order to demonstrate the possible working -20- |