Italian Discrimination Against Imported Agricultural Machinery
General Agreement on Tariffs and Trade Panel
L/833-7S/60 (Oct. 23, 1958)

- Written by Josh Lee, JD
Facts
Italy (defendant) adopted a law that granted special credit facilities, at favorable terms, to purchasers of agricultural equipment made in Italy. The United Kingdom (UK) (plaintiff) challenged these subsidies as violating the national-treatment principle under the General Agreement on Tariffs and Trade (GATT), Article III:4. Italy argued that the favorable loans were not related to trade and were similar to permissible subsidies that could be given to domestic producers.
Rule of Law
Issue
Holding and Reasoning ()
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