there is now a consistent line of Appellate Body Reports" holding that the use of "zeroing" as
described by Korea in this dispute is inconsistent with the first sentence of Article 2.4.2.62 Further,
three successive panels have reached the same conclusions as the Appellate Body on this issue.
7.34 We have carefully considered the Appellate Body's reasoning in US – Softwood Lumber V
and taken into consideration panel reports and the "consistent line of Appellate Body reports" finding
that zeroing in the context of the weighted average-to-weighted average methodology in original
investigations is inconsistent with Article 2.4.2, first sentence. We recall our finding that the zeroing
methodology at issue in this dispute is identical to that at issue in US – Softwood Lumber V and that
the legal issues raised in Korea's claim are also identical in all material respects to those addressed by
the Appellate Body in US – Softwood Lumber V. In the light of this, and the fact that the respondent
has failed to advance any legal arguments to contradict the reasoning in the line of cases cited by
Korea, we are satisfied that Korea has established a prima facie case that the use of zeroing by the
USDOC in the calculation of the margins of dumping at issue is inconsistent with the United States'
obligations under the first sentence of Article 2.4.2 of the Anti-Dumping Agreement. This is because
the USDOC did not take into account all comparable export transactions when calculating the
dumping margins at issue.
7.35 Given our finding that Korea has made a prima facie case of violation in respect of the
measures at issue, and in the absence of arguments of the United States to the contrary, we conclude
that the United States has acted inconsistently with its obligations under the first sentence of
Article 2.4.2 of the Anti-Dumping Agreement by using the zeroing methodology in the manner
described above.