The WTO’s Appellate Body sided with the U.S. over China and upheld an earlier panel ruling against China’s AD and CVD duties on imports of grain oriented flat-rolled electrical steel (“GOES”) from two U.S. producers -- AK Steel Corporation and ATI Allegheny Ludlum Corporation. In upholding the panel decision, the Appellate Body ruled that China failed to carry out proper investigations under AD and CVD rules to determine the relationship between imports of GOES from the U.S. and the prices of like Chinese product. Industry commentators argue that the GOES case is significant in that the results send a clear signal to China that it cannot use AD/CVD measures as a retaliatory tool. This was the first major AD/CVD case appealed by China to the Appellate Body against an adverse WTO ruling.