I. Introduction Subsidies are one of the most politically sensitive issues in WTO law. They reflect a wide diversity in the priorities and level of government intervention of the 153 WTO Members. Subsidies, however, can also play a major role in shaping international trade flows: in 2006, their total amount was estimated at 4% of the world’s GDP in the WTO 2006 World Trade Report.1 Although world-wide harmonized statistics are scarce, it is likely tha