Friday, Aug. 13, 2021
Have US actions affected the dispute settlement system of the World Trade Organization?
The dispute settlement system at the World Trade Organization provides an established process by which countries can resolve trade issues, such as accusations of dumping, by making their case in front of an ad hoc dispute panel. Decisions by such panels could, up until recently, be appealed to the WTO Appellate Body, which consists of seven members appointed for limited terms. The U.S. vetoed new members from joining the Appellate Body as members’ terms have expired. Effectively, this has meant that since December 2019 there have not been enough members for the Appellate Body to operate. This prevents the appeal of panel decisions, making it possible for states that violate WTO law to prevent adverse WTO rulings from attaining legal standing. The U.S. continues to block nominations to the WTO Appellate Body under the Biden administration.
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