Why has the WTO been unable to handle any new cases since December 2019?

The World Trade Organization (WTO) Appellate Body – made up of seven experts in trade and international law – has been unable to take up any new cases since December 2019.

According to the WTO, up to 32 rulings of dispute panels have been appealed and cannot be enforced. (Source: Getty Images)

On February 4, China announced that it would file a complaint with the WTO about what it considers unreasonable US tariffs.

However, the move is unlikely to yield results unless China and the US find common ground to resolve the dispute themselves. The WTO dispute settlement system, which is designed to handle such situations, has been paralyzed for years.

The WTO dispute settlement process goes through several stages. Once a party files a complaint, consultations between the members involved are held.

If no agreement is reached, the complaining party may request the establishment of a special panel, consisting of three to five experts. Countries have the right to appeal the panel's ruling.

The WTO's Appellate Body - made up of seven experts in trade and international law - has been unable to take up any new cases since December 2019 due to the US repeatedly blocking member nominations, leaving vacancies unfilled.

This practice began during President Barack Obama's time, continued during Donald Trump's first term, and has continued through President Joe Biden's term to this day.

The US has accused the WTO's Appellate Body of over-interpreting international trade rules and failing to meet deadlines set by the organization for completing cases.

The world's largest economy also stressed that the agency's decisions must not infringe on national security issues.

In 2022, WTO members decided to launch discussions aimed at restoring a fully functioning dispute settlement system by 2024. However, no agreement has been reached so far.

According to the WTO, up to 32 rulings of dispute panels have been appealed and cannot be enforced.

Source: https://baoquocte.vn/vi-sao-wto-khong-the-xu-ly-bat-ky-vu-viec-moi-nao-ke-tu-thang-122019-303235.html