WTO loses power to decide trade disputes

Posted by Marina
The World Trade Organization (WTO) has lost the power to decide disputes between its members. This is the first time this has occurred since its inception in 1995, and it means major trade disputes, such as the conflict between the United States and China, can no longer be resolved by its arbitration.

The WTO has 164 countries and territories. When members cannot reach an agreement on their own, they can activate an organization panel. If as part of the issue you do not agree with the decision of the panel, an appeal may be made. It is then for the WTO appellate body to make a final decision, which has the force of law. However, it is no longer functioning as a court of law.

Typically, the appellate body has seven judges. That number, however, fell only on Tuesday, the day that two of his last three trials came to an end.

The World Trade Organization could not find new magistrates as the US rejected all published candidates. Washington has accused the appellate body of failing to comply with rules on the decision-making schedule. The American side also says that will not allow new indication that allows a cut continue to act.

World Trade Organization Director-General Roberto Azevedo said he plans to consult with several member countries of the organization to find a way out of the current impasse.




Source: Agrolink