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WTO Dispute Settlement

WTO Dispute Settlement. By Natasha Musser Wayne Cobb. Presentation Overview. What is the WTO Dispute Settlement mechanism? The Dispute Settlement Understanding The Dispute Settlement Body How a dispute is handled in the WTO? Consultation The panel Appeals Compliance

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WTO Dispute Settlement

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  1. WTO Dispute Settlement By Natasha Musser Wayne Cobb

  2. Presentation Overview • What is the WTO Dispute Settlement mechanism? • The Dispute Settlement Understanding • The Dispute Settlement Body • How a dispute is handled in the WTO? • Consultation • The panel • Appeals • Compliance • Issues related to world trade • Seattle round • Doha round

  3. WTO Dispute Settlement • Dispute Settlement • Created in 1995 • Binding decisions • Dispute Settlement Understanding (DSU): • WTO agreement • Sets up procedures for solving disputes • Dispute Settlement Body (DSB): • Responsible for the management of the DSU • Includes representatives of all WTO members

  4. Handling a Dispute • Stage 1: Consultation (up to 60 days) • Written notification by a WTO member government to the DSB • The countries in dispute have to try to resolve the dispute bilaterall “Who can request dispute settlement?” • Stage 2: The panel (up to 45 days for a panel to be appointed, 6 months to conclude) • The WTO panelists • Nominated by WTO member governments • 5 panelists • Independent of disputing countries

  5. Handling a Dispute in the WTO • The Panel at work • Presentation of facts and arguments • Meeting with the parties and third countries • Rebuttals • Experts • First draft(descriptive sections of the report) • Interim report (conclusions) • Final report • Report becomes a ruling (adopted by the DSB)

  6. Handling a dispute in the WTO • Appeals • Have to based on points of law • Filed with an Appellate Body • Appellate Body: • Composed of 7 persons • Appointed by the DSB for a four-year term • Compliance • “prompt compliance with the recommendations/rulings of the DSB is essential in order to ensure effective resolution of disputes to the benefit of all members”.

  7. Trade Rounds • Four Trade Rounds for WTO • Singapore (1996) • Geneva (1998) • Seattle (2000) • Doha (2002)

  8. Seattle Round • Issues for discussion • Human Rights • Environment • Workers Rights • What happened • Protesters • Supporters

  9. Doha Round • Public Health / Environment • TRIPs agreement • Sanitation, Food and Water • Creation of an International Standards bodies • Agricultural Issues • Export Subsidies • Market Access Issues • Industrial Products

  10. Doha Round vs. Seattle Round • WTO Transparency • Accountability & Responsibility • Less Developed Countries • Voice and Agenda • Protectionist Ideas • Capacity Building Strategies • Health Care

  11. Current Issue • United States & Steel Tariff • What’s priced at the tariff rates • Who’s affected • Consumers or Countries • Effect on Trade Relations

  12. Discussion Topics • Should WTO member countries be allowed to discriminate against certain products because of the way they are produced using child labor, environmentally destructive technologies, and unsafe production practices? • In today’s unequal world, should nations be allowed to use protectionist policies to preserve domestic markets? • Ex. United States tariffs on Steel

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