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Institutional Developments in the WTO: Recent Trends and the Challenge Going Forward

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European Yearbook of International Economic Law 2015

Part of the book series: European Yearbook of International Economic Law ((EUROYEAR,volume 6))

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Abstract

The last 2 years have witnessed the WTO re-stamp its relevance on the face of global trade regulation. Faced with still transmitting effects of the global economic crisis, the organisation found itself re-oriented into roles for which it was not that well known traditionally, i.e. monitoring protectionism. Continued threats from regional trade agreements in both goods and services and increased inward looking policies made it all the more urgent for the WTO to succeed in its negotiation arm. As such, effort, unprecedented in recent years, went into ensuring success at the ninth Ministerial Conference that saw a ground-breaking success in what can be termed as the first real score on a core negotiating area of the DDA: the Trade Facilitation Agreement. The period also saw the WTO open its doors to seven more countries; Russia’s accession clearly standing out, but also important steps in bringing more least developed countries into the fold of the MTS (Lao PDR, Samoa, Yemen, and Vanuatu). Dispute settlement thrived with consideration of previously unchartered territory such as electronic payments in services and trading in natural resources. The Trade Policy Review Mechanism continued to provide a robust opportunity for peer review style assessment of regimes put in place to support implementation of WTO Agreements, and the Institute for Training and Technical Cooperation strengthened its delivery of technical assistance. In all, it was two interesting years with important successes. Yet, the real challenge remains-for success in Bali is known by all to have been but a start…

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Notes

  1. 1.

    The WTO came into force on 1 January 1995. The so-called results of the Uruguay Round. See Understanding the WTO, The Agreements, Overview, a navigational guide, available at: http://www.wto.org/english/thewto_e/whatis_e/tif_e/agrm1_e.htm.

  2. 2.

    Contained in Annex 1A, Marrakesh Agreement establishing the WTO, 1867 U.N.T.S. 154 (WTO Agreement).

  3. 3.

    Annex 1B, WTO Agreement.

  4. 4.

    Annex 1C, WTO Agreement.

  5. 5.

    Annex 2, WTO Agreement.

  6. 6.

    Annex 3, WTO Agreement.

  7. 7.

    Plurilateral Trade Agreements, Annex 4, WTO Agreement.

  8. 8.

    Other examples include anti-dumping practices, rules of origin, etc. Available at: http://www.wto.org/english/thewto_e/whatis_e/tif_e/org2_e.htm.

  9. 9.

    Annex 1B of the Agreement Establishing the World Trade Organization, 1869 U.N.T.S. 183.

  10. 10.

    Annex 1C of the Agreement Establishing the World Trade Organization, 1869 U.N.T.S. 299.

  11. 11.

    For more on the organisational set up of committees and interactions with special sessions, see http://www.wto.org/english/thewto_e/whatis_e/tif_e/org2_e.htm.

  12. 12.

    Time of writing is March 2014.

  13. 13.

    See Doha Development Agenda, Doha Work Programme, The July 2008 package, available at: http://www.wto.org/english/tratop_e/dda_e/meet08_e.htm.

  14. 14.

    For more on the impact of the global economic crisis on international trade and Europe in particular, see Curran (2009), p. 264.

  15. 15.

    See WTO news, World Trade 2008, Prospects for 2009, WTO sees 9 % global trade decline in 2009 as recession strikes, available at: http://www.wto.org/english/news_e/pres09_e/pr554_e.htm.

  16. 16.

    While the WTO through its TPR function has always carried out a somewhat similar role, the importance of a focus on protectionist measures in reports produced had been unprecedented.

  17. 17.

    For all reports on trade monitoring, see http://www.wto.org/english/news_e/archive_e/trdev_arc_e.htm.

  18. 18.

    See WTO news, Lamy: WTO is working to mitigate impact of economic crisis on trade, 22 January 2009, available at: http://www.wto.org/english/news_e/sppl_e/sppl113_e.htm.

  19. 19.

    Following on the April 2009 request to the WTO and the OECD to jointly provide these monitoring reports to the G-20.

  20. 20.

    The group consists of 19 countries and the European Union. Its Members are Argentina, Australia, Brazil, Canada, China, European Union, France, Germany, India, Indonesia, Italy, Japan, Mexico, Russia, Saudi Arabia, South Africa, South Korea, Turkey, United Kingdom, United States.

  21. 21.

    See WTO news, Reports on recent trade developments—G-20 trade restrictions increase as trade flows slow down, says WTO report, 18 December 2013, available at: http://wto.org/english/news_e/news13_e/trdev_18dec13_e.htm.

  22. 22.

    See WTO, Report on G20 Trade and Investment Measures (Mid May 2013 to mid-November 2013), available at: http://wto.org/english/news_e/news13_e/g20_wto_report_dec13_e.pdf.

  23. 23.

    WTO, Report on G20 Trade and Investment Measures (Mid May 2013 to mid-November 2013), available at: http://wto.org/english/news_e/news13_e/g20_wto_report_dec13_e.pdf.

  24. 24.

    Up to 109 measures as at the last WTO report, WTO, Report on G20 Trade and Investment Measures (Mid May 2013 to mid-November 2013), available at: http://wto.org/english/news_e/news13_e/g20_wto_report_dec13_e.pdf.

  25. 25.

    WTO, Report on G20 Trade and Investment Measures (Mid May 2013 to mid-November 2013), available at: http://wto.org/english/news_e/news13_e/g20_wto_report_dec13_e.pdf.

  26. 26.

    See Summary and Status of G-20 trade and trade-related measures since October 2008, available at: http://www.wto.org/english/news_e/news12_e/igo_31oct12_e.htm.

  27. 27.

    See OECD/WTO/UNCTAD, Reports on G20 Trade and Investment Measures (Mid May 2013 to mid-November 2013), available at: http://wto.org/english/news_e/news13_e/g20_joint_summary_dec13_e.pdf.

  28. 28.

    See WTO news, Reports on recent trade developments, Lamy hails transparency as the best insurance policy against protectionism, 19 July 2013, available at: http://www.wto.org/english/news_e/news13_e/trdev_19jul13_e.htm.

  29. 29.

    Any State or separate customs territory possessing full autonomy in the conduct of its external commercial relations and other matters covered in the WTO Agreement and in other multilateral Trade Agreements may apply to join the WTO, see Article XII:1 WTO Agreement.

  30. 30.

    See WTO Accessions, 2012 Annual Report by the Director-General, WT/ACC/19 (3 December 2012).

  31. 31.

    See Blank, The case for recently graduated LDCs? Or smooth transition measures for graduating LDCs in the WTO, A paper presented to the UN Office of the High Representative for the Least Developed Countries, Landlocked Developing Countries and Small Island Developing States (2012).

  32. 32.

    See WTO, Accession of least-developed countries, Decision of 25 July 2012, WT/L/508/Add.1.

  33. 33.

    See WTO Accessions, 2013 Annual Report by the Director-General, WT/ACC/21, WT/GC/155, WT/MIN(13)/6 (1 November 2013).

  34. 34.

    See Paragraph 1.7 of the Bali Ministerial Declaration, WT/MIN(13)/DEC of 11 December 2013, see also Accession of the Republic of Yemen, Decision of 4 December 2013, WT/MIN(13)/24, WT/L/905.

  35. 35.

    WTO Accessions, 2013 Annual Report by the Director-General, WT/ACC/21, WT/GC/155, WT/MIN(13)/6 (1 November 2013). The following countries are involved in working parties: Afghanistan, Algeria, Andorra, Azerbaijan, The Bahamas, Belarus, Bhutan, Bosnia and Herzegovina, Comoros, Union of the Equatorial Guinea, Ethiopia, Iran, Iraq, Kazakhstan, Lebanese Republic, Liberia, Libya, Sao Tomé and Principe, Serbia, Seychelles, Sudan, Syrian Arab Republic, Uzbekistan.

  36. 36.

    WTO Accessions, 2013 Annual Report by the Director-General, WT/ACC/21, WT/GC/155, WT/MIN(13)/6 (1 November 2013).

  37. 37.

    Recall Annex 2, WTO Agreement.

  38. 38.

    See Article 4, Understanding on Rules and Procedures Governing the Settlement of Disputes (DSU), Annex 2 of the Agreement Establishing the World Trade Organization, 1869 U.N.T.S. 401.

  39. 39.

    See Article 6 DSU.

  40. 40.

    See Article 17 DSU.

  41. 41.

    See WTO Dispute Settlement Body developments in 2012, Ambassador Shahid Bashir, available at: http://www.wto.org/english/tratop_e/dispu_e/bashir_13_e.htm.

  42. 42.

    With developing countries launching at least nine thereof.

  43. 43.

    It is worth clarifying that in some cases, several similar disputes are consolidated into one Panel proceeding; thus, the number of disputes that have gone to a Panel exceed the number of Panels established. For example, the US – Steel Safeguards case saw one Panel dealing with eight complaints, United States – Definitive Safeguard Measures on Imports of certain Steel Products, WT/DS252.

  44. 44.

    See WTO disputes, European Communities – Measures Prohibiting the Importation and Marketing of Seal Products, WT/DS400, WT/DS401; and United States – Measures Concerning the Importation, Marketing and Sale of Tuna and Tuna Products, WT/DS381.

  45. 45.

    See WTO dispute, Australia – Certain Measures Concerning Trade Marks and other Plain Packaging Requirements Applicable to Tobacco Products and Plain Packaging, WT/DS434; see also WTO, Dispute Settlement Body, Minutes of Meeting, Held in the Centre William Rappard on 28 September 2012, WT/DSB/M/322, paras. 65–79.

  46. 46.

    See WTO dispute, Canada – Certain Measures Affecting the Renewable Energy Generation Sector, WT/DS412; Canada – Measures Relating to the Feed-in Tariff Program, WT/DS426 in which the Appellate Body reviewed Panel reports on the same issue; WTO dispute, China – Measure Concerning Wind Power Equipment, WT/DS419; and WTO dispute, European Union and Certain Member States – Certain Measures Affecting the Renewable Energy Generation Sector, WT/DS452.

  47. 47.

    WTO dispute, United States – Measures Affecting the Production and Sale of Clove Cigarettes, WT/DS406; WTO dispute, United States – Measures Concerning the Importation, Marketing and Sale of Tuna and Tuna Products, WT/DS381; and WTO dispute, United States – Certain Country of Origin Labelling (COOL) Requirements, WT/DS384, WT/DS386.

  48. 48.

    WTO dispute, China – Measures Related to the Exportation of Various Raw Materials, WT/DS394, WT/DS395, WT/DS398; and WTO dispute, China – Measures Related to the Exportation of Rare Earths, Tungsten and Molybdenum, WT/DS431, WT/DS432, WT/DS433; for information on the subject matter of consultations by thematic area see, WTO Dispute Settlement Body developments in 2012, Ambassador Shahid Bashir, Chair, Dispute Settlement Body, 2012–2013, available at: http://www.wto.org/english/tratop_e/dispu_e/bashir_13_e.htm.

  49. 49.

    See Article 21.6 of the DSU.

  50. 50.

    WTO dispute, United States – Certain Country of Origin Labelling (COOL) Requirements, WT/DS384, WT/DS386; the last such arbitration was carried out in 2009 in the WTO dispute Colombia – Indicative Prices and Restrictions on Port of Entry (Arbitration under Art. 21.3(c) DSU), WT/DS366/13.

  51. 51.

    See Farewell speech of Appellate Body Member David Unterhalter, available at: http://www.wto.org/english/tratop_e/dispu_e/unterhalterspeech_e.htm.

  52. 52.

    See Doha Ministerial Declaration, WT/MIN(01)/Dec/1 (20 November 2001), para. 38.

  53. 53.

    See WTO, Institute for Training and Technical Cooperation, Annual Report on Technical Assistance and Training, 2012, WT/COMTD/W/197 (2 July 2013).

  54. 54.

    See Hong Kong Ministerial Declaration, WT/MIN(05)/DEC (22 December 2005), Decision 36 on Measures in Favour of Least developed countries, Annex F: Special and Differential Treatment.

  55. 55.

    See WTO, Preferential treatment to services and service suppliers of least-developed countries, Decision of 17 December 2011, WT/L/847; and WTO, Ministerial Conference, Operationalization of the Waiver Concerning Preferential Treatment to Services and Service Suppliers of Least-Developed Countries, Ministerial Decision of 7 December 2013, WT/MIN(13)/43, WT/L/918.

  56. 56.

    For more, see Responding to least developed countries’ special needs in intellectual property, available at: http://www.wto.org/english/tratop_e/trips_e/ldc_e.htm.

  57. 57.

    See above discussion on opening doors to new members.

  58. 58.

    For more, see http://enhancedif.org/en/about/.

  59. 59.

    See Article III(4) WTO Agreement.

  60. 60.

    In 2012, the following countries held their trade policy reviews US, Nicaragua, Burundi, Kenya, Rwanda, Tanzania and Uganda (the EAC), Iceland, Israel, Bangladesh, Norway, Korea, Singapore, Cote D’Ivoire Guinea Bissau and Togo, Colombia, China, Uruguay, United Arab Emirates, Philippines, Nepal Trinidad and Tobago, Turkey, Kuwait, Saudi Arabia. The following had their TPRs in 2013 Marcedonia, Krygyz republic, Peru, Costa Rica, Viet Nam, Cameroon, Congo, Gabon Cantral African Republic and Chad, EU, Brazil, Suriname, Macao China, Switzerland and Liechsteinstein, Mexico, Indonesia, Argentina and Japan.

  61. 61.

    See WTO, Ministerial Conference, Ministerial Decision of 7 December 2013, WT/MIN(13)/31, WT/L/906.

  62. 62.

    See WTO, Ministerial Conference, Ministerial Decision of 7 December 2013, WT/MIN(13)/32, WT/L/907.

  63. 63.

    See WTO, Ministerial Conference, Ministerial Decision of 7 December 2013, WT/MIN(13)/33, WT/L/908.

  64. 64.

    See WTO, Ministerial Conference, Ministerial Decision of 7 December 2013, WT/MIN(13)/34, WT/L/909.

  65. 65.

    See WTO, Ministerial Conference, Ministerial Decision of 7 December 2013, WT/MIN(13)/35, WT/L/910.

  66. 66.

    See WTO, Ministerial Conference, Ministerial Decision of 7 December 2013, WT/MIN(13)/36 or WT/L/911.

  67. 67.

    See WTO, Ministerial Conference, Ministerial Decision of 7 December 2013, WT/MIN(13)/37 or WT/L/912.

  68. 68.

    See WTO, Ministerial Conference, Ministerial Decision of 7 December 2013, WT/MIN(13)/38 or WT/L/913.

  69. 69.

    See WTO, Ministerial Conference, Ministerial Decision of 7 December 2013, WT/MIN(13)/39 or WT/L/914.

  70. 70.

    See WTO, Ministerial Conference, Ministerial Declaration of 7 December 2013, WT/MIN(13)/40 or WT/L/915.

  71. 71.

    See WTO, Ministerial Conference, Ministerial Decision of 7 December 2013, WT/MIN(13)/41 or WT/L/916.

  72. 72.

    See WTO, Ministerial Conference, Ministerial Decision of 7 December 2013, WT/MIN(13)/45 or WT/L/920.

  73. 73.

    See WTO, Ministerial Conference, Ministerial Decision of 7 December 2013, WT/MIN(13)/43 or WT/L/918.

  74. 74.

    See WTO, Ministerial Conference, Ministerial Decision of 7 December 2013, WT/MIN(13)/44 or WT/L/919.

  75. 75.

    See WTO, Ministerial Conference, Ministerial Decision of 7 December 2013, WT/MIN(13)/42 or WT/L/917.

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Acknowledgement

This paper does not reflect or represent the views of the WTO Membership or those of the WTO Secretariat. The views are those of the author. Special thanks to Annet Blank, Gabrielle Marceau, Joan Apecu and Siobhan Ackroyd for their comments on the draft.

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  1. World Trade Organization, Geneva, Switzerland

    Joy Kategekwa

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Correspondence to Joy Kategekwa .

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  1. Faculty of Law, University of Passau, Passau, Germany

    Christoph Herrmann

  2. Faculty of Law, University of Erlangen-Nürnberg, Erlangen, Germany

    Markus Krajewski

  3. Competition and Regulation Institute, Leuphana University of Lüneburg, Lüneburg, Germany

    Jörg Philipp Terhechte

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Kategekwa, J. (2015). Institutional Developments in the WTO: Recent Trends and the Challenge Going Forward. In: Herrmann, C., Krajewski, M., Terhechte, J. (eds) European Yearbook of International Economic Law 2015. European Yearbook of International Economic Law, vol 6. Springer, Berlin, Heidelberg. https://doi.org/10.1007/978-3-662-46748-0_15

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