WTO Appellate Body to End as US Sticks to Blocking Appointments
Even as Republicans and Democrats on the House Ways and Means Committee asked the Trump administration to keep the World Trade Organization appellate body functioning while it pushes for reforms, the American ambassador to the WTO said Dec. 9 that the administration will not support any appellate body nominations, even as other countries agreed that the appellate body would change how it operated. More than 25 think tanks and trade groups, including the National Retail Federation and Americans for Prosperity, had also sent a letter Dec. 6 asking that the U.S. agree to the Walker Principles, named after New Zealand's ambassador to the WTO.
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Their letter said:, “The Walker Principles address six issues highlighted by the United States: ensuring that appeals are completed within 90 days; Appellate Body members do not continue to serve beyond their terms; precedent from past cases is not binding on future cases; facts and municipal law are not subject to appeal; the Appellate Body does not issue advisory opinions; and Appellate Body decisions do not add obligations or take away rights provided in the WTO rules.”
U.S. Ambassador to the WTO Dennis Shea, according to reporters in Geneva, said that even though other countries were saying they wanted to reform the appellate body, since they did not talk about why the body had strayed, it's not enough.
Rep. Ron Kind, D-Wis., led the bipartisan group of Congress members on the WTO resolution, and he said that without the WTO, “we would be in a race to the bottom.” Rep. Kenny Marchant, R-Texas, said, “Innovators across North Texas rely on the WTO to institute and enforce trade rules. America having a seat at the table is vital to ensuring that our interests are protected and that the international marketplace is free and fair.”
Rep. Suzan DelBene, D-Wash., another pro-trade New Democrat on Ways and Means, said: “While there is no doubt that the WTO requires significant reforms to deal with countries like China, I believe that a functioning WTO still offers the United States the best chance to ensure that trade liberalization is achieved in a manner that is consistent with our values. If we abandon the WTO, it will be harder for us to engage globally and drive the agenda on key issues shaping our future like e-commerce and privacy.”
After Dec. 10, the appellate body will no longer have a quorum. However, the current body members intend to complete four cases they already had arguments for, including a U.S. case on supercalendered paper from Canada (see 1808270030).