While the World Trade Organization's upcoming 12th Ministerial Conference presents an opportunity to start meaningful discussion over revising the globe's leading multilateral trading body, the event will lack an immediate solution to pressing issues such as appellate body reform or an end to the all-purpose member veto, a former WTO deputy director-general said. Speaking at a Nov. 18 event on MC12 hosted by the Washington International Trade Association, Alan Wolff, now a visiting fellow at the Peterson Institute for International Economics, also explored the leadership dynamics that will be in play at the Nov. 30-Dec. 3 conference.
The Modern Slavery and Human Rights Policy and Evidence Centre says its analysis found there's more risk that businesses used forced labor during the pandemic, both in sectors that experienced demand spikes, such as protective gear like masks, and in the garment sector, where orders were canceled. "The pandemic made it more difficult for businesses to prevent forced labour in their supply chains, but some of the early response [was] likely to have exacerbated vulnerability, for example by cancelling orders," the center said in a report released Nov. 17.
Alan Wolff, a former deputy director-general at the World Trade Organization, called on China to join the WTO Pharmaceutical Agreement, play a constructive role in the fisheries negotiations, and lead in restarting the Environmental Goods Agreement.
Although France and the U.S. have said they have agreed on how to remove digital services taxes, it is not clear whether that agreement means the retaliatory tariffs promised over the taxes will remain on hold. Taxes on British, Turkish, Indian, French, Spanish and Austrian goods were put on hold for 180 days in June (see 2106020047), to give breathing room for the negotiations that French Finance Minister Bruno Le Maire said have now been concluded. The Wall Street Journal reported his Oct. 14 remarks, and also comments from Italian Finance Minister Daniele Franco, who was speaking after trade ministers from the G-20 met in Italy. Franco said the DSTs won't be removed for at least two more years. “By the end of 2023 or the beginning of 2024 the [rules] will be operational, and the agreement is that, at that point, the national taxes will be removed,” he said. “Since the beginning, it has been established that the taxes would be removed when a world-wide solution would be implemented." The Office of the U.S. Trade Representative didn't respond to questions by press time.
China-U.S. economic and trade relations “are essentially mutually beneficial,” a Chinese Foreign Affairs Ministry spokesperson said when asked Oct. 8 about remarks by U.S. Trade Representative Katherine Tai that the Biden administration wants to reengage Beijing in new rounds of trade talks and hold China accountable for its commitments under the January 2020 phase one trade agreement (see 2110040049). “There is no winner in a trade war,” the spokesperson said.
A summary of negotiations at the World Trade Organization on how to curb overfishing said that some countries are supporting the U.S. proposal to require countries to submit information on any vessels that are using forced labor. However, other countries "reiterated that the WTO is not the appropriate forum for labor issues," according to the summary, which was provided by a Geneva trade official.
Two Chinese scholars specializing in international trade said they found U.S. Trade Representative Katherine Tai's Oct. 4 speech (see 2110040008) encouraging, even though she criticized Chinese adherence to market principles and the effect that has on companies around the world.
CBP and India's Central Board of Indirect Taxes and Customs will recognize each other's trusted trader programs under a new mutual recognition arrangement that was recently signed, Acting CBP Commissioner Troy Miller said in a tweet Sept. 27. As a result of the MRA, goods exported by Indian Authorized Economic Operators will “enjoy enhanced trade facilitation at all the ports of entry in the USA,” the CBIC said.
Members of the World Trade Organization Information Technology Agreement should expand the ITA’s list of covered products to include more than 250 additional information and communications technology goods, the Information Technology & Innovation Foundation said in a September report. The foundation said this new and third expansion of the ITA -- called the “ITA-3” -- would eliminate tariffs on a range of evolving ICT goods and “generate tangible economic growth” for major trading nations, including the U.S., China, Japan, Indonesia, South Korea and others.
Mexico's President Andrés Manuel López Obrador was asked at his Sept. 2 press conference if it would be better to reach an agreement among Canada, the U.S. and Mexico on the question of the interpretation of auto rules of origin. López Obrador said.that it would be better to reach agreement without having to convene a dispute settlement panel, and added, "I don't think it will go that far; an agreement is to be reached soon." The countries could also try mediation or conciliation instead of a panel if consultations are unsuccessful.