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TWN
Info Service on WTO and Trade Issues (Sep25/15) WTO:
DSB chair convenes informal meeting on DSS reform Geneva, 22 Sep (D. Ravi Kanth) -- The chair of the discussions on reforming the dispute settlement system (DSS) at the World Trade Organization has scheduled an informal meeting for 25 September to intensify efforts to restore a two-tier system with a binding enforcement function, said people familiar with the development. Without a binding enforcement function, the WTO remains crippled in providing legal justice to countries whose rights and obligations remain impaired by the unilateral violations of its rules. The practice of voiding rulings due to the continued dysfunctional Appellate Body, which has been paralyzed by the United States since December 2019, will continue unabated. The DSS reform negotiations have seemingly been stalled for the past two years, allowing the onward march of efforts to change the regime set by the Marrakesh Agreement that established the WTO in 1995, said people familiar with the development. Paragraph 4 of the WTO's 12th Ministerial Conference (MC12) Declaration (WT/MIN(22)/24) adopted in June 2022 unambiguously states: "We acknowledge the challenges and concerns with respect to the dispute settlement system including those related to the Appellate Body, recognize the importance and urgency of addressing those challenges and concerns, and commit to conduct discussions with the view to having a fully and well-functioning dispute settlement system accessible to all Members by 2024." By contrast, paragraph 3 states: "We acknowledge the need to take advantage of available opportunities, address the challenges that the WTO is facing, and ensure the WTO's proper functioning. We commit to work towards necessary reform of the WTO. While reaffirming the foundational principles of the WTO, we envision reforms to improve all its functions. The work shall be Member-driven, open, transparent, inclusive, and must address the interests of all Members, including development issues. The General Council and its subsidiary bodies will conduct the work, review progress, and consider decisions, as appropriate, to be submitted to the next Ministerial Conference." Yet, a group of countries, led by the former chair of the WTO's General Council, Ambassador Petter Olberg of Norway, reportedly brought about a systemic shift in the WTO reform discussions by foisting debates on members on foundational issues, decision-making, development, and "level playing field" issues - contrary to the above MC12 mandate, said people who asked not to be quoted. DSS MEETING Against this backdrop, the chair of the DSS reform discussions, Ambassador Guilherme de Aguiar Patriota of Brazil, informed members of his intention to convene a day-long meeting on 25 September comprising two sessions: "an information session followed by exchanges among delegations." In an email (ICN/DSR/3) sent to members on 8 September and seen by the SUNS, the chair said that to enable members to prepare for the meeting, he had attached "a summary of the Informal Open-Ended Plenary Meeting on DS Reform on 24 July 2026 and the programme of such information session." Recapitulating the summary of the last meeting, held in July, the chair said "the discussion focused on Members' views regarding the possible organization of information sessions after the summer break." Ambassador Patriota said "many were of the view that these sessions could help preserve institutional memory, ensuring a common understanding of the work undertaken during the 2022-24 DS reform processes." "At the same time," the chair said, "Members who indicated they did not see a particular need for informative sessions at this stage said they would not oppose such sessions if other Members found it useful, provided there is a clear understanding that such sessions would remain strictly for information purposes." He noted that "calls were made to adopt a hybrid format for these sessions to allow capital-based officials to participate to ensure transparency, inclusiveness and effective participation of all Members." He said that "overall, there appeared to be broad acceptance that the information sessions would help members better understand the previous work." The programme on the "history of the WTO Dispute Settlement System" will include an address by Mr. Jorge Castro, Director of the WTO Secretariat's Legal Affairs Division. During the session, he will "offer an overview of the development and use of the WTO dispute settlement system since its establishment, drawing on historical and statistical information." The session will also examine "trends in dispute activity over time, including participation by developed and developing country Members, and the use of different means of dispute resolution, available under the WTO framework." During the second part of the discussion on the "overview of DS reform processes following MC12 and MC13," three former legal advisers - Ms. Claudia Diaz of Mexico, Mr. Stacy-Paul Healy of Canada, and Mr. David Stranger-Jones of the UK mission - who had served as co-convenors during the 2024 DS reform process, will "provide an overview of the work undertaken following the MC12 outcome document and MC13 Decision on DS reform." The chair suggested that "the presentation will be followed by an exchange among Members, who will have the opportunity to pose questions and to have an interactive dialogue with the co-convenors." +
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