The appellate body of the World Trade Organisation will cease to exist from midnight December 10.
- the Appellate Body hears appeals from WTO adjudications
- the terms of two of its remaining three members expire Dec 10., leaving just one member
- its meant to have seven members
- it will be unable to hear new appeals, as the minimum requirement for any decision is three
- if it can't function, and if there is an appeal, those adjudications have no force
- Members of the World Trade Organization will still be able to launch complaints and receive initial rulings about trade disputes from December 11, but if any party appeals there will be no means of hearing it and the case might end up with no resolution
Why is it ceasing?
- Appointments to the Appellate Body can be blocked by any one of the WTO's 164 members
- The United States has blocked every proposed appointment and reappointment since June 2017
Why so important for smaller exporting countries?
- the WTO dispute settlement system works when political solutions have not been successful
- It's the international equivalent of needing to take your business partner to court when you have tried everything to negotiate a solution
More about this is here at the link, where the above summary is from.
