India-US successfully resolve all seven pending WTO disputes bilaterally | Current Affairs | Vision IAS
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  • The disputes include:
    • US's imposition of tariffs on steel and aluminium imports; India’s renewable energy subsidies for solar cells and modules etc.
  • Both submitted notification to WTO’s Dispute Settlement Body (DSB) of mutually agreed solution in dispute titled DS430 Concerning Importation of Certain Agricultural Products. 

 

  • WTO Dispute Settlement Method: There are two main ways to settle a dispute once a complaint has been filed in the WTO.
    • Mutually Agreed Solution
      • At any stage during dispute settlement process, parties can settle dispute by a “mutually agreed solution”. 
      • The solutions must be consistent with relevant WTO agreement.
      • Parties are required to notify DSB and relevant committees of mutually agreed solution.
    • Dispute Settlement Process
      • Consultation (60 days): Members try to reach a mutually agreeable solution through direct talks.
      • Adjudication (if consultations fail): A panel of experts is established by DSB to examine the case and deliver a report. 
      • It can be appealed to Appellate Body. 
      • Implementation: DSB adopts Appellate Body report, making it binding on parties.

 

Appellate Body (AB)

  • AB was established in 1995. It has 7 members and its seat is in Geneva, Switzerland.
  • Decision to appoint persons to AB is taken by consensus among all WTO Members.
  • It has been dysfunctional since 2019, because US has blocked appointment of appellate body members.
  • The term of the last sitting Appellate Body member expired on 30 November 2020.
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