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Briefing

China among new additions to Ottawa-led trade dispute settlement mechanism

Others among the new participants, announced following a meeting on the sidelines of the World Economic Forum, include Brazil, Australia and Mexico. Canada and the EU initially agreed to launch the resolution system in July 2019. (Financial Post)

Briefing

China among new additions to Ottawa-led trade dispute settlement mechanism

By Murad Hemmadi
Jan 24, 2020
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Others among the new participants, announced following a meeting on the sidelines of the World Economic Forum, include Brazil, Australia and Mexico. Canada and the EU initially agreed to launch the resolution system in July 2019. (Financial Post)

Talking point: Ottawa’s mechanism is a stopgap while the World Trade Organization’s (WTO) appeals body is out of commission due to the U.S.’s refusal to allow new judges. Canada, the EU and others have been formally working on reforms to the institution since an Ottawa meeting in October 2018. Then-international trade minister Jim Carr said China’s cooperation would be key. Its addition to the interim mechanism could help Canada advance major disputes over agricultural products. In September 2019, Ottawa took the first step in a WTO challenge of Beijing’s canola ban. But U.S. President Donald Trump may yet break the impasse he created, albeit on his terms. Earlier this week, he said WTO director general Roberto Azevêdo would soon visit Washington, D.C. for negotiations on changes.

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