A group of 17 World Trade Organization members announced plans for an interim appeals process to settle disputes between members, according to a Jan. 24 joint statement. The members, including the European Union and China but not the U.S., said they will put in place “contingency measures” to allow for appeals of WTO panel reports “in disputes among ourselves.” The system would only be in place until a reformed WTO appellate body “becomes fully operational,” the statement said.
Exports to China
New European Commission President Ursula von der Leyen told a German wire service that she and President Donald Trump want an agreement that resolves issues “in a few weeks.” But she didn't say how comprehensive such an agreement would be.
Not only are the purchase requirements in the new China trade deal unrealistic, other developments in China's economy and the trading relationship make them even further out of reach, according to an analysis by economist Chad Bown, a senior fellow at the Peterson Institute for International Economics. Bown notes that the rate of growth needed to meet the targets is higher than when China's economy was growing at 10 percent a year, and China's economy is growing more slowly now. Additionally, the tariffs on Chinese goods that remain in place after phase one are a further drag on the economy.
The U.S., China, Germany, the United Kingdom and others called on the United Nations Security Council to impose sanctions on people or companies violating the arms embargo or ceasefire in Libya, according to a Jan. 19 press release from Germany’s federal press office. The countries also called on UN member states to enforce the sanctions, “including through national implementation measures.” The statement was issued after the Berlin Conference on Libya, which gathered countries to “assist” the UN in “unifying the International Community in their support for a peaceful solution to the Libyan crisis,” the statement said.
China held its first round of trade negotiations with Cambodia in Beijing, Jan. 20-21, China’s commerce ministry said Jan. 21, according to an unofficial translation. The two countries discussed trade in goods, rules of origin, improving customs procedures, reducing “technical barriers” to trade and improving phytosanitary measures. The two sides recently completed a “joint feasibility study” for the free trade negotiation, China said.
President Donald Trump, speaking at a press conference in Davos, Switzerland, Jan. 22, said he'll be talking with World Trade Organization Director-General Roberto Azevedo in Washington on “a whole new structure” for the WTO. “Roberto and I ... are going to do something that I think will be very dramatic,“ he said. Trump said Azevedo and others in his delegation will come to Washington “sometime next week or the week after, and we'll start working on it.”
The government of Canada issued the following trade-related notices as of Jan. 22 (note that some may also be given separate headlines):
In the Jan. 17-21 editions of the Official Journal of the European Union the following trade-related notices were posted:
Export Compliance Daily is providing readers with some of the top stories for Jan. 13-17 in case you missed them.
The upcoming year will produce “record” results for U.S. agricultural exports as agreements with Japan and China take effect and as the U.S. Department of Agriculture aims to increase U.S. exports to countries “around the world,” Secretary Sonny Perdue said. Speaking during a Jan. 20 event hosted by the American Farm Bureau, Perdue said agriculture exports will significantly increase in 2020, particularly due to the phase one agreement with China (see 2001150073). “If you made 200 bushels this year, think about making 400 next year,” Perdue said. “We’re talking about doubling the number of [agricultural imports] that China has ever done throughout the whole agricultural sector.”