Stacked Deck: US Bullies WTO, TPP Revisited


by Mish


The Financial Times reports US Accused of Undermining WTO.

The US has been accused of being a bully and undermining the World Trade Organisation’s dispute system after vetoing the reappointment of a South Korean judge. The EU and legal scholars have warned that the veto threatens the impartiality of the global trade court.
Washington cited the body’s decisions in three cases involving the US and one other as examples of what it said was a pattern of WTO panels overreaching and issuing “abstract” decisions.
The US intervention comes ahead of what is likely to be an important period for the appellate body. Among the issues it is expected to decide are whether China is entitled to “market economy” status within the WTO, an important designation that would help Beijing fight back against anti-dumping cases, such as those being mounted against Chinese steel imports on both sides of the Atlantic.
Beijing claims it should be awarded the status automatically in December, the 15th anniversary of the country joining the WTO. The US and some opponents in Europe insist that the text of China’s accession agreement is more ambiguous and that eventually the issue will have to be decided by the appellate body.
Greg Shaffer, an expert in WTO law at the University of California Irvine, said the US’s opposition to the reappointment of Mr Chang risked injecting politics into what ought to be a purely legal process.
It also, he said, was “making the US look like a bully, and not an upholder of rule of law principles”.
“The US response and example will have ripple effects around the world,” Prof Shaffer said. “Undermining the independence of the WTO appellate body will affect the entire rules-based system to resolve trade disputes.”

Stacked Deck




It could actually be helpful if the WTO collapsed. What’s really needed is free trade, not “fair trade” where “fair” is 100% in the eyes of the beholder.

Candidates Compared on Trade

If Donald Trump wins, he will be accused of wrecking trade, but as I pointed out on May 26, Suspicion Sets In; Obama Sounds Like Trump; We’re All Bernie Sanders Now!.




While Secretary of State, Hillary Clinton spoke out in favor of the Trans-Pacific-Partnership 45 times, calling it the “gold standard in trade agreements to open free, transparent, fair trade.”



I am against TPP not because it will kill American jobs, but rather because it’s a massive and secret bill, which few have seen, and scant details released. We do know it continues to protect the US sugar lobby.


What about Sugar and Steel?

The US chamber of commerce reported “[US Tariffs] raised the cost of sugar in the US and 30,000 jobs out of Chicago have gone because sugar manufacturers have left the United States to go to Canada so that they can import sugar,” said, Catherine Mellor, calling on American leaders to show courage in tackling sugar subsidies and tariffs in the Trans-Pacific Partnership negotiations.



Canadian Slush

In Canada, the agricultural minister announced his dairy and poultry farmers will be compensated for “any losses” caused by TPP. Guess who will pay for that?


What’s It All About?

  1. The Washington Post described TPP as a “giant free trade deal”.

Which is closer?


No thanks.

Mike “Mish” Shedlock