The World Trade Organization (WTO) suspended today at the request of the European Union (EU) the proceedings of your current dispute with Russiaa measure that is taken shortly after Brussels informed this body that it will withdraw the most favored nation clause for that country in its markets.
The EU formally began its dispute with Russia before the body in July 2021, arguing that that country applied price policies, authorization requirements and minimum quotas in order to benefit its national producers, in contravention of international trade laws by those watched by the WTO.
In December, the WTO had formed a commission of experts to decide on this claim from the EU (to which the United States, Ukraine, China, United Kingdom, India and other members of the organization had joined as interested third parties), but the request made today suspends the work of this panel for at least twelve months.
This unusual movement within the WTO, and which some observers interpret as one more step to isolate Russia in this and other international organizations, occurs shortly after Brussels reported that it had suspended the most favored nation clause for Russia in the EU markets, following decisions in this regard taken earlier by Ukraine, the United States and Canada.
The “most favored nation” clause implies that every member of the WTO must guarantee equal treatment to the others, a condition that the EU has decided that it cannot continue to grant to Russia after its attack on Ukraine.
In practice, this decision will translate into restrictions on the import and export of goods and services and investments, with which it seeks to prevent Russia from continuing to take advantage of the benefits of being part of the global trade order while violating international law with its aggression against Ukraine.
The EU also announced that it will ask the WTO to suspend consideration of Belarus’s application to join this organization.
The gradual isolation of Russia within the WTO could compromise preparations for the Ministerial Conference scheduled for June.
Source: Gestion
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