Aid for Trade

WTO-Director-General Roberto Azevêdo on the theme of the Aid for Trade Global Review 2017 – “Promoting Trade, Inclusiveness and Connectivity for Sustainable Development”
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Trade talks and trade wars: How high are the gains and the costs?

Published on Jun 14, 2017

The WTO Trade Dialogues lecture series focuses on the latest research on international trade and globalization.

Ralph Ossa discussed the costs of trade wars and highlighted the benefits of multilateral trade cooperation.

Ralph Ossa is currently Professor of Economics of Globalization and Emerging Markets at the University of Zurich.

World Trade Organization

Chad Bown: “Will the Proposed US Border Tax Provoke WTO Retaliation from Trading Partners?”

trump mexico wto
March 2017
Chad P. Bown is senior fellow at the Peterson Institute for International Economics.

President Donald Trump and his Republican allies in Congress are proposing major reforms to the US corporate tax system that would slash the corporate income tax rate and replace lost revenues with a new destination-based cash flow tax (DBCFT). The new tax would include a border tax adjustment that would subject US imports to the tax and exempt US exports. A third and critical element of the plan is a provision allowing US producers to deduct domestic wage costs in a manner not available to foreign companies. A major economic concern with the border tax adjustment blueprint, which House Speaker Paul Ryan and House Ways and Means Committee Chair Kevin Brady support, is its potential to reduce US imports and promote US exports in a way that could violate international trade rules. Because of the size of the US economy, the trade distortions resulting from the tax would punish US trading partners, putting pressure on them to retaliate immediately. World Trade Organization (WTO) rules establish a framework for understanding how the policy response of trading partners to a US tax reform would proceed. The potential retaliatory costs to US exporters associated with elements of the Ryan-Brady blueprint could be large. If the reform is found to violate WTO rules by restricting US imports, trading partners could be authorized to retaliate by an estimated $220 billion annually. If the new US tax is found to implicitly subsidize exports, partners could be authorized to retaliate by an additional $165 billion annually. The United States would face some of the combined $385 billion in retaliation almost immediately upon implementing the tax, through the imposition of countervailing duties (CVDs) by trading partners. Whereas a country like the United States might typically have four or more years before facing the prospect of WTO-related retaliation in other cases, the scenario here may be very different.
The expected costs of US failure to consider its WTO obligations are so large that policymakers must take them into account as they draft the tax reform. If they do not, trading partner recourse to WTO-sanctioned trade retaliation may quickly create the need for additional US efforts to re-reform the tax code. The uncertainty created could counteract many of the otherwise positive anticipated effects of tax reform for economic growth. Most of these costs are likely avoidable if US policymakers address them at the design stage of tax reform and engage with key trading partners. Strong legal and economic arguments can probably be made that a DBCFT with a (nondiscriminatory) border tax adjustment is WTOconsistent. If, however, US policymakers are unwilling to address international concerns before legislating changes, independent “scoring” efforts should take into account the expected costs to the US economy of authorizable trading partner retaliation.
Veja aqui o resto do excelente artigo de 10 páginas de Chad Bown no Peterson Institute for
International Economics PB17-11

Tania Voon: “Consolidating International Investment Law: The Mega-Regionals as a Pathway Towards Multilateral Rules Forthcoming World Trade Review (2017)”

mega-regional agreements

Abstract
Pessimism abounds in international economic law. The World Trade Organization (‘WTO’) faces an uncertain future following its Ministerial Conference in Nairobi in 2015. International investment law is under attack in countries around the world, while mega-regional agreements such as the Trans-Pacific Partnership and the Trans-Atlantic Trade and Investment Partnership are beset by world events, from the United States’ federal election to the unexpected Brexit outcome. Yet the appetite of numerous States to continue forging plurilateral trade and investment deals provides some cause for hope. Viewed alongside other institutional developments including consensus-building work at the United Nations Conference on Trade and Development and the United Nations Commission on International Trade Law, the potential arguably now exists for credible movement towards multilateral rules in investment law. While the WTO’s current negotiating stalemate highlights the difficulties in reaching agreement among 164 Members, international trade law offers lessons for working towards multilateralism in the international investment law field. Alongside informal discussions about a world investment court, mega-regionals provide a vehicle for future multilateral investment rules, particularly through the Comprehensive Economic and Trade Agreement between Canada and the European Union, and the Regional Comprehensive Economic Partnership currently under negotiation in Asia.

Keywords: international investment law, international trade law, international economic law, World Trade Organization, multilateralism, regionalism
Tania S.L. Voon
University of Melbourne – Melbourne Law School

Date Written: March 4, 2017
Voon, Tania S.L., Consolidating International Investment Law: The Mega-Regionals as a Pathway Towards Multilateral Rules (March 4, 2017). Forthcoming World Trade Review (2017).
30 Pages Posted: 8 Mar 2017, Available at SSRN: https://ssrn.com/abstract=2929145

Imagine inclusive trade

Published on Sept 27, 2016

SMEs are playing a greater role in international trade. Today’s world is dominated by digital innovation. Women still face constraints preventing them from reaping the benefits of trade.
The WTO Public Forum 2016 asks how trade can become truly inclusive, allowing small and medium enterprises; innovative businesses and women take full advantage of its potential.

World Trade Organization

World Trade Report 2016

Published on Oct 04, 2016

Reduced trade barriers, improved transportation links, information technology and the emergence of global value chains give small and medium-sized enterprises (SMEs) the potential to become successful global traders, according to the WTO’s flagship report. It was launched during the WTO Public Forum.

Download the report for free:  https://www.wto.org/english/res_e/pub…

World Trade Organization

DG Azevêdo kick-starts discussion on post-Nairobi work

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Director-General Roberto Azevêdo convened a meeting of all WTO members today (10 February) to discuss the future work of the organization. It was the first meeting of the full membership since the WTO’s Ministerial Conference in Nairobi.

The Director-General said:

Nairobi was the second consecutive WTO Ministerial Conference where we delivered important outcomes. We are establishing a strong record of delivery and should build on this success. In Nairobi Ministers gave us some specific guidance on our future work. They asked us to find ways to advance negotiations and so this is an urgent priority for the organization.

“In all of the exchanges I have had so far this year, I have been struck by the sense of optimism about the WTO. There is a clear desire to deliver more. It is important that we have a rich dialogue over the coming months about how we can move forward — and in doing so we must hear the views of all.

“I think members need to acknowledge their differences. The fact is that members don’t see eye-to-eye on some issues — and this is not likely to change in the short term. Faced with this situation, the worst thing we could do would be to allow these differences to seize-up WTO negotiations — and push activity towards other forums. We can’t allow multilateral cooperation to suffer, especially at a time when the world needs our contribution to help improve people’s lives and prospects around the world — particularly for the poorest.

“In my view, we need to accept the reality of the situation. We need to figure out how to work together — despite members’ different perspectives — for the benefit of all. We need to figure out how we can keep delivering for jobs, growth and development — to make as full a contribution as we can.”

Many delegations took the floor during the meeting, with many welcoming the results of the Nairobi Ministerial Conference, stressing the importance of implementing those outcomes, and expressing their willingness to engage in discussions on how to advance negotiations. The Director-General and some members also stressed that the preparatory process for Ministerial Conferences can be improved in order to maintain transparency and inclusivity throughout the process.

Fonte: OMC