Distrust and Barriers to International Trade in Food Products: An Analysis of the US — Poultry Dispute
AbstractThe US - Poultry dispute arbitrated by the WTO, opposing China to the US, was raised by the US decision to stop equivalence regime procedures for Chinese poultry. The Panel found that this decision was not compatible with the SPS Agreement's exigencies requiring a risk assessment centered on the Chinese poultry products, and contradicted MFN obligation of the GATT 1994 Agreement. The possibility that the reasoning of the Panel in this dispute was based on the reasoning developed in earlier SPS cases suggests that this dispute doesn't provide new perspectives for SPS cases. However, considering the dispute in the context of a trust game, this paper argues that the US - Poultry case is original. It provides an interpretation showing that a risk assessment focusing on the social and institutional conditions of the implementation of a country's safety regulation should be considered a proper way to defend impeding a national equivalence regime. This conclusion is reinforced by the economic analysis of MFN treatment in the dispute.
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Bibliographic InfoPaper provided by Groupe de REcherche en Droit, Économie, Gestion (GREDEG CNRS), University of Nice Sophia Antipolis in its series GREDEG Working Papers with number 2012-02.
Length: 21 pages
Date of creation: Jan 2012
Date of revision: Nov 2013
WTO; SPS Agreement; MFN; Non-tariff Barrier to trade; Product safety; China.;
Find related papers by JEL classification:
- F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations
- F59 - International Economics - - International Relations and International Political Economy - - - Other
- K32 - Law and Economics - - Other Substantive Areas of Law - - - Environmental, Health, and Safety Law
- K33 - Law and Economics - - Other Substantive Areas of Law - - - International Law
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