Wto Dispute Settlement Mechanism Of Evolution And Countermeasures

WTO Dispute Settlement Mechanism develops on the basis of GATT Dispute Settlement Mechanism, inheriting partly from GATT DSM and innovating a lot by itself. During 12 years of development and perfection, WTO DSM plays an irreplaceable role in maintaining the stability of multi-lateral trade system and increasing the prosperity of world prosperity. Therefore, it is complemented as"the Pearl on the Crown of WTO".The first section of this paper conducts a review of the origin and development of WTO DSM, including mainly the content and shortcomings of its predecessor-GATT DSM, and the coming-into-being and characteristics of WTO DSM.GATT DSM developed on the basis of 22nd and 23rd article, mainly including"Consultation, Good Offices, Conciliation and Mediation, Arbitration, Suggestion or Rulings of the whole members, authorization of suspension of concession, etc."GATT DSM played an important role in the development of GATT as a factual world trade organization. However, due to GATT's temporariness, its DSM inevitably had some problems. For example, there was not a unified system of regulations and a clear dispute settlement timetable, and dispute settlement lacked necessary force.To overcome the shortcomings of GATT DSM, Uruguay Round conducted all-round and thorough negotiation on dispute settlement issue, and finally reached DSU, symbolizing the embryo of WTO DSM. According the regulation of DSU, WTO DSM mainly includes the following procedures:"Consultation, Good Offices, Conciliation and Mediation, Panel procedures, Appellation Procedures, Surveillances of recommendation and rulings, etc."Although WTO DSM has undergone a lot of developments on the basis of GATT DSM, it is far from prefect. However, in the practice of disputes settlement, WTO DSM exposed more and more problems, needing instant resolution. The second section of this paper mainly discusses the problems of WTO DSM, mainly including the following: firstly, on the consultation procedure; secondly, on the Panel procedure;thirdly, on the Appellate Body and procedure; fourthly, on the enforcement of rulings and recommendation; fifthly, on the suspension of concession and other obligations; sixthly, on the developing countries'special treatment.To solve those problems containing WTO DSM, WTO Doha round ministerial conference started formally the negotiation of DSU reform. And the DSB Special committee was established on 1st, Feb, 2002, responsible for revising DSU. Although many conferences were held, due to wide differences of opinions of members, the special committee could not reach an agreement on the revision of DSU. At last, only a chairman draft was reached as the basis for the future negotiations, including many suggestions for the revision of some articles. For example, DSM should attach more importance to the developing countries, and clarify the special rights enjoyed by developing countries. The third parties'rights should be extended. And transparency of DSM should be increased, etc.To study the suggestions of WTO members can help us gain a general idea about the future of DSU reform negotiation. What's more important, it can enable China better prepared for the DSU reform. For example, China should revise is domestic laws in conformity with WTO laws, foster more WTO law specialists, and take an active part in the DSU reformation negotiations. What's more, China should strengthen its coalition with other developing countries, establish a special government agency to deal with dispute settlements, and innovation is ideas to meet the challenges that Taiwan authority may bring a suit against the mainland.Generally speaking, this paper tries to conduct some research on how to deal with WTO DSM reform, through the study of WTO DSM's origination, characteristics, shortcomings and suggestions on DSU reform put forward by WTO members.