Making WTO Dispute Settlement Work for African Countries: An Evaluation of Current Proposals for Reforming the DSU

Abstract

AbstractMost African countries are WTO Members, and yet to date none has been a complainant in dispute settlement proceedings. One possible reason is that the WTO enforcement regime is not well suited to smaller complainants whose imports from a larger defendant represent only a small share of that defendant’s total exports. Because retaliation rights must be “equivalent” to damage caused, retaliation may not be sufficient to induce the defendant to comply with its obligations. As a result, there may be a chilling effect on smaller countries commencing trade disputes. This article analyses current proposals within the context of the WTO DSU Review that address this problem. It also compares the WTO enforcement regime to general international law on the proportionality of countermeasures and suggests ways to soften the “equivalence” requirement.