WTO Dispute Settlement, Economic Partnerships and Cryptocurrency in Evasion of Sanctions
Efforts to Reform WTO Dispute Settlement System Gain Momentum
Countries within the World Trade Organization (WTO) are preparing to restart discussions aimed at addressing the challenges in the dispute settlement system. This initiative, set to be concluded by the end of the year, is an attempt to reform and replace the WTO’s appeals bench, which has been inactive since 2019 due to objections to judge appointments, particularly by the United States. The appointment of Ambassador Usha Dwarka-Canabady from Mauritius as the chief negotiator, following the rejection of at least three other ambassadors for the role, signifies a significant development in this reform effort.
Highlights:
- Negotiations to address the issues within the WTO’s dispute settlement system are set to resume by the end of the year.
- The focus of the talks is on reformation and replacement of the inactive WTO appeals bench, a step necessary to resolve over 30 unresolved trade disputes.
- The appointment of Ambassador Usha Dwarka-Canabady as the chief negotiator, after several rejections by other ambassadors, indicates a renewed commitment towards addressing the challenges in the WTO’s dispute settlement system.
- The United States has expressed its commitment to an interest-based approach for the discussions, emphasizing the complexity of achieving fundamental dispute settlement reform within the WTO.
UAE and Ukraine Conclude Comprehensive Economic Partnership Agreement
The United Arab Emirates (UAE) and Ukraine have concluded negotiations for a bilateral trade deal called the Comprehensive Economic Partnership Agreement (CEPA). The agreement aims to reduce or remove tariffs, eliminate trade barriers, and facilitate market access for exporters from both countries. The CEPA will support Ukraine’s recovery and the reconstruction of key industries and infrastructure, while also improving supply chains for major exports like grains, machinery, and metals to the Middle East and North Africa region. This trade deal signifies the UAE’s interest in strengthening ties with Ukraine and potentially accessing the European market through Ukraine’s potential future membership in the European Union.
Highlights:
- The UAE and Ukraine have successfully concluded negotiations for a bilateral trade deal called the Comprehensive Economic Partnership Agreement (CEPA).
- The CEPA aims to reduce or remove tariffs, remove trade barriers, and enhance market access for exporters from both the UAE and Ukraine.
- The agreement is expected to support Ukraine’s recovery and reconstruction efforts in industries and infrastructure while enhancing supply chains for key exports to the Middle East and North Africa region.
- The trade deal also presents an opportunity for the UAE to establish another gateway to Europe through Ukraine, which could potentially provide market access for goods, services, and connectivity to the European Union in the future.
US Lawmakers Urge Biden Administration to Address Cryptocurrency Use in Evasion of Sanctions
US Senators Elizabeth Warren and Roger Marshall are urging the Biden administration to address concerns regarding the use of cryptocurrency for evading international sanctions imposed on Russia, Iran, and North Korea. In a letter to top officials including Treasury Secretary Janet Yellen and Defense Secretary Lloyd Austin, the lawmakers express their worry about digital assets like Tether being utilized by sanctioned entities in Russia and other countries. The use of Tether, a stablecoin pegged to the US dollar, in circumventing Western sanctions has recently been reported, highlighting the potential risks involved. Warren and Marshall emphasize the need for a response from the defense community to address the national security implications associated with cryptocurrencies.
Highlights:
- US Senators Warren and Marshall are pressing the Biden administration to tackle the issue of using cryptocurrency to evade sanctions in countries like Russia, Iran, and North Korea.
- The lawmakers specifically express concern about the use of Tether, a stablecoin, by sanctioned entities to bypass Western sanctions.
- Recent reports have highlighted how Tether has been used by Russian middlemen to acquire weapons parts, and how Venezuela’s state-run oil company plans to use Tether in oil exports to circumvent impending US sanctions.
- Senators Warren and Marshall emphasize the necessity of a commensurate response from the defense community in addressing the national security threat posed by cryptocurrency use for evading sanctions.
