Improve The System Of The Wto Dispute Settlement Mechanism Of Revenge

At the era of fast development of world economy, trade between differentcountries are becoming more and more frequent. It does not only bring exchangesfor the countries’ economy and culture in micro sense, but also makes betterdistribution of limited resources for the whole world in macro sense. In order topromote and maintain the order of world trade, many countries want to join WTOorganization, through which they could be restrained by each other. However, duringthe exchange of world trade, some countries may conduct measures breaking thebalance of international trade for their own interests and circumstances, causingdisputes between two or more countries. When such dispute arises within the scopeof WTO agreements, one party is usually considered as violating the WTOagreement; the other party could seek help from the dispute settlement mechanism.When the panel/Appellate Body report are adopted by the DSB, the losing membershould implement the ruling. If it dose not implement the ruling, the winningmember may ask for retaliation under WTO dispute resolution system as the party issuffering losses from the violating party. Through retaliation authorized by WTOdispute resolution system, the party on one hand could stop the violation by the otherparty, and on the other hand, its losses could be partially compensated. Therefore,retaliation under WTO dispute resolution system becomes very important inmaintaining world trade order. Its existence has positive effects in resolving differentparties’ disputes and rebalancing the international trade order. However, while thisretaliation system is practiced again and again as different types of cases come along,many members, experts and scholars have gradually found some defects in thisretaliation system, which often make the system incapable of stop those violatingmeasures. Some of them have put forward their proposals of improving the systemconsidering the circumstances of their own country or the whole world. On the basisof pointing out the defects of the present retaliation system, this paper aims atdiscussing the proposals of improving the system. What’s more, it will analyze their rationality from the perspective of the goal for setting up this system.The introduction of this paper simply introduces the status and effects ofretaliation system, and highlights its peculiarity under the WTO dispute resolutionsystem. The main body of the paper is divided into three parts. The first part brieflydescribes the retaliation system of WTO from the angle of general concept,procedural and substantial regulations. The second part analyzes the main goal andvalue of the system. Promoting implementation is regarded as the main goal of thesystem in this paper, and other goals are supplementary at the same time. On thebasis of analyzing some cases and stating different members’ proposals of improvingthe systems, the third part separately analyzes their rationality with the orientation ofits goal. My own point of view will also be stated in this part trying to find thecorrect method of improving the WTO retaliation system.