WTO Panel Established to Review India's Solar and IT Goods Measures at China's Request – IndexBox

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During its session on 23 June, the Dispute Settlement Body (DSB) granted China‘s petition to form a panel examining Indian measures on imports of solar cells, solar modules, and information technology goods. Following the main meeting, DSB Chair Ambassador Guilherme de Aguiar Patriota (Brazil) led an informal discussion to gauge member perspectives on dispute settlement reform.
China made a second bid for a dispute panel to assess whether Indian tariffs on certain high-tech imports and solar energy incentives—which Beijing argues favor domestic products over foreign ones—align with India’s WTO obligations. New Delhi had declined to accept China’s initial panel request at the 22 May DSB meeting. Beijing stated that bilateral talks had not resolved its issues with India’s policies. China contends these measures violate the General Agreement on Tariffs and Trade, the Agreement on Subsidies and Countervailing Measures, and the Agreement on Trade-Related Investment Measures. India expressed disappointment over China’s renewed panel request, asserting it had already proven the measures’ WTO compliance during consultations. The DSB approved the panel’s formation. Australia, Brazil, Canada, the European Union, Japan, the Republic of Korea, the Philippines, the Russian Federation, Singapore, Turkiye, the United Kingdom, and the United States reserved their third-party rights in the proceedings.
Under other business, Malaysia and Indonesia voiced concerns about the European Union’s adherence to rulings in DS600 and DS593, both concerning palm oil and oil palm crop-based biofuels. The EU reported finalizing a sequencing agreement with Indonesia for DS593, establishing a structured process that includes appeal arbitration if necessary. Consequently, the EU noted that ongoing arbitration tied to Indonesia’s request for sanctions arbitration under DSU Article 22.6 would need to be paused. The EU also offered to engage bilaterally with Malaysia.
Colombia, representing 130 members, presented for the 98th time a proposal to initiate selection processes for Appellate Body (AB) vacancies. Colombia remarked that the broad support for the proposal underscores shared interest in the AB’s operation and the wider WTO dispute settlement system. The United States opposed the proposed decision, reiterating its fundamental concerns with WTO dispute settlement and stating the proposal fails to address them. Washington emphasized that a functional system requires reform, which this proposal does not advance. Over 20 members spoke in favor of the joint proposal, stressing the urgent need to restore a fully operational dispute settlement system. Several speakers encouraged participation in the Multi-Party Interim Appeal Arbitration Arrangement (MPIA), which allows arbitration under DSU Article 25 for appeals between participating members. Colombia, on behalf of the 130 members, regretted that for the 98th time members could not launch the selection processes. The group argued that reform discussions should not hinder the AB’s full operation and that members must fulfill DSU obligations to fill vacancies as they occur.
The Chair convened an informal session after the regular DSB meeting to assess member positions on dispute settlement reform, focusing on views regarding prior technical work. Before this session, the Chair consulted with 20 delegations. Approximately 40 delegations, including those representing member groups, addressed the meeting. In closing, the Chair noted that members offered extensive input on substantive and procedural matters. He stated he continues to monitor developments to ensure dispute settlement reform remains a priority, especially while the system is not fully operational. The Chair indicated he would report on the informal meeting and other consultations at the next DSB session.
At the regular DSB meeting, the United States submitted status reports on DS184, DS160, DS464, and DS471. The EU provided a status report on DS291. Indonesia presented status reports on DS477 and DS478. The next regular DSB meeting is scheduled for 24 July 2026.
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