The European Union and Turkey agreed on Thursday 24 March at the World Trade Organization (WTO) to use an alternative dispute settlement procedure in two cases between them. This procedure will circumvent the WTO Appellate Body’s blockage.
The EU and Turkey will use an appeals procedure different from the usual appellate body, which has been blocked for several years by the United States, preventing the replacement of the judges on it. To do so, they formally requested a suspension of the work of the original dispute settlement body on Thursday.
Initiated by the EU in 2019, the first procedure concerns Turkish measures applied to pharmaceutical products from the EU, for which Turkey prevents reimbursement under its health system.
The second dispute, initiated in 2020 by Ankara, concerns the EU’s safeguard measures on steel, which take the form of tariff quotas. Turkey considers that they are not compatible with WTO rules.
Both parties must now formally notify other WTO members of the initiation of this alternative appeal procedure. After that, three independent arbitrators, selected at random, will have to give their decision within 90 days. This decision will be final, and the parties will have to abide by it. (Original version in French by Léa Marchal)