WTO arbitrators have concluded that the United States has overstepped its bounds by requiring Hong Kong goods to be classified as “Made in China”.
The WTO Dispute Committee considered that the US was in breach of its obligations under WTO rules and rejected Washington’s argument that US “fundamental security interests” allow such a designation.
The Committee pointed out that the situation is “not considered an emergency”, allowing for an exception under the organization’s rules, while the US or Hong Kong can appeal the decision to the organization’s Court of Appeal, but the court is currently inactive as the US has almost booked all appointments of new members of the court, amid fears that he is acting beyond his authority, as a result of which any appeals will be referred to arbitration and remain unresolved.
The US Trade Mission said it plans to ignore the decision anyway.
In a statement, FBI spokesman Adam Hodge said, “The United States does not intend to waive the requirement as a result of this report, and we will not compromise our judgment or decision-making on matters important to the security of the organization.”
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