WTO DISPUTE SETTLEMENT UNDER STRESS: ANALYZING THE U.S.-CHINA TARIFF WARS (2018–2024)
DOI:
https://doi.org/10.18623/rvd.v23.n4.4797Keywords:
U.S.-China Trade War, WTO, Dispute Settlement Mechanism, Appellate Body, Multilateral Trade GovernanceAbstract
This research examines the influence of the tariff war between the U.S. and China (2018–2024) on the working of the World Trade Organisation’s Dispute Settlement Mechanism (DSM). This study applied the Principles of Systematic Reviews, guided by the PRISMA framework, to examine seven peer-reviewed publications and discover the types of challenges that the WTO encounters. It examines important areas such as the increase in trade tensions, the impact of unilateral tariffs on the DSM and the halt in the system due to the Appellate Body crisis. It appears that the WTO suffered from a lack of trust because of the U.S. and China taking unilateral actions. These actions changed the way disputes are settled, as both nations now negotiate with each other and showed the weaknesses of a system based on agreement among all members. Several themes were identified, including issues with the system, needed reforms, unhappiness on the part of the United States, motives and impacts overseas. The study is significant as it would inform policymakers about the institutional weakness of the WTO Dispute Settlement Mechanism, and the urgent need to change it to make sure that the trading system is stable and rule-based. This study is theorised in terms of Realism and Institutions, which help understand the manner states act in multilateral trade arrangements. It has a weakness in its research because the small sample of peer-reviewed publications underlies it, and the diversity of the possible views of the problem may be underrepresented. Nevertheless, the findings can draw practical lessons on how to build more resilient and credible international trade organisations.
References
Adekola, T. A. (2019). US–China trade war and the WTO dispute settlement mechanism. Journal of International Trade Law and Policy, 18(3), 125-135.
Amandossuly, B., Baizhomartova, K., Zhailau, Z., Nyssanbekova, L., & Otynshiyeva, A. (2025). Legal Challenges and Developments in the WTO Dispute Resolution Mechanism. Khazanah Hukum, 7(1), 46-60.
Aronofsky, D. (2024). Global Trade Dispute Settlement and How to Survive the WTO Appellate Body Crisis Quite Nicely. Sw. J. Int'l L., 30, 324.
Bahri, A. (2019). ‘Appellate Body Held Hostage’: is judicial activism at fair trial?. Journal of World Trade, 53(2).
Chow, D. C., & Sheldon, I. M. (2020). Understanding the Economic and Political Effects of Trump's China Tariffs. Wm. & Mary Bus. L. Rev., 12, 273.
Chukwuma, N. A., Ngoc, L. M., & Mativenga, P. (2024). The US-China trade war: interrogating globalisation of technology. Cogent Social Sciences, 10(1), 2365509.
Cunningham, R. O. (2019). Leverage is everything: understanding the Trump Administration's linkage between trade agreements and unilateral import restrictions. Case W. Res. J. Int'l L., 51, 49.
Eixab, J. E. (2022). Exploring alternatives to the World Trade Organisation's dispute resolution mechanisms (Doctoral dissertation, North-West University (South Africa).).
Emiliozzi, E. (2022). China’s reaction to the Us’ new Custom Duty Policy: the WTO Dispute Settlement 543. The worsening of China-Us trade relations and the non-compliance with the WTO standards.
Flint, C., & Zhang, X. (2021). Why and Whither the US-China Trade War?: Not Realist ‘Traps’ but Political Geography ‘Capture’as Explanation. Journal of World Trade, 55(2).
Garner-Knapp, L., Western, S. D., & Lovat, H. (2022). The US, the WTO, and the Appellate Body: From Great Expectations to Hard Times. In European Yearbook of International Economic Law 2021 (pp. 3-32). Cham: Springer International Publishing.
Huang, Y., & Vaicondam, Y. (2024). Total Factor Productivity and Digital Trade Disputes: Insights from WTO Trade Settlement Cases. China and WTO Review, 10(2), 98-118.
Hughes, J. (2022). Fitting China-US Trade into WTO Trade Law-National Security and Non-Violation Mechanisms. Mich. St. L. Rev., 319.
Jiang, C. C., & Zulkifli, N. (2024). Trade War Between the US-China: Impact Towards Asean. International Journal of Advanced Research in Economics and Finance, 6(4), 128-149.
Khan, A., & Wu, X. (2021). Reforms for culmination of the deadlock in appellate body of WTO: An agenda of saving the multilateral trading system. Journal of Humanities, Social and Management Sciences (JHSMS), 2(1), 50-62.
Kumar, C., 2025. Complexity of US-China trade war: associated threats and realities. International Journal of Services Technology and Management, 30(1), pp.58-89.
Lan, N. (2020). Why Tariffs against China Are Ineffective for Intellectual Property Protection. Am. U. Intell. Prop. Brief, 11, 17.
Li, X., & Zhang, X. (2022). Is the WTO dispute settlement system a disaster for the US? An evaluation of US–China WTO disputes. Journal of Chinese Political Science, 27(3), 567-584.
Lincicome, S., Manak, I., & Obregon, A. C. (2022). Unfair Trade Or Unfair Protection?: The Evolution and Abuse of Section 301. Cato Institute.
Mahedi, H., Wang, J., Mizanur, R. M., Hasan, S. Y. M. R., Srikanto, M., & Al, F. U. (2024). A Comparative Analysis of the Trade Policies of China and the United States of America. Open Journal of Business and Management, 12(4), 2174-2207.
Malhotra, P. (2024). The rise of passive investing: a systematic literature review applying PRISMA framework. Journal of Capital Markets Studies, 8(1), 95-125.
Mammadov, J. (2019). Trade conflict between the United States and China and its impact on the global economy (Doctoral dissertation, Wien).
Miranda, J., & Sánchez Miranda, M. (2023). Chronicle of a crisis foretold: how the WTO Appellate Body drove itself into a corner. Journal of International Economic Law, 26(3), 435-461.
Mohamed Shaffril, H. A., Samsuddin, S. F., & Abu Samah, A. (2021). The ABC of systematic literature review: the basic methodological guidance for beginners. Quality & quantity, 55, 1319-1346.
Nwoke, U. (2020). Imposition of trade tariffs by the USA on China: implications for the WTO and international trade law. Journal of international trade law and policy, 19(2), 69-84.
Odilovna, K. G. (2024). RESOLVING TRADE DISPUTES IN A GLOBALIZED WORLD: THE EFFICACY AND CHALLENGES OF THE WTO DISPUTE SETTLEMENT MECHANISM. International Journal Of Law And Criminology, 4(11), 47-52.
Patino, C. M., & Ferreira, J. C. (2018). Inclusion and exclusion criteria in research studies: definitions and why they matter. Jornal Brasileiro de Pneumologia, 44, 84-84.
Petersmann, E. U. (2018). How should the EU and other WTO members react to their WTO governance and WTO Appellate Body crises?. Robert Schuman Centre for Advanced Studies Research Paper No. RSCAS, 71.
Qin, J. Y. (2020). WTO reform: Multilateral control over unilateral retaliation-Lessons from the US-China trade war. Trade L. & Dev., 12, 456.
Ryan, T. (2021). Utilizing Arbitration to Resolve WTO Trade Disputes: A Useful Alternative but One That Cannot Outweigh the Need for a Functioning WTO Appellate Body. NY Int'l L. Rev., 34, 1.
Sacerdoti, G., & Borlini, L. (2023). Systemic changes in the politicization of the international trade relations and the decline of the multilateral trading system. German Law Journal, 24(1), 17-44.
Sacerdoti, G., Semercioglu, N., Famà, R., Assenza, E., Wade, D., & Lapa, V. (2021). The WTO Dispute Settlement System in 2020: Facing the Appellate Body Paralysis. Bocconi Legal Studies Research Paper, (37944327).
Shu Shang, C., & Shen, W. (2021). Beyond trade war: Reevaluating intellectual property bilateralism in the US–China context. Journal of International Economic Law, 24(1), 53-76.
Sundaram, J., & Owolabi, A. S. (2022). Impasse at the WTO Dispute Settlement Body: The Slow Demise of Multilateralism?. Trade L. & Dev., 14, 127.
Sundaram, J., & Owolabi, A. S. (2022). Impasse at the WTO Dispute Settlement Body: The Slow Demise of Multilateralism?. Trade L. & Dev., 14, 127.
Ting, G. (2018). Developments in US trade policy toward China and outlook for China-US trade relations. China Int'l Stud., 71, 151.
Witts, N. N. (2025). An Analysis of the Successes and Failures of the World Trade Organization (WTO). Journal of Advanced Management Science, 13(2).
Yilmazcan, A. (2024). Improving Procedural Justice in Anti-dumping Investigations: Lessons from the US and EU Practices Against China. Cambridge University Press.
Yuejiao, Z. (2022). The WTO Dispute Settlement Mechanism and Its Reform. J. WTO & China, 12, 15.
Zhang, X. (2021). Trade Conflicts Between China and the USA Opportunities and Challenges (Doctoral dissertation, soe).
Zhou, W. (2020). WTO Dispute Settlement Mechanism Without the Appellate Body: Some Observations on the US-China Trade Deal. Forthcoming (2020), 2, 20-4.
Downloads
Published
How to Cite
Issue
Section
License
I (we) submit this article which is original and unpublished, of my (our) own authorship, to the evaluation of the Veredas do Direito Journal, and agree that the related copyrights will become exclusive property of the Journal, being prohibited any partial or total copy in any other part or other printed or online communication vehicle dissociated from the Veredas do Direito Journal, without the necessary and prior authorization that should be requested in writing to Editor in Chief. I (we) also declare that there is no conflict of interest between the articles theme, the author (s) and enterprises, institutions or individuals.
I (we) recognize that the Veredas do Direito Journal is licensed under a CREATIVE COMMONS LICENSE.
Licença Creative Commons Attribution 3.0
