United States shows its contempt for international bodies

NO EFFORT TO COMPLY WITH WTO RULING

The United States of America signed up as a member of the World Trade Organization (WTO) on 1 January 1995, coincidentally the exact same day as the small Caribbean nation of Antigua and Barbuda. On 21 March 2003 Antigua and Barbuda requested consultations with the US regarding the cross-border supply of gambling and betting services from another WTO member. On 10 November 2004 a Panel, established to look into the matter, reported amongst other things that the United States failed to accord services and service suppliers of Antigua treatment no less favourable than that provided for under the terms, limitations and conditions agreed and specified in the US Schedule.

The US appealed and on 7 April 2005 the Appellate Body upheld the Panel’s decision that the United States’ Schedule includes a commitment to grant full market access in gambling and betting services. The Appellate Body did not entirely uphold the case of Antigua and Barbuda, allowing at that time for both countries to claim victory. It reversed the Panel’s finding that the United States had not shown that the three federal statutes (the Wire Act, the Travel Act and the Illegal Gambling Business Act) are “necessary to protect public morals or to maintain public order.”

At a Dispute Settlement Board (DSB) meeting on 19 May 2005, the US stated its intention to implement the DSB’s recommendations and indicated it would need reasonable time to do so. The reasonable time for implementation was determined to be by 3 April 2006. That deadline has come and it has gone. The US has made no visible attempt to comply with the WTO ruling and, as US trade officials know, there is very little the organization can do to uphold Antigua and Barbuda’s case against the US. To many around the world, this flaunting of a WTO ruling is just one more example of the US administration considering itself answerable to no one and above the law. (E-04.05.06)

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