On January 24, 2020, 17 WTO members issued a statement agreeing to establish a temporary system for appealing WTO disputes. They reached an agreement during the recent World Economic Forum in Davos, Switzerland. The WTO members include Australia, Brazil, Canada, Chile, China, Colombia, Costa Rica, the European Union, Guatemala, South Korea, Mexico, New Zealand, Norway, Panama, Singapore, Switzerland and Uruguay. Canada and the EU had earlier established a separate interim appeals procedure. The statement indicated that the system would be “in the form of a multi-party interim appeal arrangement based on Article 25 of the WTO Dispute Settlement Understanding, and which would be in place only and until a reformed WTO Appellate Body becomes fully operational. This arrangement will be open to any WTO Member willing to join it.”
The normal Appellate Body procedure of the Dispute Settlement Body was effectively “shut down” when the United States blocked any new appointments until certain reforms were adopted, and by December, the last Appellate Body member’s term expired.