The United States is appealing to the World Trade Organization against a ruling that heavily favored Canada in a long-running dispute over lumber, leaving the case in a legal vacuum.
A three-person WTO panel ruled in August that the U.S. tariffs, designed to counter Canadian softwood lumber subsidies, violated global trade rules.
United States notified to the WTO on Monday (28.09.2020) that it had decided to appeal.
However, Washington has blocked the appointment of the WTO Appellate Body, leaving it with too few members to hear such appeals. As a result, Canada's case will be left in legal limbo.
The United States said the panel's ruling was deeply flawed and added that it was open to discussions with Canada to resolve the dispute.
Canada said the appeal to a body that Washington itself had denied Canada its rights aggravated the unfair treatment meted out to Canadian softwood lumber producers.
Source: Reuters
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