How does the WTO settle disputes between nations?

The World Trade Organization (WTO) is the international body responsible for settling trade disputes between nations. The WTO provides a platform for these nations to resolve their differences and reach an agreement. When a dispute arises, countries must first attempt to negotiate a solution among themselves. If they cannot reach an agreement, either party can request WTO assistance. The WTO Dispute Settlement Body (DSB) will then agree to hear the dispute. During their hearing, the DSB will listen to both parties, consider the facts of the case, and examine any legal issues. The DSB then makes a ruling based on the WTO Agreement. The ruling of the DSB is called a recommendations or rulings report. It includes a summary of the dispute and the DSB’s legal analysis of the issue. Each party is also asked to report back to the DSB within a certain timeframe to inform it of the steps it has taken to implement the ruling. The DSB can issue sanctions or other recommendations to ensure that the ruling is being followed. If either party does not comply with the ruling, the other party may request further resolution through the DSB. The DSB has the power to suggest additional measures, including the option of sanctions, to ensure compliance. Ultimately, it is the responsibility of the countries involved to take steps to resolve the dispute in accordance with the WTO Agreement.

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How does the WTO settle disputes between nations?

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