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Stephen Claeys Weighs In on Sparse Dispute Settlement Provisions in US-Japan Trade Agreement

October 10, 2019

Stephen J. Claeys, partner in Wiley Rein’s International Trade Practice, was quoted by Law360 in an October 9 article about enforcement uncertainties surrounding the recent trade agreement between the United States and Japan.

According to the article, the U.S.-Japan Trade Agreement would reduce tariffs on certain agricultural and industrial goods traded between the two countries. However, the deal contains sparse provisions on dispute settlements, Law360 reported.

Mr. Claeys, former Trade Counsel for the House Ways and Means Subcommittee on Trade, said if the deal had included a full-fledged dispute settlement chapter, it might have required approval from Congress. 

“Congress has to authorize someone in the Executive branch to run the dispute settlement process,” Mr. Claeys said. “So, since this thing is not going to Congress, you can’t get that authorization. If they had put that in there, they might not have been able to avoid having some kind of implementing legislation.”

The article can be found here (subscription required).