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Global auto manufacturers call for resolution of WTO impasse

10 December 2019
by ACEA -- last modified 10 December 2019

The EU, US, Japanese and Korean automobile manufacturers have joined forces to express their concerns about the impending blockage of the decision-making process in the World Trade Organisation’s (WTO) appellate body structure.


The global coalition of automobile manufacturers calls on all WTO member countries to swiftly resolve the current impasse and thereby boost the significant contribution that the WTO's rules-based system makes to free and fair trade, as well as its contribution to global economic growth.


If the WTO's appellate body loses its ability to successfully resolve disputes, the entire structure of international trade could be critically undermined, warn the associations of vehicle manufacturers in the European Union (ACEA), the United States (AAPC, Alliance and Global Automakers), Japan (JAMA) and South Korea (KAMA).


The resulting loss of certainty and predictability for trade in goods and services will be felt acutely in the automotive sector – which relies on global supply chains, highly efficient manufacturing processes and access to world markets.


"While we recognise that there are substantial long-held concerns regarding the current WTO dispute settlement system, that should not be allowed to undermine the whole rules-based international trading system," say the associations in a joint statement.


The auto industry accounts for nearly 10% of world trade. It relies on a free and fair trading system to facilitate a strong and efficient automotive manufacturing sector.

The European Automobile Manufacturers' Association (ACEA) represents the 15 major Europe-based car, van, truck and bus manufacturers: BMW Group, CNH Industrial, DAF Trucks, Daimler, Fiat Chrysler Automobiles, Ford of Europe, Honda Motor Europe, Hyundai Motor Europe, Jaguar Land Rover, PSA Group, Renault Group, Toyota Motor Europe, Volkswagen Group, Volvo Cars, and Volvo Group.

European Automobile Manufacturers' Association (ACEA)
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