Qatar WTO Dispute Case: An Issue Of IP Or National Security?

The United Arab Emirates (UAE) this week blocked the first request by Qatar for a World Trade Organization dispute settlement panel to rule on measures by UAE that Qatar alleges interfere with trade in goods and services and with protection of Qatar’s intellectual property rights. Neighbouring countries say they have taken actions out of concern that Qatar is providing financial support for terrorist groups.

The action took place at the 23 October meeting of the WTO Dispute Settlement Body (DSB). Qatar can make a second request for a panel at the next DSB meeting.

According to sources, Bahrain, Saudi Arabia and Egypt also stated their opposition to Qatar’s request, and the United States argued that the issues related to national security and should not be handled by the WTO dispute settlement process.

Qatar first requested consultations at the WTO with the UAE, Saudi Arabia and Bahrain in August, detailing intellectual property rights violations among other concerns (IPW, WTO/TRIPS, 4 August 2017). A panel can be requested 60 days after the consultation request, and can be blocked one time.

A source said the UAE in its statement argued that they are taking steps in line with the national security exceptions under Article XX of the General Agreement on Tariffs and Trade (GATT), Article XIV bis of the General Agreement on Trade in Services, and Article 73 of the Agreement on Trade-Related Aspects of Intellectual Property Rights (TRIPs).

Qatar replied that the actions show inconsistency with the national security claims as they target products such as dairy and medicines, but do not target the large energy imports the neighbouring countries need from Qatar, the source said.

The DSB took note but deferred decision on the issue.