The Ottawa Group, which includes the European Union, Japan, Brazil, Korea, Mexico, Switzerland, Canada and others, is arguing that a coordinated global response is needed to COVID-19, including cooperating on vaccine distribution, and trade in other medical supplies, and says regulatory compatibility on these goods should be improved so that the world will be ready for the next pandemic.

Ambassadors to the World Trade Organization said they're hoping the new Joe Biden administration will line up behind Ngozi Okonjo-Iweala for director-general, and will get serious about finding a way to resuscitate the Appellate Body, though they acknowledged the latter may have to wait for the COVID-19 crisis in America to subside. Ambassadors from Canada, Japan, Singapore, Australia and Switzerland spoke on a webinar Dec. 11 hosted by the Washington International Trade Association.

China's President Xi Jinping on Nov. 25 congratulated President-elect Joe Biden on his election, the Chinese Embassy in Washington reported. Promoting “healthy and stable development” of China-U.S. relations “serves the fundamental interests of the people in both countries” and “meets the common expectation of the international community,” Xi's message to Biden said, the embassy said. “Xi said he hopes that the two sides will uphold the spirit of non-conflict, non-confrontation, mutual respect and win-win cooperation.” The Biden transition team didn’t comment.

The European Council approved a tariff package that would eliminate customs duties on U.S. lobster imports in exchange for reduced U.S. duties on several European Union products, including prepared meals, crystal glassware, surface preparations, propellant powders and lighters (see 2008210028). The package, which the European Union said would be the first EU-U.S. tariff reduction in two decades, could increase market access for both EU and U.S. traders by about $240 million per year, the council said in a Nov. 18 news release. The package needs European Parliament approval. If enacted, it would take effect retroactively from Aug. 1 for five years.

The U.S. and eight other countries speaking at the World Trade Organization said they're concerned about the expected proposal from the European Union to implement a carbon border tax as part of its climate change mitigation policy. The proposal is expected next year. A Geneva trade official said the EU started the discussion at a Committee on Trade and the Environment meeting Nov. 16. The countries that are concerned want to make sure subsidies for EU industries in green energy will be fair; that costs aren't borne only by producers; and that any action is WTO-compliant.

The World Customs Organization on Nov. 13 released correlation tables comparing the upcoming 2022 version of the Harmonized System tariff schedule with the 2017 version. “While not legal instruments, the Correlation Tables have become essential tools for Members and the wider trade community in preparing for the introduction of a new edition of the HS. These tables provide guidance on the correlations between the Seventh Edition of the Harmonized System (HS), which comes into force on 1 January 2022 and the current HS 2017 (Sixth Edition) of the HS,” the WCO said. One of the two tables correlates the 2022 version with the 2017 version, and includes explanations of any changes. The other sets the correlation starting from the 2017 version to the 2022 version, the WCO said.

The World Trade Organization announced on Nov. 6 that a planned meeting for Nov. 9 to choose the next director-general for the organization will be postponed until further notice. “It has come to my attention that for reasons including the health situation and current events, delegations will not be in a position to take a formal decision on 9 November,” Ambassador David Walker, chair of the general council, said. The U.S. has opposed Ngozi Okonjo-Iweala, the candidate most likely to win consensus (see 2010280051), as the Office of U.S. Trade Representative says the WTO needs someone with trade experience. Okonjo-Iweala is an economist with experience at the World Bank and nonprofits, as well as government service (see 2010290030).

The U.S. and the United Kingdom recently completed their most “intensive” round of free trade agreement trade talks and said almost all negotiations are in advanced stages, the U.K. said Nov. 2. The most recent round -- held Oct. 19 to Oct. 30 -- included discussions on market access, product-specific rules of origin and customs. The two sides said they agreed to a “programme for continued talks at official level for the weeks following the U.S. election.” The Office of the U.S Trade Representative did not comment.

The Hong Kong ambassador to the World Trade Organization told the U.S. ambassador there that Hong Kong is initiating a dispute, and wants formal bilateral consultations on the U.S. decision to require goods made in Hong Kong to be marked 'Made in China.'

China doesn’t comment on U.S. internal affairs such as its presidential election, a Foreign Affairs Ministry spokesperson said Oct. 30 when asked about comments by a Joe Biden aide that the Democratic Party nominee would consult with allies on what to do about the Section 301 tariffs on Chinese imports if he's elected president. “China's policy on the United States remains highly stable and consistent,” the spokesperson said, according to a transcript of a news conference. “We are committed to developing a China-U.S. relationship featuring non-conflict, non-confrontation, mutual respect and win-win cooperation.” Biden would seek “collective leverage” against China by bonding with allies to curb Beijing's allegedly unfair trade practices, foreign policy adviser Jeffrey Prescott told Reuters Oct. 28. “The failure of the Trump administration has been to go it alone.” Biden won’t “lock into any premature position before we see exactly what we’re inheriting,” Prescott said when asked if Biden would lift the tariffs unilaterally if elected. “Consulting with allies is going to be a central part of that.”