Study on WTO Reform and China’s Strategy Amid China-US Trade Tensions

Research Article
Open access

Study on WTO Reform and China’s Strategy Amid China-US Trade Tensions

Yichen Zuo 1*
  • 1 Southwest University of Political Science and Law    
  • *corresponding author 2326261483@qq.com
LNEP Vol.97
ISSN (Print): 2753-7056
ISSN (Online): 2753-7048
ISBN (Print): 978-1-80590-137-2
ISBN (Online): 978-1-80590-138-9

Abstract

As the global economic landscape undergoes profound changes, the international trade system faces new challenges. By taking unilateral actions to weaken the WTO dispute settlement mechanism (DSM), the United States has effectively obstructed the enforcement of global trade rules, which has intensified trade friction and increased uncertainty in the international market. These developments not only threaten the multilateral trade system but also hinder the global economic recovery, underscoring the urgent need for WTO reform to enhance its fairness and effectiveness. The paper explores the role of the WTO in the global trading system and its limitations, particularly in the context of China-US trade friction. It specifically aims to examine the weaknesses of the WTO DSM, its potential directions for reform, and to propose a response strategy for China to advance the improvement of global trade rules. Through literature review and case study, combined with international law and global economic governance theories, the standpoints of various countries are compared and analyzed, and the feasible path of WTO reform is explored. The results show that the weakening of the WTO DSM has affected the global trade order, and its effectiveness can be enhanced through rule reshaping, multilateral cooperation and mechanism optimization.

Keywords:

China-US Trade Friction, Dispute Settlement Mechanism (DSM), Multi-Party Interim Appeal Arbitration Arrangement (MPIA), WTO Reform, China’s Trade Strategy

Zuo,Y. (2025). Study on WTO Reform and China’s Strategy Amid China-US Trade Tensions. Lecture Notes in Education Psychology and Public Media,97,26-32.
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References

[1]. Cui, X.C. (2020) Difficulties and Reform Countermeasures of WTO. Northern Economy and Trade, 07: 19-20.

[2]. Chen, H.Q. (2015) Reform of WTO Decision-Making Mechanism. Jinan University.

[3]. Xu, Z.Z. (2023) Study on the trade friction between China and the United States under the great change that has not been seen in a hundred years. Jiangxi Normal University.

[4]. Yin, M.T. and Zhang, J. (2022) From Containment of Engagement to Containment of Competition: The Nature of US-China Trade Friction and China’s Response[J]. Journal of Tianjin Normal University, 03: 68-74.

[5]. World Trade Organization. (1995) Establishment of the Appellate Body, Recommendations by the Preparatory Committee for the WTO (WT/DSB/1). Retrieved from https://docs.wto.org

[6]. Yang, G.H. (2023) The Crisis Process and Future Development of the Appellate Body of the World Trade Organization.. Economic and Trade Law Review, 03: 37-58.

[7]. Hu, J.G. and, Chen, Y.J. (2022) On the Crisis of the WTO and Its Resolution--The Perspective of “True Multilateralism. Judicial Reform Review, 02: 255-273.

[8]. Ye, Y. and Zhang, X.J. (2021) Legal Application of China’s Blocking Law System from the Perspective of EU Practice. Application of Law, 10: 136-152.

[9]. Wolff, H. (2006) Unilateral Economic Sanctions: Necessary Foreign Policy Tool or Ineffective Hindrance on American Businesses.. Houston Business and Tax Law Journal.

[10]. Zhou, Y.R. (2023) Judicial practice of U.S. unilateral economic sanctions and China’s response. Anhui University of Finance and Economics.

[11]. Chen, M. (2022) Legal Regulation of Unilateral Economic Sanctions and Counter-Sanctions--An Appraisal of the Anti-Foreign Sanctions Act[J]. Economic and Trade Law Review, 04: 1-17.

[12]. Li, N. (2025) Three Years of Growth, Achieving More with RCEP. International Business Daily.

[13]. Yang, Y.H. (2024) Differences between the Provisions of the Three Agreements of CPTPP, CAI and RCEP and the Implications for China. China Market, 02: 13-16.

[14]. Ji, W.H. (2023) WTO Dispute Settlement Mechanism Reform: Progress, Challenges and Program Construction[J]. International Economic Review, 06:58-74+5.

[15]. Li, G.Y. (2024) Reform of the WTO Dispute Settlement Mechanism and Reconstruction of International Law[J]. Industry and Technology Forum, 23(18): 32-34.

[16]. Liu, Y. (2023) MPIA: An Experiment in the Rules and Practice of WTO Appellate Review Mechanism Reform[J]. Law Review, 41(03): 174-186.

[17]. Jara, A. and Tan, X.W. (2025) The Current Situation, Challenges and China's Role in WTO Reform. International Economic Review, 1-25.

Cite this article

Zuo,Y. (2025). Study on WTO Reform and China’s Strategy Amid China-US Trade Tensions. Lecture Notes in Education Psychology and Public Media,97,26-32.

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About volume

Volume title: Proceeding of ICGPSH 2025 Symposium: The Globalization of Connection: Language, Supply Chain, Tariff, and Trade Wars

ISBN：978-1-80590-137-2(Print) / 978-1-80590-138-9(Online)
Editor：Enrique Mallen, Canh Thien Dang
Conference website: https://2025.icgpsh.org/London.html
Conference date: 25 June 2025
Series: Lecture Notes in Education Psychology and Public Media
Volume number: Vol.97
ISSN：2753-7048(Print) / 2753-7056(Online)

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References

[1]. Cui, X.C. (2020) Difficulties and Reform Countermeasures of WTO. Northern Economy and Trade, 07: 19-20.

[2]. Chen, H.Q. (2015) Reform of WTO Decision-Making Mechanism. Jinan University.

[3]. Xu, Z.Z. (2023) Study on the trade friction between China and the United States under the great change that has not been seen in a hundred years. Jiangxi Normal University.

[4]. Yin, M.T. and Zhang, J. (2022) From Containment of Engagement to Containment of Competition: The Nature of US-China Trade Friction and China’s Response[J]. Journal of Tianjin Normal University, 03: 68-74.

[5]. World Trade Organization. (1995) Establishment of the Appellate Body, Recommendations by the Preparatory Committee for the WTO (WT/DSB/1). Retrieved from https://docs.wto.org

[6]. Yang, G.H. (2023) The Crisis Process and Future Development of the Appellate Body of the World Trade Organization.. Economic and Trade Law Review, 03: 37-58.

[7]. Hu, J.G. and, Chen, Y.J. (2022) On the Crisis of the WTO and Its Resolution--The Perspective of “True Multilateralism. Judicial Reform Review, 02: 255-273.

[8]. Ye, Y. and Zhang, X.J. (2021) Legal Application of China’s Blocking Law System from the Perspective of EU Practice. Application of Law, 10: 136-152.

[9]. Wolff, H. (2006) Unilateral Economic Sanctions: Necessary Foreign Policy Tool or Ineffective Hindrance on American Businesses.. Houston Business and Tax Law Journal.

[10]. Zhou, Y.R. (2023) Judicial practice of U.S. unilateral economic sanctions and China’s response. Anhui University of Finance and Economics.

[11]. Chen, M. (2022) Legal Regulation of Unilateral Economic Sanctions and Counter-Sanctions--An Appraisal of the Anti-Foreign Sanctions Act[J]. Economic and Trade Law Review, 04: 1-17.

[12]. Li, N. (2025) Three Years of Growth, Achieving More with RCEP. International Business Daily.

[13]. Yang, Y.H. (2024) Differences between the Provisions of the Three Agreements of CPTPP, CAI and RCEP and the Implications for China. China Market, 02: 13-16.

[14]. Ji, W.H. (2023) WTO Dispute Settlement Mechanism Reform: Progress, Challenges and Program Construction[J]. International Economic Review, 06:58-74+5.

[15]. Li, G.Y. (2024) Reform of the WTO Dispute Settlement Mechanism and Reconstruction of International Law[J]. Industry and Technology Forum, 23(18): 32-34.

[16]. Liu, Y. (2023) MPIA: An Experiment in the Rules and Practice of WTO Appellate Review Mechanism Reform[J]. Law Review, 41(03): 174-186.

[17]. Jara, A. and Tan, X.W. (2025) The Current Situation, Challenges and China's Role in WTO Reform. International Economic Review, 1-25.

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