CHINA – ENFORCEMENT OF INTELLECTUAL PROPERTY RIGHTS

On July 21, the World Trade Organization (WTO) issued a landmark ruling under the Multi-party Interim Appeal Arbitration Arrangement (MPIA) regarding the EU-China WTO dispute concerning anti-suit injunctions on standard-essential patents (DS611).

Case Proceedings：

On 7 December 2022, the European Union requested the establishment of a panel. At its meeting on 20 December 2022, the DSB deferred the establishment of the panel.

At its meeting on 27 January 2023, the DSB established a panel. Australia, Brazil, Canada, Colombia, India, Indonesia, Japan, Korea, Norway, Peru, the Russian Federation, Singapore, Switzerland, Chinese Taipei, Thailand, Ukraine, the United Kingdom, the United States, and Viet Nam reserved their third-party rights.

On 4 July 2023, the European Union and China informed the DSB that they had agreed to Procedures for Arbitration under Article 25 of the DSU in this dispute (“Agreed Arbitration Procedures”). Such procedures were entered into by the European Union and China to give effect to the communication JOB/DSB/1/Add.12 (“Multi-Party Interim Appeal Arbitration Arrangement Pursuant to Article 25 of the DSU (MPIA)”) and with the objective of setting a framework for an Arbitrator to decide on any appeal from any final panel report issued in this dispute, if the Appellate Body is not able to hear such an appeal under Articles 16.4 and 17 of the DSU.

On 2 November 2023, the Chair of the panel informed the DSB that, in accordance with the panel's timetable adopted following consultations with the parties, taking into account the parties' availability due to other commitments, the panel estimated that it would issue its final report to the parties not before the second half of 2024. The Chair apprised the DSB that the report would be available to the public once it was circulated to the Members in all three official languages, and that the date of circulation depended on completion of translation. On 11 December 2024, the Chair of the panel informed the DSB that, due to a combination of factors including logistics and the time required for thorough scrutinity of the many exhibits, the panel now expected to issue its final report to the parties by the end of the first quarter of 2025.

On 21 February 2025, the panel, having consulted with the parties, adopted Additional Working Procedures to facilitate arbitration under Article 25 of the DSU (“Additional Working Procedures”). On the same day, the panel issued its final report to the parties and informed them that the panel report would be circulated to Members, following translation, on 10 April 2025.

Further to a request by the European Union to suspend its work in accordance with Article 12.12 of the DSU with a view to initiating arbitration under the Agreed Arbitration Procedures, the panel granted the suspension, effective on 2 April 2025. The Panel further decided not to circulate its final report to Members unless it was subsequently requested to resume its work within the time-period specified in Article 12.12 of the DSU.

On 22 April 2025, the European Union filed a notice of recourse to Article 25 under the Agreed Arbitration Procedures. This notice, which the parties referred to as a “Notice of Appeal”, was circulated to the DSB on 24 April 2025. It included the full text of the panel report in the three official languages, transmitted by the panel to the parties, third parties, and the pool of arbitrators and, absent circulation by the panel to Members, thereby made the panel report public.

On 28 April 2025, China filed a “Notification of an other appeal” under Article 25 of the DSU, the Agreed Arbitration Procedures, and the Working Procedures for Appellate Review.

On 2 May 2025, Members were informed of the Arbitrators selected for this dispute and the election of the Chair.

On 21 July 2025, the final award was issued to the parties, and was notified to the DSB and the TRIPS Council in accordance with Article 25.3 of the DSU, in the three official languages of the WTO.

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