Bargaining chips? State intervention in the semiconductor sector

Location
Moot Court Room,
Old College
Abstract
In a context often described as one of geopolitical rivalry, the world's largest economies have increasingly intervened in global markets pursuing objectives such as "economic security", "resilience", and even "self-sufficiency", all of which ultimately seek to influence the location of global economic activity in a manner that contradicts the liberal orientation underpinning the multilateral trade regime. One of the areas where such government geoeconomic measures are more visible is the semiconductor industry, an economic sector that benefited significantly from the liberal orientation of the multilateral trade regime.

Drawing on recent policies adopted by major economies affecting the semiconductor sector, the presentation will address the following questions: what logic renders intelligible this type of government intervention and how do these measures differ from other types of government action such as economic sanctions? Can trade law accommodate such measures? If not, what kind of trade law rules can be expected in the future, particularly in the context of the WTO reform agenda?

The presentation will reveal a paradox that trade lawyers and policymakers need to take into account: while such interventionist measures sit in tension with trade law, they are likely to continue inspiring government policies because they are consistent with a geoeconomic logic. Understanding the operation of this logic is relevant as WTO members discuss realistic possibilities for trade regulation, particularly on foundational rules such as those on subsidies, non-discrimination as well as the general and security exceptions.

Speaker
Henrique Choer Moraes. PhD at Katholieke Universiteit Leuven (Belgium) where he is currently a Research Associate. Diplomat with the Ministry of Foreign Affairs of Brazil since 2004 (currently Deputy Head of Mission - Embassy of Brazil in The Hague).