The US has entered a new era of crisis. President Biden has just been inaugurated. He faces historical challenges to return the US to global leadership. The primacy purpose of this article is to discuss national security and trade policy in the new Biden administration. First, I look at the historic and dubious claims made by the Trump administration in utilizing national security as a cover for protectionist trade actions, as well as at the federal court cases addressing these claims. I then assess the cases that have come before the WTO over the last two years, raising for first time the issue of the national security exception under GATT Article XXI. Finally, I conclude that President Biden’s overwhelming priority is to resurrect American democracy and alliances. But he will also need to address a broad range of trade issues and to restrict reliance on national security as a cover for populist and protectionist policies.
The US has invoked Article XXI of the GATT 1994 to justify its tariff measures on imports of steel and aluminum. However, the US’ tariff measures are not imposed for the protection of the US “essential security interests” but for economic and trade reasons. They do not satisfy the conditions listed under Article XXI (b) (i) to (iii) and should not be justified by them. They should not be considered as either national security measures or safeguard measures, but as ordinary trade restriction measures that are inconsistent with the WTO rules and the US obligations. A panel or the Appellate Body not only has the jurisdiction to review this dispute, but is also capable of making findings and providing a recommendation. Even if the US has the discretion to impose tariff measures under Article XXI (b), whether it has been acted in good faith, is still subject to the WTO review. As regards the tariff measures, the US has not acted in good faith.
New national security (NNS) represents a twenty-first century’s sociological paradigm on which the law is based on and is characterized by multiple actors, wide covering, low predictability, subjective perception, dual nature, and rampant diffusion. The emergence and expansion of the NNS prompts a highly advanced perspective to the rule of law at both the national and international levels, specifically, the relationship between international and domestic law. In this context, traditional approaches, ‘international approach’ or ‘national approach,’ are insufficient, so that a new ‘managerial approach’ is thus needed. The legal practice in relation to national security of China, a rising great power, attracts close attention in the international society. Furthermore, since Chinese conception of national security has its own ‘Chinese characteristics,’ how China will enforce its national security law in the context of international law remains to be seen. The NNS will lead profound sociological transformation upon which all legal orders are based.