WTO ruling, IMF forecasting, and UN urging.
WTO judges in Geneva yesterday agreed with the U.S. that China unfairly discriminates against foreign suppliers of electronic-payment services by imposing requirements on them that aren’t applied to domestic companies. They rejected the U.S. argument that China UnionPay Data Co., the world’s fastest- growing bank-card network, monopolizes the handling of domestic- currency payment-card transactions.
“It is definitely a mixed bag for both parties,” Scott Lincicome, an attorney at White & Case LLP, said in a phone interview. “The one thing we can safely say for sure is that both sides are going to appeal.”
The forecast for 2% growth in the U.S. this year and 2.3% next year were also scaled down from previous estimates. China’s economy is expected to swell a whopping 8% this year and 8.5% in 2013, but both of those forecasts are lower than previous ones. The same is true for for India’s forecasts of 6.1% expansion for 2012 and 6.5% for 2013, both slashed 0.7 percentage points.
U.N. leader Ban Ki-moon was headed to China on Tuesday amid alarm over the spiraling violence in Syria and a diplomatic push to get Russia and China to back a tougher response to attacks by President Bashar Assad's regime. Ban's trip comes ahead of a U.N. Security Council vote this week on whether to allow sanctions and military intervention in Syria if Assad's regime or insurgent forces fail to comply with a U.N. peace plan. Russia and China have blocked previous efforts to sanction Syria.