Faced with massive critique, the European Commission announced a consultation on investor-to-state dispute settlement (ISDS).
ISDS gives multinationals the right to sue states before special tribunals if changes in law may lead to lower profits than expected. Multinationals can challenge reform of copyright and patent law, challenge environmental and health policies.
The Commission even announced the publication of a proposed EU text. That seems a step forward.
But a diplomatic source told EU Trade Insights that other trade deals are unlikely to change. For instance the trade agreement with Canada also contains ISDS.
So the Commission will hold a consultation on ISDS that will attract the attention, and secretly advance ISDS in other agreements…
All ISDS negotiations will have to put on hold.
Let’s not forget: ISDS is not acceptable in the agreement with the US, not acceptable in the agreement with Canada, not acceptable in the agreement with Singapore, not acceptable in any agreement.