WTO Deeply Divided Over Trade Reform Amid Mideast War

Divisions among the World Trade Organization’s 166 members threaten to overshadow its 14th ministerial conference, which opened Thursday in Yaoundé, Cameroon. The four-day meeting aims to revitalise the institution amid global economic turmoil linked to the Middle East war and rising protectionism.

The atmosphere ahead of the talks was described as “tense” by a Western diplomatic source, reflecting deep fractures within the global trading system. WTO Director-General Ngozi Okonjo-Iweala urged members to “launch the next chapter of the multilateral trading system,” criticising “the unilateralism we have been seeing” and a “collective failure” to address longstanding issues.

The conference, the WTO’s supreme decision-making body, convenes as the organisation struggles with geopolitical tensions and a paralysed dispute settlement system. Its appellate body has been non-functional since 2019 after the United States blocked new judge appointments. This year’s meeting follows the inconclusive 13th ministerial in Abu Dhabi, where talks on fisheries and agriculture stalled.

Several members, including the European Union and Britain, have called for urgent reform. European Trade Commissioner Maros Šefčovič stressed the need for “serious” reform to address overcapacity and unfair market policies, while Britain warned the WTO risked “irrelevance” without change. Key reform proposals include modifying the consensus-based decision-making rule, revisiting special treatment for developing economies, and restoring the dispute system.

However, divergent national interests make breakthroughs uncertain. “The membership is too divided on the substantive issues,” said Stuart Harbinson of the European Centre for International Political Economy. The return of Donald Trump to the U.S. presidency adds complexity; his administration has pushed for a shift toward reciprocal, bilateral deals. U.S. Trade Representative Jamieson Greer stated the WTO “needs to change” to remain relevant, signalling continued U.S. opposition to the “most-favoured-nation” principle. China, aligning with many developing nations, insists this rule must “remain the bedrock of the WTO,” advocating for a rules-based over a power-based system.

With the Middle East conflict adding pressure to global supply chains, the Yaoundé meeting’s outcome may determine whether the WTO can retain its core mission of reducing trade barriers. As former WTO chief Pascal Lamy noted, the stakes extend beyond a reform roadmap to the organisation’s fundamental role in an era of rising protectionism.

Leave a Comment

Your email address will not be published. Required fields are marked *

Recent News

CIBN elects Alabi as new president

CIBN Elects Alabi as 24th President

Bad Bunny Super Bowl halftime show: See it now if you missed it

Bad Bunny Super Bowl Halftime with Gaga, Martin on YouTube

Kwankwaso ‘ll not be allowed to contest on our platform – NNPP — Daily Nigerian

Kwankwaso defects to ADC for 2027 opposition unity

'National shame' - Peter Obi reacts to terrorists' attack in Niger

Obi Blasts Electoral Law, Alleges Govt Plot Against 2027 Bid

Scroll to Top