The United States attacks the WTO on the first day of its ministerial conference

The United States has criticized the World Trade Organization at the opening of a ministerial conference in Yaoundé on Thursday, with China taking the opposite stance by defending the WTO and calling to “oppose unilateralism and protectionism.”

“The trade policy measures of the United States are a corrective response to a trade system, embodied by the WTO, that has endorsed and contributed to serious and persistent imbalances,” said US Trade Representative Jamieson Greer.

Members of the organization are gathering in Cameroon until Sunday to try to revitalize an institution weakened by geopolitical tensions, negotiation deadlocks, and the rise of protectionism, as the war in the Middle East poses a serious threat to global trade.

“The global trade system is experiencing its worst disruptions in 80 years,” said WTO Director-General Ngozi Okonjo-Iweala, who also pointed out the “unilateralism that we are witnessing.”

The WTO, struggling to reach agreements due to the consensus rule, must reform multiple aspects to overcome a deep crisis questioning its central role in regulating international trade.

“The reform should lead to a WTO (…) capable of responding to today’s challenges and restoring confidence in the multilateral trading system,” argued Cameroonian Minister of Commerce Luc Magloire Mbarga Atangana.

Several African countries, including Gabon, the Democratic Republic of the Congo, and Senegal, emphasized the importance of maintaining the “special and differential treatment” that provides more flexibility to developing countries.

– “Failure of multilateral institutions” –

Countries differ on the objectives of the reform.

While the US Trade Representative highlighted the “failure of multilateral institutions and negotiations to establish fairness in market access and fair play rules,” Chinese Commerce Minister Wang Wentao came to the defense of the institution.

He called on countries to “unite and stay on course to firmly support the rules-based multilateral trading system” as well as to “jointly oppose unilateralism and protectionism.”

“The European Union is committed to an open, fair, and rules-based multilateral trading system, with a modernized WTO at its core,” echoed EU Trade Ministers in a statement adopted alongside the 14th ministerial conference.

On the American side, one of the main demands is the revision of the WTO’s fundamental principle of “most-favored-nation” (MFN) treatment, which guarantees equal treatment to all trading partners, conflicting with Donald Trump’s trade policy.

For now, only the EU has indicated not opposing a discussion on this matter, while developing countries strongly advocate for maintaining this principle.

– Roadmap –

The US, China, and the EU agree on the need to consider a rules framework in which interested countries can move forward to engage in closer economic cooperation, including through plurilateral agreements. India, however, does not approve.

“The incorporation of plurilateral outcomes in the WTO framework should be based on consensus and not infringe on the existing rights of non-parties or impose additional obligations on them,” said Indian Minister of Commerce and Industry Piyush Goyal on Thursday.

No significant agreement is expected in Yaoundé, but the WTO hopes its members will succeed in adopting a roadmap for reform, aiming to achieve a more concrete outcome at the next ministerial meeting.

Several members seek to amend the organization’s decision-making procedures, which follow the consensus principle, as well as review rules related to developing countries and those concerning competition conditions, and revive the mechanism for settling trade disputes.

Published on March 26 at 8:13 pm, by AFP.