Multilateral trade
WTO outcome “particularly concerning” for business, ICC says
Following the close of the World Trade Organization's 14th Ministerial Conference, ICC has issued a statement expressing concern at the failure of WTO Members to reach a concrete political agreement at a time of real strain on the global economy.
ICC Secretary General John W.H. Denton AO said:
“The failure of WTO members to reach a concrete political agreement in Yaoundé is particularly concerning at a time of real strain on the global economy.
“Business came to this ministerial looking for decisions that would rebuild confidence in the trading system and provide a clearer basis for planning and investment. Instead, the outcome risks generating yet more policy uncertainty at exactly the wrong moment from a real-economy perspective.
“There must now be a determined effort to resume talks in Geneva without delay. Restoring the WTO’s e-commerce moratorium must be an immediate priority. Exposing one of the few motors of global growth — digital services — to the threat of tariff barriers makes no sense in an already fragile economic environment.
“Members must also not allow the subject of WTO reform to drift. The Yaoundé package provides some useful space to kick-start a much-needed modernisation of the system but only a narrow window in which to act.
“The decision by 66 countries to operationalise the plurilateral e-commerce agreement is a positive sign that common-sense trade cooperation remains possible. This should be seen as a potential template for the more flexible approaches that will be needed to move the system out of its current paralysis.
“The ultimate question coming out of this conference is not whether reform of the WTO system is necessary, but which governments are prepared to step forward and build the coalition needed to advance it.”
