Redefining Global Trade: WTO's Call for Reform Amid Geopolitical Shifts

Ngozi Okonjo-Iweala, the WTO chief, urges overhauling global trade rules due to recent geopolitical tensions and challenges. She highlights issues such as the paralysis of the dispute-settlement mechanism and the lack of transparency in subsidies. Failure to achieve reforms could lead to a fragmented global trade system.

The World Trade Organization's chief, Ngozi Okonjo-Iweala, has called for an overhaul of global trade rules, emphasizing that the old world order has changed irrevocably. This call comes in response to a year of turmoil intensified by U.S. tariffs and broader geopolitical tensions.

Speaking at a four-day meeting in Cameroon, Okonjo-Iweala highlighted critical issues facing the WTO, including the paralysis of its dispute-settlement mechanism. She warned that without reform, countries might abandon the ideal of a rules-based global trade system and start imposing their own regulations.

The meeting, attended by diplomats and trade officials, also addressed concerns about the decision-making process and transparency in subsidies. Okonjo-Iweala cautioned that mistrust could hinder new rule agreements, with countries like the U.S., EU, Britain, and China divided over a detailed work plan.

(With inputs from agencies.)