The WTO's Critical Crossroads: EU and CPTPP Call for Urgent Reforms

The EU and the CPTPP urge significant reforms for the WTO, emphasizing the need for enhanced cooperation. They seek to tackle market-distorting practices and reinforce supply chain resilience. The EU suggests revisiting the WTO's Most Favoured Nation principle, particularly concerning China, amid recent US tariffs.

The World Trade Organisation is at a 'critical juncture' and requires major reforms, according to statements from the European Union and the Comprehensive and Progressive Agreement for Trans-Pacific Partnership. Their comments came after a meeting on the sidelines of the WTO ministerial conference in Cameroon.

In a joint statement, both groups emphasized the necessity for 'urgent, deep, comprehensive, and inclusive reform' within the WTO amid growing tensions in the global trade system. They aim to enhance collaboration among WTO members to support trade system improvements and address issues like trade diversification and supply chain resilience.

The EU and CPTPP expressed concerns over 'market-distorting practices' and economic coercion. They highlighted the adverse impact of recent US tariffs and proposed a reassessment of the WTO's Most Favoured Nation principle, focusing on trade relations with China. EU Trade Commissioner Maros Sefcovic emphasized that reforms are essential to prevent deeper cooperation among like-minded countries as an alternative.

(With inputs from agencies.)