WTO mulls future of global trade under cloud of Mideast war

The World Trade Organization (WTO) is facing a tense and uncertain moment as its 166 members gather in Yaoundé, Cameroon, for the 14th ministerial conference (MC14) amid global economic strain linked to the Middle East war.

WTO Director-General Ngozi Okonjo-Iweala called on members to use the meeting to “launch the next chapter of the multilateral trading system,” criticizing years of unilateral actions and the “collective failure” to resolve long-standing concerns.

Member countries are seeking ways to reform an organisation weakened by rising protectionism, stalled negotiations, and a crippled dispute settlement system. Key issues include overhauling decision-making rules, rebalancing trade obligations between developed and developing nations, and restoring the WTO’s ability to adjudicate disputes. However, deep divisions among members make breakthroughs uncertain. Experts, including Stuart Harbinson, say consensus on major reforms is unlikely.

The conference comes after US President Donald Trump returned to office, with Washington criticizing principles like “most-favoured nation” status and questioning the organisation’s relevance. In contrast, China and other developing countries stress the need for a rules-based system, warning against a shift toward power-driven trade.

Preparatory talks in Geneva showed that the United States and India were particularly dissatisfied with the proposed roadmap. Meanwhile, the WTO’s dispute settlement appeals body remains frozen since 2019 due to US opposition to new appointments, further highlighting the urgency for reform.

Observers note that Yaoundé is not just about adopting a roadmap—it is a test of whether the WTO can maintain its central mission of reducing trade barriers at a time when global tendencies are moving in the opposite direction. Former WTO chief Pascal Lamy remarked that the stakes involve determining the organisation’s continued relevance in the global trading system.