International Trade Secretary will champion the importance of a
strong, forward-looking approach to WTO reform when he attends
the G20 Ministerial meeting on Trade and Digital Economy in
Tsukuba, Japan this weekend (8-9 June).
Top of the UK Government’s agenda will be addressing global trade
tensions and seeking a resolution to issues around the WTO
Appellate Body.
The WTO Appellate Body resolves global trade disputes in a fair
and transparent way, however it now faces significant challenges
including the pace of decision-making and the stalemate in the
appointment of Appellate Body members.
will also be encouraging countries
to ensure the global trading system is fit for the
21st century for example by making progress in
creating new rules for digital trade.
International Trade Secretary said:
“The UK is one of the strongest defenders of the international
rules-based system and we will continue to champion a strong,
forward-looking approach to reform the World Trade Organization.
“Top of my agenda at the G20 meeting this weekend will be
addressing global trade tensions, seeking a resolution to issues
around the WTO Appellate Body, and making real progress on
digital trade rules that are fit for the
21st century.
“With the global economy facing significant headwinds, now is the
time for governments to come together to ensure a predictable and
transparent environment for businesses to trade and invest in
each other’s economies. This is crucial the shared prosperity of
billions of people around the world.”
During their discussions, Trade ministers will be considering
recommendations made by the B20 international business group,
which is comprised of businesses representatives from G20
countries.
Following a summit in Tokyo in March, the B20 has called on the
G20 to renew their commitment to the rules-based trading system
and to update the global trade rules so they work better for
today’s economy and help all countries to develop.
The CBI represented the UK at the Tokyo Summit and led a
delegation of British businesses, including BT and Diageo.
Ben Digby, CBI International Director, said:
“British businesses, both big and small, rely on the WTO as an
independent arbiter, providing transparency and certainty, as
they trade highly sought-after goods and services in markets
across the globe. But the WTO is heading into choppy waters, with
the Appellate Body facing risk of collapse in a few months.
“Firms may lose the closest thing they have to a level playing
field, and there is a danger the WTO quietly turns into an
organisation without the means of enforcing its rules, leaving
firms high and dry in key global markets.
“Business now has a golden opportunity to shape the WTO, and
future proof it for the globalised twenty-first century. We
strongly support the Government’s efforts to deliver a
multilateral solution that protects our shared rules and want a
firm commitment that G20 leaders will support them too.”
Bas Burger, CEO of BT’s Global division, said:
“As a provider of secure communications services to the top
multinationals across 180 countries, rules-based international
trade is crucial to BT and our partners. Our services enable
business customers to move ever increasing volumes of data
seamlessly and safely around the globe.
“Trade rules need to keep pace. A system fit for the today’s
economy must fully embrace the digital trade and e-commerce which
telecoms services underpin. All parties must work together to
ensure the updated rules are fair, transparent and enforceable.”
Wilson Del Socorro, Global Director of Government Affairs
of Diageo, said:
“Trade is the lifeblood of Diageo. Our brands are sold in
180 countries and so we require a global trading system that will
help to grow our brands for the future.
“We welcome the dialogue to improve the international trading
order and like other businesses are actively engaging in the
broader policy discussions, such as the B20, to ensure that the
rules governing trade remain fit for purpose.”
Dr Max Mendez-Parra, Senior Research Fellow, Overseas
Development Institute, said:
“The international rules-based system has been key in
facilitating the operation of the trade, investment and
development links that have benefitted many developing countries
in the last two decades. The G20 leaders must make a strong
commitment to enhance and update the multilateral rules and
institutions to continue their operation.”
G20 leaders, including Prime Minister , agreed in Buenos Aires last
December to support the necessary reform of the WTO. The 2019 G20
Summit Meeting will see leaders meet in Osaka on 28-29 June.
