Reforming global trade rules is tough but doable

The head of the World Trade Organization stressed the importance of reforming the global trade body to prevent further trade wars but warned it would be “very tough” amid high geopolitical tensions.

The 27-year-old global trade body, under pressure to prove its relevance, was due to have held a major ministerial meeting this week and a plan to update the global trade rule book was among the key topics.

However, due to travel curbs linked to the Covid variant Omicron, further dampening already dim hopes for progress.

Asked if the WTO was capable of reform, Ngozi Okonjo-Iweala said in an interview at the Reuters Next conference: “Absolutely. Whether it will be easy to do is another thing.”

“I think it will be very tough because of the lack of trust among members.”

The WTO’s top appeals chamber, the Appellate Body, has been disabled since 2019 when the administration of former U.S. President Donald Trump blocked judge appointments.