WTO News

1. DG Okonjo-Iweala: WTO “has important tools worth preserving”

   At a meeting of the WTO’s General Council on 6-7 October, Director-General Ngozi Okonjo-Iweala once again underlined the need for fundamental reform of the organization but also highlighted that the WTO “provides important tools that are worth preserving.” The facilitator for the ongoing reform talks delivered his latest update report on the exchanges. WTO members also addressed current developments in global trade, ongoing work and initiatives, and other issues during their two-day meeting, while Saudi Arabia indicated its readiness to host the organization’s 15th Ministerial Conference.

2. AI goods and frontloading lift world trade in 2025 but outlook dims for 2026

   Global merchandise trade outpaced expectations in the first half of 2025, driven by increased spending on AI-related products, a surge in North American imports ahead of tariff hikes, and strong trade among the rest of the world. In response, WTO economists raised the 2025 merchandise trade growth forecast to 2.4% (up from 0.9% in August). However, the 2026 projection has been lowered to 0.5% (from 1.8%). Global services exports growth is expected to slow from 6.8% in 2024 to 4.6% in 2025 and 4.4% in 2026.

3. WTO members discuss professional qualification recognition and other services trade issues

   The WTO Council for Trade in Services met on 2 and 3 October to discuss how to facilitate the recognition of professional qualifications to promote services trade and development. Members also considered the way forward for a proposal in support of least-developed countries and discussed various services trade concerns.

4. MSME Working Group reviews new trade initiatives, highlights exemplary businesses

   The Informal Working Group on Micro, Small and Medium-sized Enterprises (MSMEs) on 3 October reviewed recent initiatives in international fora aimed at empowering small businesses through trade and highlighted preparations for the 14th Ministerial Conference (MC14). Several small businesses were showcased and participants shared experiences on helping companies transition from the informal economy.

5. WTO members share tools and insights to advance fossil fuel subsidy reform

   WTO members participating in the Fossil Fuel Subsidy Reform (FFSR) initiative met on 2 October to share experiences on fiscal tools and programmes for subsidy reform, as well as on fossil fuel subsidies provided to emissions-intensive sectors. They also reviewed work on rolling back crisis-related energy support measures and enhancing transparency of fossil fuel subsidies.