Commentary
For the Middle Corridor to fulfill its promises, one of these routes must become scalable. At present, neither is.
Friedrich Conradi
{
"authors": [],
"type": "pressRelease",
"centerAffiliationAll": "",
"centers": [
"Carnegie Endowment for International Peace"
],
"collections": [],
"englishNewsletterAll": "",
"nonEnglishNewsletterAll": "",
"primaryCenter": "Carnegie Endowment for International Peace",
"programAffiliation": "",
"programs": [],
"projects": [],
"regions": [
"United States",
"North America"
],
"topics": [
"Economy",
"Trade"
]
}
REQUIRED IMAGE
Press Release
WTO reform is needed today
The languishing Doha Round of global trade talks elicits questions about the limitations of the World Trade Organization, just as economic crisis and burgeoning protectionist pressures demonstrate the urgency of strengthening trade rules.
Published on Sep 16, 2009
WASHINGTON, Sept 16—The languishing Doha Round of global trade talks elicits questions about the limitations of the World Trade Organization, just as economic crisis and burgeoning protectionist pressures demonstrate the urgency of strengthening trade rules. In a new policy brief, Uri Dadush explains why the WTO needs to be reformed to be effective and to remain relevant.
The WTO is increasingly bypassed in trade reform by unilateral, bilateral, and regional processes, and no new liberalization of trade in goods has come from multilateral negotiations since the institution was founded in 1995. Dadush examines the calls for change and outlines the questions that must be resolved for a successful reform process that will safeguard world trade.
Key Conclusions
- The WTO must adopt a more flexible approach to trade negotiations, tailored to the needs of individual countries and groups. The institution should move beyond multilateral, all-or-nothing negotiations that are bearing little fruit and find ways to leverage opportunities where liberalization is taking place.
- Though critical for the WTO’s credibility and to capitalize on eight years of negotiations, a conclusion of the diluted Doha Round will not negate the need for reform. Nor should discussion of reform wait until after the Doha Round has been completed—it might actually encourage progress.
- A formal discussion about reform should get underway during the WTO’s ministerial meeting in Geneva in November.
- The WTO is nowhere to be found in several areas of crucial concern, including food security, international financial regulation in the wake of the global financial crisis, and climate change.
“Since its inception in 1995, the World Trade Organization has been the guardian of stability and predictability in world trade, but it has failed to fulfill its promise as a source of new trade rules and liberalization,” writes Dadush. “Urgent issues have come to the fore with the crisis, including government procurement and financial regulation, and these are issues on which the WTO could be making major contributions. However, it is unrealistic to ask an organization to tackle major new challenges when its ability to deliver on such a large part of its core mission is unproven.”
###
NOTES
- Uri Dadush is director of Carnegie’s International Economics Program. He previously served as the World Bank’s director of international trade for six years and before that as director of economic policy for three years.
- The Carnegie International Economics Program (IEP) monitors and analyzes short- and long-term trends in the global economy, including macroeconomic developments, trade, commodities, and capital flows, and draws out policy implications. The initial focus of the Program will be the global financial crisis and the policy issues raised.
- The International Economic Bulletin draws on the expertise of Carnegie's global centers to provide a candid view of the economic crisis and its political implications. Addressing the momentous challenges of the economic downturn will require objectivity, and the ability to analyze the political dimensions of reforms around the world.
- Press Contact: David Kampf, 202/939-2372, dkampf@ceip.org
Carnegie does not take institutional positions on public policy issues; the views represented herein are those of the author(s) and do not necessarily reflect the views of Carnegie, its staff, or its trustees.
More Work from Carnegie Endowment for International Peace
- The Much-Touted Middle Corridor Transport Route Could Prove a Dead End
- The Iran War Shows the Limits of U.S. PowerArticle
If Washington cannot adapt to the ongoing transformations of a multipolar world, its superiority will become a liability.
Amr Hamzawy
- Where is the Groundwork for Lebanon’s Negotiations With Israel?Commentary
A prerequisite of serious talks is that the country’s leadership consolidates majority national support for such a process.
Michael Young
- The EU Equivocating on Turkey Is Bad GeopoliticsCommentary
Following Ursula von der Leyen’s gaffe equating Turkey to Russia and China, relations with Ankara risk deteriorating even further. Without better, more consistent diplomatic messaging, how can the EU pretend to be a geopolitical power?
Sinan Ülgen
- India’s Press Note 3 Gamble: Opening the FDI Door to ChinaArticle
On March 10, 2026, India’s Union Cabinet approved amendments to Press Note 3, a regulation that mandated government approval on all foreign direct investment (FDI) from countries sharing a land border with India. This amendment raises questions primarily about whether its stated benefits will materialize and if the risks have been adequately weighed. This piece will address the same.
Konark Bhandari
