Commentary
Uri Dadush
{
"authors": [
"Uri Dadush"
],
"type": "other",
"centerAffiliationAll": "",
"centers": [
"Carnegie Endowment for International Peace"
],
"collections": [],
"englishNewsletterAll": "",
"nonEnglishNewsletterAll": "",
"primaryCenter": "Carnegie Endowment for International Peace",
"programAffiliation": "",
"programs": [],
"projects": [],
"regions": [
"North America"
],
"topics": [
"Economy",
"Trade"
]
}
Source: Getty
Other
WTO Reform: The Time to Start Is Now
As economic crisis and burgeoning protectionist pressures demonstrate the urgency of strengthening trade rules, questions arise about the limitations of the World Trade Organization. The WTO needs to be reformed to be effective and remain relevant.
By Uri Dadush
Published on Sep 15, 2009
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.”
About the Author
Uri Dadush
Former Senior Associate, International Economics Program
Dadush was a senior associate at the Carnegie Endowment for International Peace. He focuses on trends in the global economy and is currently tracking developments in the eurozone crisis.
- The Labors of Tsipras
- Greece, Complacency, and the EuroIn The Media
Uri Dadush
Recent Work
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 Diverging U.S. and Israeli Goals in Iran Are Making the Endgame Even MurkierCommentary
The cracks between Trump and Netanyahu have become more pronounced, particularly over energy and leadership targets.
Eric Lob
- How the Hormuz Closure Is Testing the Korean President’s Progressive AgendaCommentary
The crisis is not just a story of energy vulnerability. It’s also a complex, high-stakes political challenge.
Darcie Draudt-Véjares
- A Tight Spot: Challenges Facing the Russian Oil Sector Through 2035Paper
Russian oil production is remarkably resilient to significant price changes, but significant political headwinds may lead to a drop regardless of economics.
Sergey Vakulenko
- Europe and the Arab Gulf Must Come TogetherCommentary
The war in Iran proves the United States is now a destabilizing actor for Europe and the Arab Gulf. From protect their economies and energy supplies to safeguarding their territorial integrity, both regions have much to gain from forming a new kind of partnership together.
Rym Momtaz
- The Other Global Crisis Stemming From the Strait of Hormuz’s BlockageCommentary
Even if the Iran war stops, restarting production and transport for fertilizers and their components could take weeks—at a crucial moment for planting.
Noah Gordon, Lucy Corthell
