China has called on members of the World Trade Organization (WTO) to collectively safeguard and strengthen the rules-based multilateral trading system in order to tackle heightened trade turbulence, according to a Chinese envoy.
The current global economic and trade situation continues to be "marked by increasing turbulence," Li Yongjie, head of the Permanent Mission of China to the WTO, told delegates during a meeting of the WTO's General Council from October 6 to 7.
For the fourth time, China introduced an agenda item – calling for sustained action under its proposed "Stability, Development and Reform" (SDR) approach, which emphasizes stability as the cornerstone, development as the priority, and reform as the pathway to enhancing the resilience of the multilateral trading system.
Li noted that the U.S.trade policies have disrupted global supply chains and markets, becoming a major source of global instability. The United States is using unilateral tariffs to coerce some WTO members into signing bilateral agreements, which infringes upon the legitimate rights and interests of many third parties, she added.
This has led to a "power-based" trade relationship that is gradually eroding the "rules-based" multilateral trading system, and China expresses serious concerns over this, she said.
The Chinese representative outlined three recommendations in response to the escalating trade turbulence in the world: first, to enhance transparency and monitoring; second, to collectively reaffirm commitment and adherence to the rules-based multilateral trading system; and third, to take concrete actions to promote pragmatic outcomes within the WTO system.
Representatives from the EU, Brazil, Australia, Switzerland, Pakistan and other members called for upholding the fundamental principles of the WTO and advancing its reform.
On September 24, China presented a position paper to the WTO, about China's stance on special and differential treatment issues in the WTO.
During the meeting of the WTO's General Council, China took the initiative to set the agenda and clearly outlined its stance on special and differential treatment within the WTO, which generated a strong response from WTO members, especially among many developing countries.
Li said that as a major developing country that meets its responsibilities, China has consistently striven to contribute to global development. Within the WTO framework, China actively engages in multilateral trade negotiations, supports initiatives for trade facilitation and aid, and advocates for trade as a means to drive development.
China's stance on special and differential treatment is not only a commitment to upholding the multilateral trading system but also a way to prioritize development issues within the WTO and to actively implement the Global Development Initiative, Li said.
Li said that China's status and identity as a developing country have not changed, emphasizing its role as a key member of the Global South.
China will continue to support developing nations in the WTO in their pursuit of legitimate rights and interests, and will actively promote inclusive and equitable development in the context of economic globalization, Li said.
Representatives from 45 parties, including the EU, Switzerland, Brazil, Pakistan, and Nigeria, spoke on behalf of over 100 WTO members, expressing praise for China's significant initiatives.
Jamaica and Senegal lauded China's position statement as a historically significant move, underscoring its strong commitment to multilateralism. They pointed out that, given the current challenges, this stance helps uphold a rules-based multilateral trading system.
Pakistan, Egypt, and Barbados also praised China for showcasing itself as a responsible major developing country, They noted that this approach fosters unity among developing countries and supports progress on the WTO's development agenda.
Ghana, Sierra Leone, and other members thanked China for its constructive stance and leadership on special and differential treatment issues in the WTO. They expressed a desire to work with China to promote inclusive development.
Singapore pointed out that China's actions demonstrate confidence in its own development and a commitment to strengthening the multilateral trading system, which is of great significance to the WTO.
The EU, Australia, Switzerland, and Norway welcomed China's significant decision, believing it will inject new momentum into WTO reform.
China calls on WTO members to tackle trade tensions by strengthening multilateral trading system
