Trade Policy Review Body - Overview of developments in the international trading environment - Minutes of the meeting - 6 December 2022

OVERVIEW OF DEVELOPMENTS IN THE

                                       INTERNATIONAL TRADING ENVIRONMENT

MINUTES OF THE MEETING

6 December 2022

Chairperson: H.E. Mr Ángel Villalobos Rodríguez (Mexico)

INTRODUCTORY REMARKS BY THE CHAIRPERSON

1.       Good afternoon and welcome to this meeting of the TPRB, which was convened by Airgram WTO/AIR/TPR/136 on 22 November 2022.

2.       The purpose of this meeting is for Members and Observers of the Trade Policy Review Body to undertake their annual overview of developments in the international trading environment which are having an impact on the multilateral trading system, as provided for in Paragraph G of Annex 3 of the Marrakesh Agreement.

3.       As mentioned in the Airgram, today's discussion is assisted by the Director‑General's Annual Report which provides a comprehensive overview of the overall state of global trade, of significant developments in the implementation of trade policies by WTO Members and Observers, and an up‑date on several trade policy issues affecting the trading system for the period between mid‑October 2021 and mid‑October 2022. The Report was circulated in document WT/TPR/OV/25 on 22 November 2022.

4.       Before discussing the Report, let me briefly recall the purpose of the Trade Policy Review Mechanism. According to Annex 3 of the Marrakesh Agreement, the TPRM goal is to achieve greater transparency in, and understanding of, Members' trade and trade‑related policies and measures. The TPRM is not intended to serve as a basis for the enforcement of obligations under WTO Agreements, for dispute‑settlement purposes or to impose new policy commitments on Members.

5.       I think it is important to emphasise that these same fundamental principles apply to the periodic trade monitoring Reports by the Director‑General - such as the Annual Report presented today. The trade monitoring exercise is, above all, a transparency exercise. It is intended to be purely factual and has no legal effect on the rights and obligations of WTO Members.

6.       As you know, the preparation of these Reports relies on Members' timely and specific inputs to the trade monitoring exercise as well as on their notifications under the various WTO Agreements.

7.       For the current Report, 81 Members or 49% of the membership provided input, representing around 91% of world trade. This is, unfortunately, down from 60% of the membership for last year's Report.

8.       As I mentioned in July, to produce high quality, accurate and reliable Reports, it is essential that all Members and Observers participate to this exercise, engaging with the Secretariat during the request of information and verification process. Currently, some regions remain underrepresented in the coverage of the Report, and this is of concern. As you know, this and other issues are currently being discussed by Members in the context of the 7th Appraisal of the TPRM, with a view to further enhance our work.

9.       Now let me move briefly to the substance of this year's Report. The Report covers the wide ramifications of the many challenges the global economy is facing, including the war in Ukraine, climate change events, the food and energy security crises, and the consequences posed by the COVID‑19 pandemic. In addition, the Report covers a wide cross‑section of work going on in bodies across the WTO system.

10.    I do not wish to go into detail about the substantive findings of the Director‑General's Report. It speaks for itself, and I will shortly invite Director‑General, Dr Ngozi Okonjo‑Iweala, to share her views.

11.    On an overall note, the findings of the Report remind us of the fundamental challenges the global economy is facing today, the impact these are having on global trade and the role we, the WTO Members, can have in reverting the trend of slowing international trade.

12.    Equally important, from a transparency perspective, the Report allows us to take stock of the most recent trends and developments in trade and trade-policy making and hopefully this is helpful to the membership.

13.    Now, let me give the floor to the DG to introduce this Report. Subsequently, I will open the floor for comments from delegations.