China seeks WTO debate on global trade turbulence

February 18, 2025 (MLN): China has called for a debate at the World Trade Organization on "trade turbulence" and how the global trade watchdog should respond in an apparent reference to tariffs launched or threatened by the United States.

U.S. President Donald Trump has announced sweeping 10% tariffs on all Chinese imports, prompting Beijing to respond with retaliatory measures.

Beijing has also filed a WTO dispute against Washington, which could serve as an early test of Trump's stance toward the institution, as Reuters reported.

The WTO discussion, set to take place late on Tuesday or early Wednesday, will be the first time that mounting trade tensions will be formally addressed on the agenda of the watchdog's top decision-making body, the General Council.

An official at China's mission to the WTO said the ambassador was set to make a statement voicing "strong concerns" about unilateral and protectionist measures, without naming a country.

The ambassador is also expected to call on members to work together to counter such steps.

Director-General Ngozi Okonjo-Iweala has so far urged the WTO's 166 members to refrain from retaliating in the event of tariffs, in order to avoid "catastrophic" trade wars.

Trade delegates said they did not expect any immediate outcome from the meeting, but that countries' reactions could indicate the likelihood of an escalation of trade wars in response to planned U.S. measures.

Less than being a swipe at Washington, some delegates said they considered China's call for a debate more as an effort to show itself as compliant with WTO rules.

This posture can help China win allies in ongoing global trade negotiations.

"They want to look reasonable and responsible and like the best student in the class," said one delegate who was not authorised to speak publicly.

Tensions between the two top economies at the WTO long pre-date Trump's arrival.

Beijing has accused Washington of breaking rules, while Washington argues that Beijing does not deserve its "developing country" status, which grants special treatment under WTO rules.

As the Trump administration has announced plans to withdraw or disengage from other global organisations, the WTO has not yet been a major focus for the White House.

However, incoming U.S. Trade Representative Jamieson Greer has called the WTO "deeply flawed".

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