WTO members concerned over US import duty hike

Several WTO member countries today expressed concern over the US administration's decision to hike import duty on aluminium and steel products as they deliberated on a host of issues.

The two-day conference, which concluded today, had representations from 53 World Trade Organisation (WTO) member countries, including the US, China, and the EU.

The conference was also attended by a representative of the Pakistan High Commission in India.

Appointment of members of the appellate body of WTO, Doha Development Agenda, subsidy on fisheries, e-commerce, investment facilitation and gender issues were discussed. Besides, WTO members also deliberated on food security and special treatment for developing nations at their informal ministerial conference here.

 

Several member countries have expressed fear that the decision of the US administration to hike import duties on aluminum and steel have the "real potential" of escalation of trade war as other countries may respond with import restrictive measures.

Replying to a question in this regard, WTO Director General Roberto Azevedo said he was very concerned as such a move by the US "have very real potential for escalation".

"And that is something we should avoid and that is what we heard today. Many many countries saying we have a concern with it, there is potential for escalation and we have to proceed very carefully and try to work within framework of the WTO," he said.

This issue, he said should be resolved within the multilateral framework as this is the only to avoid a very disruptive and unpredictable scenario in global trade.

Commerce and Industry Minister Suresh Prabhu, in his concluding remarks at the ministerial, said almost all members underlined the need to "preserve and enhance" the functioning and credibility of the rule-based multilateral trading system.

With reference to matters related to farm sector, the minister said issues concerning reform in domestic support, a permanent solution on public stock holding for food security purpose, cotton and agriculture special safeguard mechanism were identified as priority areas in some interventions during the meeting.