WTO Annual Report 2024
Overview
The World Trade Organization (WTO) aims to help its members use trade to raise living standards, create jobs, and improve people's lives. The WTO operates the global trade rule system and helps developing economies build their trade capacity. It also provides a platform for negotiating trade agreements and resolving trade disputes.
Key Data and Trends
- Merchandise Trade: In 2023, merchandise trade volumes fell by 1.2% compared to a 3.0% increase in the previous year. Despite this decline, services trade grew significantly by 9%, particularly due to the post-pandemic surge in tourism.
- Total Trade: The value of total goods and commercial services trade in 2023 was $30.4 trillion, close to record highs. Merchandise trade volumes at the end of 2023 were 6% above their pre-pandemic peak in 2019, while the value of commercial services trade increased by 21% between 2019 and 2023, with digitally-delivered services seeing a more than 50% increase.
- Fisheries Subsidies Agreement: Nearly 80 members have formally accepted the Fisheries Subsidies Agreement, with the Agreement expected to enter into force soon. The WTO Fish Fund has received over CHF 14 million in contributions and pledges, ready to support developing economies once the Agreement takes effect.
- Digital Trade: Members extended the moratorium against levying customs duties on cross-border electronic transmissions for another two years. Efforts continue to reinvigorate the Work Programme on E-Commerce to help developing and least-developed countries build their digital economies.
Recent Developments
- 13th Ministerial Conference (MC13): Held in Abu Dhabi in February 2024, MC13 saw the entry into force of new disciplines for domestic regulation aimed at reducing services-related red tape. Members also agreed to extend the moratorium on customs duties on cross-border electronic transmissions and continued to make progress in e-commerce negotiations.
- Sustainable Development: Ministers engaged in a groundbreaking open-ended conversation on sustainable development, focusing on trade’s role in addressing economic, social, and environmental concerns. The UN’s COP28 Climate Change Conference in Dubai included a dedicated Trade Day, and the WTO Secretariat co-hosted a Trade House pavilion to showcase trade policy options for amplifying climate change policies.
- Inclusion: Important advances were made, including the formal adoption of WTO membership terms for Comoros and Timor-Leste, long-awaited decisions on special and differential treatment for developing countries, and the finalization of the Investment Facilitation for Development Agreement. Ministers also had a structured conversation on socio-economic inclusion, focusing on empowering women and enhancing trade's impact on society.
Future Outlook
The future of trade is services, digital, and green, emphasizing inclusivity. The WTO continues to play a crucial role in enabling members to leverage trade for sustainable development and resilience.