WTO warns of trade war due to US tariffs
Baghdad/NINA/ - WTO Director-General Ngozi Okonjo-Iweala warned of the risk of a trade war following US President Donald Trump's decision to impose new tariffs.
In press statements today, she said that the tariffs announced by the United States on Wednesday, in addition to those imposed at the beginning of the year, could lead to a contraction in global trade in goods in 2025 of about one percent.
Okonjo-Iweala indicated that this contraction represents a downward revision of about four percentage points compared to previous forecasts, adding that many WTO members have inquired about the potential impact of US tariffs on their economies and the global trading system, explaining that they are closely monitoring and analyzing the US measures.
She expressed deep concern about the possibility of the situation escalating into a trade war with a cycle of retaliatory measures that would further deteriorate trade. She noted that trade measures of this magnitude could lead to significant trade diversions, calling for responsible handling of emerging pressures to prevent the escalation of trade tensions.
US President Donald Trump announced on Wednesday the imposition of comprehensive tariffs on US imports from various countries around the world, with the aim of supporting the US manufacturing sector. The tariffs on China amounted to 34 percent, and imports from the European Union were subject to 20 percent, in addition to tariffs of varying rates on a number of countries, and a minimum of 10 percent on US imports from all countries. / End
In press statements today, she said that the tariffs announced by the United States on Wednesday, in addition to those imposed at the beginning of the year, could lead to a contraction in global trade in goods in 2025 of about one percent.
Okonjo-Iweala indicated that this contraction represents a downward revision of about four percentage points compared to previous forecasts, adding that many WTO members have inquired about the potential impact of US tariffs on their economies and the global trading system, explaining that they are closely monitoring and analyzing the US measures.
She expressed deep concern about the possibility of the situation escalating into a trade war with a cycle of retaliatory measures that would further deteriorate trade. She noted that trade measures of this magnitude could lead to significant trade diversions, calling for responsible handling of emerging pressures to prevent the escalation of trade tensions.
US President Donald Trump announced on Wednesday the imposition of comprehensive tariffs on US imports from various countries around the world, with the aim of supporting the US manufacturing sector. The tariffs on China amounted to 34 percent, and imports from the European Union were subject to 20 percent, in addition to tariffs of varying rates on a number of countries, and a minimum of 10 percent on US imports from all countries. / End