GENEVA (CHATNEWSTV) — World Trade Organization Director-General Dr. Ngozi Okonjo-Iweala on Thursday expressed deep concern over the potential fallout from new U.S. trade measures, warning that they could trigger a broader decline in global commerce.
“The WTO Secretariat is closely monitoring and analyzing the measures announced by the United States on April 2, 2025,” Okonjo-Iweala said in a statement. “Many members have reached out to us, and we are actively engaging with them in response to their questions about the potential impact on their economies and the global trading system.”
The WTO estimates that the latest tariffs, along with others introduced since the start of the year, could shrink global merchandise trade volumes by about 1% in 2025, revising previous projections downward by nearly four percentage points.
“I’m deeply concerned about this decline and the potential for escalation into a tariff war with a cycle of retaliatory measures that lead to further declines in trade,” she said.
Okonjo-Iweala urged WTO members to work together to protect the global trading system, noting that despite recent restrictions, most international trade still operates under the organization’s Most-Favored-Nation terms. However, she pointed out that this share had dropped to 74% from 80% earlier this year.
“Trade measures of this magnitude have the potential to create significant trade diversion effects,” she said, calling on governments to “manage the resulting pressures responsibly to prevent trade tensions from proliferating.”
With global trade at a critical juncture, she emphasized the WTO’s role in facilitating dialogue to prevent economic conflict.
“The WTO was established to serve precisely in moments like this — as a platform for dialogue, to prevent trade conflicts from escalating, and to support an open and predictable trading environment,” she said. “I encourage members to utilize this forum to engage constructively and seek cooperative solutions.”
Editor: Gabriel Ani
