The Group of Seven (G7) agreed that Special and Differential Treatment (SDT) in the World Trade Organization (WTO) must be demonstrated, in a context in which the debate includes China and other economies.
Despite being an export powerhouse, China wants to maintain special treatment in the WTO, which the United States opposes.
The G7 is an intergovernmental organization made up of Canada, France, Germany, Italy, Japan, the United Kingdom, and the United States.
As part of its dynamic, the heads of government of the member states, as well as the representatives of the European Union, meet at the annual G7 Summit.
Noting that the full application of WTO rules contributes to economic growth and development, the G7 believes that the TED is and must continue to be a tool to achieve the objectives of the WTO, supporting Members with demonstrable needs to participate in the WTO agreements, while reflecting the evolution of the world economy.
Special and Differential Treatment
In a statement by its Trade Ministers, the G7 stressed that TED aims to help the poorest and least integrated WTO Members apply WTO rules and make commitments commensurate with their economic needs and capabilities.
For the G7, restoring the credibility of the WTO as a negotiating forum requires a new approach to Special and Differential Treatment.
“Such an approach should combine a more specific focus on how to support the integration of least developed countries and low-income developing countries into the trading system, as well as greater differentiation in the measures provided based on the specific needs identified”, the G7 said in a statement.
Thus, the G7 called on advanced WTO members claiming developing country status to make full commitments in ongoing and future WTO negotiations.
«We applaud the fact that some WTO Members have indicated their intention to do so,» the Trade Ministers concluded.
Brazil, Singapore and South Korea have already agreed to renounce Special and Differential Treatment.
But China and India continue to claim it.
