Taiwo Popoola
The Director-General of the World Trade Organization (WTO, Dr Ngozi Okonjo-Iweala, has stated that the organisation is “monitoring and analysing” the tariffs announced by US President Donald Trump on 2 April.
In a statement issued on Friday, Dr Okonjo-Iweala confirmed: “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.”
During a speech delivered before signing the executive order, President Trump declared a trade offensive against nations he described as “foreign cheaters”.
The newly imposed trade levies include a 20 per cent tariff on the European Union, 34 per cent on China, 26 per cent on India, and 49 per cent on Cambodia.
Dr Okonjo-Iweala observed that “the recent announcements will have substantial implications for global trade and economic growth prospects.”
According to her: “While the situation is rapidly evolving, our initial estimates suggest that these measures, alongside others introduced since the start of the year, could result in an overall contraction of approximately 1 per cent in global merchandise trade volumes this year—a downward revision of nearly four percentage points from previous projections.
“I am deeply concerned about this decline and the potential for escalation into a tariff war, with a cycle of retaliatory measures leading to further reductions in trade.”
