WTO cuts 2016 world trade growth forecast to 1.7%, cites wake-up call

Tuesday, 2016-09-27 22:27:59
 Font Size:     |        Print

Container boxes are seen at the Yangshan Deep Water Port, part of the Shanghai Free Trade Zone, in Shanghai, China September 24, 2016. Picture taken September 24, 2016. (Credit: Reuters)
 Font Size:     |  

The World Trade Organization cut its forecast for global trade growth this year by more than a third on September 27, reflecting a slowdown in China and falling levels of imports into the United States.

The new figure of 1.7%, down from the WTO's previous estimate of 2.8% in April, marked the first time in 15 years that international commerce was expected to lag the growth of the world economy, the trade body said.

The figures should be a wake-up call for governments, WTO Director-General Roberto Azevedo said in the six-monthly trade outlook report.

The data underlined concerns that, after a long period of growth through globalisation and reliance on global trade, governments are increasingly seeking to protect their own industries and promote domestic producers at the expense of foreign competitors.