Statement delivered by Deputy Permanent Representative, Hiddo Houben
- The European Union greatly values the benefits that the WTO has brought to all partners over the past 30 years - or 80 years if we include the GATT period. World trade has flourished under predictable, transparent rules and low tariffs.
- The EU is deeply concerned with the introduction by US government of universal and sectoral tariffs that affects all WTO members, including the EU. This is a major blow to the world economy and the multilateral trading system.
- The tariffs are in contradiction with the most basic rules and principles of the WTO, and cannot be justified by national security, leading to uncertainty for businesses, disrupting supply chains and causing higher prices for consumers around the world.
- Moreover, it is concerning that some of the most vulnerable least developed members of the WTO are now subject to the highest US tariffs.
- This is not to say the EU is a defender of the status quo. In fact, like US the EU has long been calling for WTO reform. This is because the EU shares some of the US concerns regarding serious deficiencies in global trading system, including the impact of China’s policies and practices that lead to market distortions and overcapacity with negative spillovers for all WTO members .
- However, such tariffs on all trading partners as first and last tool will not fix these imbalances. We strongly urge the US to address concerns through and dialogue negotiations within this organization.
- The EU remains committed to an open, rules-based and predictable global trading system that benefits all members . We will continue to engage in constructive dialogue and cooperation in the WTO, supporting efforts to make the global trading system fit for the realities of the current global economy. And we will continue to build bridges with all partners who, like us, care about fair and rules-based trade as the basis for shared prosperity.
