Decrease in new trade restrictions

Between mid-October 2016 and mid-May 2017 World Trade Organisation (WTO) members recorded the lowest monthly average of new trade restrictions since the financial crisis of 2008, according to the director-general’s mid-year report on trade-related developments.

Director-general Roberto Azevêdo welcomed this news, and urged WTO members to show continued moderation. The report also shows that the trade coverage of the trade facilitating measures was significantly higher than that of the restrictions.

The report calls on members to continue improving the global trading environment, including by implementing the WTO Trade Facilitation Agreement which entered into force in February, and working together to achieve a successful outcome at the 11th WTO Ministerial Conference in December.

The report shows that 74 new trade-restrictive measures were initiated by members during the review period, including new or increased tariffs, customs regulations and quantitative restrictions, amounting to almost 11 new measures per month. This constitutes a decrease over the previous review period (mid-October 2015 to midOctober 2016), where an average of 15 measures per month were recorded, and marks the lowest monthly average over the past decade.

During the same period, WTO members applied 80 new measures aimed at facilitating trade, including eliminating or reducing tariffs and simplifying customs procedures. This marks the second lowest monthly average since the trade monitoring exercise began in 2008.

The trade coverage of import-facilitating measures ($183bn) was more than three times the estimated trade coverage of import-restrictive measures ($49bn) and more than six times higher than the coverage estimated for trade remedy initiations ($27bn).

“The larger trade coverage of import facilitating measures is a positive development and WTO members are working to improve the global trading environment,” said Azevêdo.