The World Trade Organization (WTO) has expressed concern over the potential escalation of trade tensions between the United States and China, warning that such a development could disrupt global economic recovery and affect supply chains worldwide.
WTO Director-General, Dr. Ngozi Okonjo-Iweala, stated this during a press briefing at the organization’s headquarters in Geneva, noting that ongoing disputes and tariff threats between the world’s two largest economies pose a significant risk to international trade stability.
“The WTO is deeply concerned about the renewed rhetoric and possible escalation of tensions between the United States and China. These two nations are key pillars of the global economy, and any breakdown in trade relations would have serious implications for everyone,” Okonjo-Iweala said.
She emphasized that the WTO is engaging both governments to encourage dialogue and de-escalation, adding that cooperation not confrontation remains the most sustainable path toward mutual economic growth.
“Global trade thrives on predictability and trust. The world cannot afford another cycle of tariff wars or retaliatory measures that hurt both producers and consumers,” she added.
The remarks come amid renewed talks in Washington and Beijing over trade imbalances, technology exports, and national security restrictions. Economic analysts say the current climate mirrors the 2018–2019 US-China trade conflict, which disrupted markets and led to billions in tariff losses.
Okonjo-Iweala also warned that the ongoing geopolitical divisions could undermine efforts to address pressing global challenges such as climate change, supply chain resilience, and digital trade governance.
“The global economy is still recovering from pandemic shocks and inflationary pressures. This is the time for collaboration, not division,” she stated.
The WTO chief reiterated the organization’s commitment to mediating trade disputes and supporting inclusive growth for developing economies that often bear the brunt of major power rivalries.
