WTO in Geneva: "Directionless and functionally leadless"
Photo: Xu Jinquan / Xinhua / imago imagesThe head of the World Trade Organization (WTO), Roberto Azevêdo, has resigned as announced. In the midst of the greatest crisis in its 25-year history, the organization is now without a leader. The Brazilian Azevêdo switches to the beverage company PepsiCo.
It is still unclear who will succeed him at the top of the WTO. So far, eight candidates have applied for the leadership position, but the US government wants to hoist an American into office. This in turn meets with resistance from China and Europe - there is a risk of a leadership vacuum that will last for months, of all times at a time when trade conflicts and barriers are growing.
"This is indeed a new - albeit unfortunately not unexpected - low point for the WTO," said Canadian economist Rohinton Medhora, president of the Center for International Governance Innovation. "The organization has been directionless for some time, more precisely for several years, and will now be functionally leaderless."
US presidential election threatens successor election
The WTO Court of Appeal, which decides on international trade disputes, has already been paralyzed by Washington's blockade of appointing new judges. The EU and 15 other members of the World Trade Organization have therefore found their own temporary solution to settle the dispute
Azevêdo's second term would actually have been a year longer. He justified his early withdrawal from the blocked organization after seven years in office with family reasons.
A successor to Azevêdo is actually supposed to be selected by November 7th. In practice, the uncertainty ahead of the November 3 presidential election in the United States could further delay things, experts say. However, it is not only difficult to fill the executive position. The budget for 2021 must be in place by the end of the year. Here, too, the US could block.
US President Donald Trump doesn't think much of the WTO. He accuses her, for example, of letting China get away with unfair trade practices. He also sees his country disadvantaged by the WTO customs system. Trump has even considered leaving the WTO.
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