World Trade Organization (WTO) Director-General Ngozi Okonjo-Iweala has warned that the ongoing trade war between the United States and China could result in an 80% decrease in trade between the two nations. She emphasized that such a significant reduction in trade would have a devastating impact on the global economy.
The trade conflict, driven by escalating tariffs from both countries, has raised concerns about the fragmentation of global trade, with potential economic blocs forming around the U.S. and China. Okonjo-Iweala further cautioned that this division could lead to a nearly 7% decline in global real GDP.
She urged all WTO members to engage in constructive dialogue and cooperation to mitigate these risks and maintain the openness of international trade.
