The World Trade Organization may need reform, but there is no question the United States should be part of the international body, said five dozen farm and agribusiness groups in a letter to the Trump administration. “As long as exports are important to U.S. agriculture, WTO membership will be essential as well,” said the groups.
Exports generate 20 cents of each $1 of farm revenue. The WTO sets guidelines that prevent unfair trade barriers and have reduced import tariffs by an average of 15 percent, said the letter to U.S. trade representative Robert Lighthizer. “Over half of world trade is now tariff-free.”
President Trump prefers unilateral trade agreements to multilateral treaties. To emphasize U.S. objections to WTO procedures, the administration has blocked appointment of the judges who would hear appeals of WTO rulings. “The present transition in WTO leadership is strongly linked to the success of WTO reform and the opportunity to reinvigorate its negotiating function,” said the groups in a reference to the departure of Director General Roberto Azevedo.
The letter is available here.