The WTO's chairing ambassador says reform talks are advancing but a final deal is unlikely at the March 2026 ministerial; ministers in Yaounde should instead agree a framework to keep negotiations moving. The organisation's consensus rule, requiring unanimity among 166 members, remains a key barrier that has long stalled progress. The United States warned that such blockages and calls to revisit the Most-Favoured-Nation principle could threaten the WTO's relevance, a stance some diplomats say lacks wide support. WTO data cited shows MFN coverage of global trade fell from about 80% to 72% following higher U.S. tariffs.
WTO Reform Progresses but Major Deal Unlikely at March 2026 Ministerial, Document Shows
A logo is seen at the World Trade Organization (WTO) headquarters before a news conference in Geneva, Switzerland, October 5, 2022. REUTERS/Denis Balibouse
GENEVA, Dec 17 (Reuters) - Countries are making incremental progress on reforming the World Trade Organization (WTO), but a comprehensive agreement is unlikely to be reached at the next major ministerial meeting in March 2026, according to a confidential December 12 document reviewed by Reuters.
Talks Face Sticking Points but a Roadmap Is Possible
Petter Olberg, Norway's ambassador to the WTO and the official chairing the reform talks, wrote that a wide range of proposals to change decision-making processes means the matter cannot be settled at the upcoming ministerial. He said negotiators should nonetheless aim for ministers meeting in Yaounde, Cameroon, to agree on a framework that keeps talks moving forward.
Observers and diplomats have stressed the urgency of reforming the 30-year-old trade body, warning it risks losing relevance unless it adapts. A central obstacle is the WTO's consensus rule, which requires all 166 members to agree before new measures can be adopted. Critics say this unanimity requirement has long gridlocked negotiations and prevented even widely supported initiatives from advancing.
U.S. Warning and Debate Over Core Principles
In a separate communication to members, the United States expressed frustration that consensus blockages are preventing countries from joining plurilateral agreements — pacts among subsets of members that others can opt into later — and warned that this dynamic could drive trade deals outside the WTO and threaten the organisation's viability.
The U.S. argued that the WTO's Most-Favoured-Nation (MFN) principle, which requires members to treat trading partners equally, was designed for an era of broadly market-oriented partners and that 'that expectation was naive, and that era has passed.' It added: 'If the WTO does not reform by making tangible improvements in those areas that are central to its mission, it will continue its path toward irrelevancy.'
A diplomatic source told Reuters that Washington's position does not enjoy broad support among members, saying the U.S. views 'are far from those of most members and even challenge the WTO's purpose and core principles. Simply put, without MFN, there's no real multilateralism.'
Data Cited and Next Steps
The document also cited WTO data showing that, since U.S. President Donald Trump imposed higher import tariffs this year, the share of global trade conducted under MFN terms has declined from roughly 80% to about 72%.
Olberg concluded that while a final package is unlikely by March 2026, ministers should use the Yaounde meeting to endorse a clear framework to continue negotiations — a practical step that could preserve momentum toward more substantial reform.
(Reporting by Emma Farge and Olivia Le Poidevin; editing by Ed Osmond)
