The Secretary-General of the United Nations, António Guterres, warned on Wednesday that the global trading system is encountering significant challenges due to tariffs, emphasizing that developing nations are disproportionately affected.
In his address to delegates at the United Nations Conference on Trade and Development in Geneva, Guterres stated, “The rules-based trading system is at risk of collapse,” in light of escalating trade wars and increasing trade barriers.
The tariff decisions made by former U.S. President Donald Trump since he took office in January have shocked financial markets and triggered uncertainty in the global economy.
Guterres pointed out, “Supply chains are disrupted, and trade barriers are on the rise, with some of the least developed countries facing hefty tariffs as high as 40 percent, even though they account for only one percent of global trade flows.