G20 extends vow not to put up new trade barriers

G20 extends vow not to put up new trade barriers

REUTERS

20/06/2012 11:41:00

The agreement to refrain from new protectionist measures until the end of 2014 as part of world leaders' efforts to foster global growth was included in the final G20 communique.

  • World leaders at the Group of 20 summit.

The agreement to refrain from new protectionist measures until the end of 2014 as part of world leaders' efforts to foster global growth was included in the final G20 communique.

Mexican President Felipe Calderon said it was hard won and struck only at the very end of two-day talks in the Pacific resort of Los Cabos. "There was resistance from some countries but beyond that we did manage to get a consensus and arrive at an agreement," he told a news conference after the meeting.

Brazil, Argentina and South Africa had resisted extending the trade pledge beyond its current expiry at the end of 2013, while other countries wanted to push it back to 2015, a diplomat with knowledge of the G20 trade talks said. The deadlock was broken by Russian President Vladimir Putin, the diplomat said.

Alarm rising

Ahead of the summit, Japan and the European Union had sent strong warnings that free trade was under threat as some countries respond to slowing growth by trying to protect their domestic industries.

"The EU is sounding the alarm regarding a worrisome rise in protectionism," EU President Jose Manuel Barroso said as G20 members arrived in Los Cabos.

Japan's Prime Minister Yoshihiko Noda called for world leaders to stamp out any efforts to lessen free trade. "I see signs of protectionism emerging in the G20 debate, so we should deliver a message to counter (that)," he told reporters.

Fearful that trade protectionism would slow global growth, G20 leaders at the height of the financial crisis in November 2008 first pledged to refrain from erecting any new trade barriers, often used to shield domestic businesses from world competition at times of economic stress.

Despite that effort, a World Bank report released on Sunday found that G20 nations have accounted for the vast majority of the more than 1,000 new protectionist measures that have been introduced between November 2008 and March 2012.

Brazil, for instance, has outraged fellow G20 partner Mexico by renegotiating a car export agreement earlier this year, and is also mulling steps to protect its tiny domestic wine industry which may raise tariffs on many imported wines from countries including Chile, France and Spain.

And it is not alone: Argentina, another G20 country, has slapped tough controls on imports in a bid to keep factories open and prop up the trade surplus in Latin America's
third-biggest economy.

The United States has complained to the World Trade Organization that China is backsliding on the path of trade openness and economic reform that marked its entry to the World Trade Organization in 2001.

Brazilian President Dilma Rousseff launched a counter-offensive on trade at the G20 summit by proposing to re-open by 2014 the stalled Doha round of global negotiations to lower trade barriers. The idea failed to win traction with other G20 leaders.

"Some countries have agricultural subsidies, some countries think that there is protectionism in services, others saw problems in industry," she told reporters. "It's obvious that there is a lot of resistance to reopening the Doha round."

The Doha round was launched more than 10 years ago with the goal of helping poor countries prosper through trade. However, bitter divisions over how much developed countries should cut farm tariffs and subsidies in exchange for developing countries
opening their markets have prevented a deal.

Business lobby group the International Chamber of Commerce warned that the increasingly protectionist climate could derail efforts to stimulate to world economic growth and development, a message shared by business leaders meeting on the sidelines of the G20 summit.

"We believe in free trade and free investment, and that's key to promote growth in the global economy," said Kimberly Clark Mexico chief executive Pablo Gonzalez.

"We should all combat those decisions and commit ourselves to open trade and to open investment."

Meanwhile, the United States pushed ahead on several trade initiatives on the sidelines of the G20 summit. U.S. President Barack Obama said that America and the European Union took the next steps toward broadening their trade relationship. The two sides are working on a possible trans-Atlantic trade pact.

Mexico and Canada also joined the Trans-Pacific Partnership, an initiative championed by the United States aimed at creating a new free-trade zone. 

Views: 99

Comment

You need to be a member of 12160 Social Network to add comments!

Join 12160 Social Network

Comment by Maria De Wind on June 23, 2012 at 1:53am
Comment by Anthony Furciniti on June 23, 2012 at 1:02am

5000 years

Comment by Anthony Furciniti on June 23, 2012 at 1:01am

Sad isn't it? What is happening was foretold over 5 years before this ever began.  Amazing the word of God is faithful and true.

"Destroying the New World Order"

TOP CONTENT THIS WEEK

THANK YOU FOR SUPPORTING THE SITE!

mobile page

12160.info/m

12160 Administrators

 

Latest Activity

cheeki kea commented on cheeki kea's photo
Thumbnail

Waste runs deep

"Make USAID - go away."
10 hours ago
cheeki kea posted a photo
12 hours ago
cheeki kea commented on cheeki kea's photo
Thumbnail

$ Paid Annual Leave $

"Now is the Time for American Workers to Unite! Take back the squandered taxes and demand time off…"
Monday
cheeki kea posted a photo
Monday
Burbia commented on Burbia's blog post Mystery illness strikes Russia with fever, blood symptoms, and no cure in sight.
Monday
Burbia posted a blog post

Mystery illness strikes Russia with fever, blood symptoms, and no cure in sight.

I guess releasing this bio-weapon upon Israeli neighbors would be hitting too close to home. I…See More
Monday
tjdavis posted videos
Monday
tjdavis posted a video

The Electric State | Final Trailer | Netflix

Together, robots & humans can take the whole system down. THE ELECTRIC STATE starring Millie Bobby Brown, Chris Pratt and directed by the Russo Brothers, onl...
Sunday
Less Prone favorited Sandy's video
Saturday
Doc Vega's 7 blog posts were featured
Saturday
tjdavis's blog post was featured
Saturday
Sandy posted a video

"Mommy Tells Me I'm a Girl"-Jeff Younger

Soft White Underbelly interview and portrait of Jeff Younger, a father who is fighting to protect his son from transitioning into a girl. Get 40% off access ...
Saturday
tjdavis posted a video

MindWar: Full Spectrum Cognitive Dominance [Michael Aquino Analysis]

This is my analysis and my thoughts on Michael Aquino's "MindWar". This document is a must-read if you are looking to understand the psyop tactics and cognit...
Saturday
Doc Vega posted a blog post

A Horrid Murder at Land Between the Lakes (Sasquatch?)

 Most of us hear that Sasquatch-Bigfoot are intelligent yet reclusive creatures that are closely…See More
Friday
Doc Vega posted blog posts
Mar 27
cheeki kea commented on cheeki kea's video
Thumbnail

Metropolis (1927) Full Movie | 4K Color Remastered: 2023 Colorized with Gottfried Huppertz Score

"Hey thanks for the thumbs up guys. I was blown away (like a leaf in a tornado) when I watched this…"
Mar 27
tjdavis favorited cheeki kea's video
Mar 27
tjdavis posted a video

Did you know this? I was SHOCKED!

Wounder how many people know what they do to baby chicks? Wounder if they know what the are doing to Salmon? What about the lettuce and tomatoes? This will n...
Mar 27
cheeki kea posted a photo
Mar 27
Less Prone posted a video

Pine Tree Riots - We'll Have Our Home Again

NOW ON SPOTIFY (and everywhere else)!https://open.spotify.com/album/1gWcRqHD7TSbAA2UzYOLWlEvery people deserves a Homeland.Sung by no one in particular.Origi...
Mar 25

© 2025   Created by truth.   Powered by

Badges  |  Report an Issue  |  Terms of Service

content and site copyright 12160.info 2007-2019 - all rights reserved. unless otherwise noted