Brussels, 07/11/2014 (Agence Europe) - The number of new protectionist measures taken by the G20 countries since November 2013 has increased by 12% according to the latest report from the WTO, OECD and UNCTAD, which was published on 6 November. There are currently 962 restrictive measures in place in these countries.
The number of new restrictive measures adopted by the G20 countries decreased significantly between mid-May and mid-October this year, with 93 additional measures compared with 112 taken between mid-October 2013 and mid-May 2014. However, with a total of 215 new measures in a year, there is a 12% increase compared with 2013. In total, the number of restrictive measures has continued to grow since 2008, and only 282 of the 1,244 restrictive measures recorded since the start of the crisis have been removed.
The restrictive measures adopted over the last six months constitute 0.8% of the value of G20 imports and 0.6% of the value of world imports - in other words, around $18 billion. The restrictive measures accumulated on imports since 2008, which remain in place, cover 4.1% of the value of world merchandise imports and 5.3% of the value of G20 imports - in other words $757 billion, the report states.
“The combination of the continuing addition of new restrictive measures and a relatively low removal rate runs counter to the G20 pledge to roll back any new protectionist measures”, say WTO Director General Roberto Azevedo, OECD Secretary General Angel Gurria and UNCTAD Secretary General Mukhisa Kituyi, ahead of the G20 summit in Brisbane (Australia) on 15-16 November.
However, despite the rise in restrictive measures adopted, the WTO, OECD and UNCTAD note that the recourse to protectionism has been more moderate than forecast in response to the crisis of 2008. This shows, in their opinion, that the multilateral trade system has proved its usefulness. The three organisations call on the G20 countries, nevertheless, to show moderation in the adoption of new measures and to remove more of the existing measures. “The removal of remaining trade-restrictive measures combined with further multilateral trade liberalisation would be a powerful policy response”, they stated.
As regards investment, the news is “more encouraging”. The G20 governments have continued to practise open and transparent policies, and four out of five countries in the G20 which have changed their policy of foreign investments over the last six months have opened their infrastructure sector to foreign capital, the three organisations note.
Lastly, the WTO recalls that it has reviewed its global trade growth forecasts downwards, with forecast growth of only 3.1% in 2014 (compared with 4.7% forecast in April) and of 4% for 2015. (EH)