Trade ministers from across the world gathered in Cameroon on Thursday for high-stakes talks on the future of the World Trade Organization (WTO), amid mounting fears that failure to agree on reforms could deepen divisions in global commerce and push countries to forge trade rules outside the multilateral system.
The four-day meeting in the Cameroonian capital, Yaounde, comes at a time of heightened geopolitical uncertainty, with the global trading system under pressure from wars, rising protectionism and a prolonged paralysis of the WTO’s dispute settlement mechanism.
Delegates are expected to confront a packed and politically fraught agenda, with deep disagreements already evident over how and whether the Geneva-based body can be reformed to remain relevant in a rapidly shifting global economy.
The WTO, which was established in 1995 to regulate global trade and settle disputes among member states, has struggled in recent years to deliver major multilateral agreements. Its appellate body, the institution’s top dispute settlement mechanism, has been effectively paralysed for six years after the United States blocked the appointment of judges, leaving the organisation unable to fully enforce trade rulings.
That impasse has become a symbol of wider frustrations with the WTO, especially as countries increasingly turn to unilateral tariffs, regional trade blocs and bilateral arrangements to protect domestic industries and secure strategic supply chains.
“This meeting is taking place at a critical moment,” one African trade diplomat said on the sidelines of the summit, warning that prolonged inaction could further weaken confidence in the rules-based trading order.
The talks are unfolding against the backdrop of fresh shocks to global commerce following the U.S.–Israeli war on Iran, which has sent energy prices higher and raised fears of broader disruptions to shipping and industrial supply chains.
Business leaders have warned that the conflict could worsen inflationary pressures and trigger knock-on effects for food production, especially in import-dependent regions such as Africa.
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John Denton, secretary-general of the International Chamber of Commerce, warned that businesses were facing a dangerous convergence of crises, citing surging energy costs and concerns over fertilizer supplies that could threaten food security on the continent.
Trade tensions linked to the United States are also expected to loom large over the Yaounde meeting, after a turbulent year marked by sweeping tariff actions under President Donald Trump that many governments say have further destabilised international commerce.
While the United States has signalled support for WTO reform in principle, diplomats say Washington is resisting attempts to adopt a detailed work plan for change. By contrast, the European Union, Britain and China are among those pushing for a clearer roadmap.
WTO Director-General Ngozi Okonjo-Iweala has acknowledged that the negotiations will be difficult, reflecting the challenge of finding common ground among the organisation’s 166 members.
Among the most contentious issues expected to dominate the talks is the future of the moratorium on customs duties for digital downloads — a long-running WTO arrangement that prevents countries from imposing tariffs on electronic transmissions such as software, music, films and e-books.
The United States is expected to push for a permanent extension of the moratorium, arguing that it is essential for digital trade and economic growth. India, however, remains opposed, maintaining that developing countries should preserve the right to tax digital imports as part of broader efforts to protect policy space and domestic revenues.
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Several other countries are said to favour a compromise two-year extension, but diplomats cautioned that the issue could trigger a sharp confrontation between major economies.
South Korea has warned that failure to extend the moratorium would deal a heavy blow to both the WTO and the broader global economy, especially as digital trade becomes an increasingly central pillar of cross-border commerce.
The meeting has also been overshadowed by controversy over participation, after semiconductor powerhouse Taiwan did not attend following Cameroon’s description of the island as a province of China — a move likely to further highlight geopolitical fault lines running through the summit.
For African countries, the stakes are particularly high. Many on the continent are seeking a stronger voice in global trade governance at a time when they are pushing industrialisation, regional integration and greater participation in digital commerce.
But with positions hardening and trust among major powers in short supply, diplomats say the Yaounde talks may ultimately test whether the WTO can still serve as the central forum for global trade cooperation — or whether the world is drifting toward a more fragmented and contested trading order.
