US President Donald Trump has said that the US will withdraw from the World Trade Organization (WTO) if conditions do not improve. Trump told employees Tuesday at a Shell chemical plant in Pennsylvania, "If we had to leave, we would leave."
"They've been screwing us for years": Trump threatens to quit World Trade Organization if conditions not met https://t.co/3YdRJYs7IB
President Trump said, "We know that they have been harming us for many years, this will not happen anymore." Threatened to pull out. He claimed that the WTO was misbehaving with the US and said that the WTO cannot ignore Washington.
Trump has previously accused the WTO of misbehaving with the US several times and threatened to withdraw from it. He said that Washington does not need to follow the WTO rules.
Trump said that the United States has a complaint about the conditions given to China at the time of joining the organization. He said that the US had given complaints about the theft of Chinese technology by China. But the United States has a successful record of winning disputes by arbitration by a global trading institution. Trump claims that the Trump administration has effectively softened its stand whenever asked to improve the rules of the institute.
China had said on Monday that America's warning to withdraw China's 'developing nation' status in the World Trade Organization shows its 'arrogance' and 'selfishness'. China responded on Monday following an instruction sent by President Donald Trump to US Trade Representative Robert Lighthizer last Friday.
This directive states that the division between the developed and developing countries by the WTO, which governs the global system of trade rules and resolves disputes, is now outdated. As a result of this, some members of the WTO are taking advantage.
It is believed that this instruction has been given keeping China in mind. Chinese Foreign Ministry spokeswoman Hua Chunying said at a regular press conference that this demand from the Trump administration reflects his 'arrogance' and 'selfishness'. He said that one or a few countries should not have the right to decide whether to place a country in the category of developing countries and who not.
Thus the WTO gives a long timeframe for the respective governments to meet free-trade commitments by getting the status of a developing country in the WTO, as well as allowing such countries to protect some of their domestic industries and continue state aid. Is allowed.