WTO IN BRIEF

In brief, the World Trade Organization (WTO)

is the only international organization dealing
with the global rules of trade. Its main goal is
to improve the welfare of people around the
world by ensuring that trade flows as smoothly,
predictably and freely as possible.
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Global trade rules

The overall objective of the and greater choice of the
WTO is to help its members finished products, components,
use trade as a means to raise raw materials and services they
living standards, create jobs and use. Producers and exporters
improves people’s lives. know foreign markets will remain
open to them.
The WTO operates the global
system of trade rules, helps This leads to a more prosperous,
developing economies build their peaceful and accountable
trade capacity and seeks to create economic world. Decisions in
a more inclusive trading system. the WTO are typically taken
by consensus among all
Global rules of trade provide members and they are ratified
assurance and stability. by members’ parliaments. Trade
Consumers and producers know frictions are channelled into
they can enjoy secure supplies the WTO’s dispute settlement
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process, where the At the heart of the The agreements provide

focus is on interpreting system – known as a stable and transparent
agreements and the multilateral trading framework to help
commitments and how system – are the WTO’s producers of goods and
to ensure that members’ agreements, negotiated services, exporters and
trade policies conform and signed by a large importers conduct their
with them. That way, the majority of the world’s business.
risk of disputes spilling trading economies, and
over into political or ratified in their parliaments. The goal is to improve the
military conflict is reduced. These agreements are the welfare of the peoples of
legal foundations for global the WTO’s members.
By lowering trade barriers trade. Essentially, they are
through negotiations contracts, guaranteeing
among member WTO members important
governments, the WTO’s trade rights. They also bind
system also breaks down governments to keep their
other barriers between trade policies transparent
peoples and trading and predictable which is to
economies. everybody’s benefit.

By lowering trade
barriers through
negotiations
among members,
the WTO’s system
also breaks down
other barriers
between peoples
and trading
economies.
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Trade negotiations
The World Trade Organization prosperous trading system
came into being in 1995. One of contributing to unprecedented
the youngest of the international growth.
organizations, the WTO is
the successor to the General The system was developed
Agreement on Tariffs and Trade through a series of trade
(GATT) established in the wake negotiations, or rounds, held
of the Second World War. under the GATT. The first
rounds dealt mainly with tariff
So while the WTO is relatively reductions but later negotiations
young, the multilateral trading included other areas such as
system that was originally set anti-dumping and non-tariff
up under the GATT is over 75 measures. The 1986-94 round –
years old. the Uruguay Round – led to the
WTO’s creation.
The past 75 years have seen
The past an exceptional growth in world The negotiations did not end
75 years trade. Merchandise exports there. In 1997, agreements
have seen an have grown on average by 6% were reached by groups of
annually. This growth in trade WTO members on liberalizing
exceptional
has been a powerful engine telecommunications services,
growth in for overall economic expansion establishing tariff-free trade
world trade. and on average trade has in information technology
Merchandise grown by 1.5 times more than products, and opening up their
exports have the global economy each year. financial services.
Total exports in 2024 were
grown on
250 times the level of 1948. In 2000, new talks started on
average by The GATT and the WTO have agriculture and services. These
6% annually. helped to create a strong and were incorporated into a broader
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work programme launched first multilateral accord force in 2017, easing poor
at the fourth WTO reached at the WTO – will economies’ access to
Ministerial Conference cut trade costs by more affordable medicines. The
in Doha, Qatar, in than 14% and will lift same year saw the Trade
November 2001. global exports by as much Facilitation Agreement
as US$ 1 trillion per year. enter into force.
Negotiations have resulted
in major updates to the The expansion of the The 12th Ministerial
WTO rulebook. A revised Information Technology Conference in June 2022
Government Procurement Agreement – concluded saw the adoption of a
Agreement – adopted at the 10th Ministerial landmark Agreement
at the WTO’s 8th Conference in Nairobi in on Fisheries Subsidies,
Ministerial Conference 2015 – eliminated tariffs which entered into force in
in 2011 – expanded the on an additional 200 IT September 2025 following
coverage of the original products valued at over the ratification of the
agreement by an estimated US$ 1.3 trillion per year. Agreement by two thirds
US$ 100 billion a year. Another outcome of the of WTO members. The
Conference was a decision Agreement establishes
At the 9th Ministerial to abolish agricultural new, binding, multilateral
Conference in Bali in 2013, export subsidies, fulfilling rules for curbing harmful
WTO members struck one of the key targets subsidies, which are a key
the Agreement on Trade of the UN Sustainable factor in the widespread
Facilitation, which aims Development Goals. depletion of the world’s fish
to reduce border delays stocks. It is the WTO’s first
by slashing red tape. An amendment to the multilateral agreement with
When fully implemented, WTO’s Intellectual Property environmental sustainability
this Agreement – the Agreement entered into at its core.
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WTO agreements
How can you ensure that trade is of about 30 agreements and
as fair as possible, and as open separate commitments (called
as is practical? By negotiating schedules) made by individual
rules and abiding by them. members in specific areas, such
as lower tariffs and services
The WTO’s rules – the market-opening.
agreements – are the result
of negotiations between the Through these agreements,
Each member members. The current set is WTO members operate a non-
receives largely the outcome of the 1986- discriminatory trading system
guarantees 94 Uruguay Round negotiations, that spells out their rights and
which included a major revision of their obligations. Each member
that its the original General Agreement receives guarantees that its
exports will on Tariffs and Trade (GATT). exports will be treated fairly and
be treated consistently in other members’
fairly and The Uruguay Round created new markets. Each promises to do
consistently rules for dealing with trade in the same for imports into its own
services and intellectual property market. The system also gives
in other and new procedures for dispute developing economies some
members’ settlement. The complete set runs flexibility in implementing their
markets. to some 30,000 pages consisting commitments.
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Goods Dispute settlement

It all began with trade in goods. From The WTO’s procedure for resolving trade
1947 to 1994, the GATT was the forum conflicts under the Dispute Settlement
for negotiating lower tariffs and other Understanding is vital for enforcing the
trade barriers; the text of the GATT spelt rules and therefore for ensuring that
out important rules, particularly non- trade flows smoothly. Governments bring
discrimination. disputes to the WTO if they think their
rights under the WTO agreements are
Since 1995, the Marrakesh Agreement being infringed. Judgements by specially
Establishing the WTO and its annexes appointed independent experts are based
(including the updated GATT) has become on interpretations of the agreements and
the WTO’s umbrella agreement. It has individual members' commitments.
annexes dealing with specific sectors
relating to goods, such as agriculture, The system encourages members to settle
and with specific issues such as product their differences through consultation
standards, subsidies and actions taken with each other. If this proves to be
against dumping. The most recent addition unsuccessful, they can follow a stage-
is the Fisheries Subsidies Agreement, by-stage procedure that includes the
which entered into force in 2025. possibility of a ruling by a panel of experts.
Confidence in the system is borne out by
Services the number of cases brought to the WTO –
Banks, insurance firms, telecommunications more than 640 cases since the WTO was
companies, tour operators, hotel chains and established. WTO members are currently
transport companies looking to do business discussing how to reform the dispute
abroad enjoy the same principles of more settlement system.
open trade that originally only applied to
trade in goods. Trade monitoring
The WTO's Trade Policy Review Mechanism
These principles appear in the General is designed to improve transparency, to
Agreement on Trade in Services (GATS). create a greater understanding of the trade
WTO members have also made individual policies adopted by WTO members and
commitments under the GATS stating to assess their impact. Many members
which of their service sectors they are see the reviews as constructive feedback
willing to open to foreign competition, and on their policies. All WTO members
how open those markets are. must undergo periodic scrutiny, each
review containing reports by the member
Intellectual property concerned and the WTO Secretariat.
The WTO’s Intellectual Property Agreement
contains rules for trade in ideas and In addition, the WTO undertakes regular
creativity. The rules state how copyrights, monitoring of global trade measures, with
patents, trademarks, geographical names the aim of highlighting WTO members’
used to identify products, industrial designs implementation of both trade-facilitating
and undisclosed information such as trade and trade-restricting measures.
secrets – “intellectual property” – should
be protected when trade is involved.
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Building trade capacity in

developing economies
Over three-quarters of WTO developing economies in the
members are developing global trading system.
economies or least-developed
countries (LDCs). All WTO The Aid for Trade initiative is
agreements contain special designed to help developing
provisions for them, including economies build trade capacity,
longer time periods to implement enhance their infrastructure and
commitments, measures to improve their ability to benefit
increase their trading opportunities from trade-opening opportunities.
and support to help them build So far, over US$ 600 billion has
the infrastructure needed to been disbursed to support Aid for
participate in world trade. Trade projects. A Global Review
of the initiative is held every two
A WTO
A WTO Committee on Trade years at the WTO’s headquarters.
Committee and Development looks at
on Trade and developing economies’ special The Enhanced Integrated
Development needs. Its responsibility includes Framework (EIF) is the only
looks at monitoring implementation multilateral partnership dedicated
of special treatment for exclusively to assisting LDCs in
developing
developing economies in the their use of trade as an engine for
economies’ WTO agreements, technical growth, sustainable development
special cooperation and promoting and poverty reduction. The EIF
needs. the increased participation of partnership of 51 countries,
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24 donors and eight partner

agencies, including the WTO,
works closely with governments,
development organizations, civil
society and academia. The EIF
has invested in over 170 projects,
with US$ 330 million committed
to supporting the poorest
countries in the world.

Another partnership supported

by the WTO is the Standards
and Trade Development Facility
(STDF), set up to help developing
economies meet international
standards for food safety, plant
and animal health and gain
greater access to global markets.
The WTO houses the Secretariat
and manages the STDF trust
fund, which has provided
financing of over US$ 50 million
to support projects in low-income
economies.

Technical assistance
and training
The WTO organizes technical
cooperation missions to
developing economies and holds
many trade policy courses each
year in Geneva for government
officials. In 2024, nearly 7,000
participants attended trainer-led
technical assistance activities
and over 10,000 completed
e-learning courses aimed at
improving understanding of WTO
agreements and global trade rules.
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How the WTO is organized

Functions The WTO’s top level decision-
The WTO’s overriding objective is making body is the Ministerial
to help its members use trade as Conference, which meets usually
a means to raise people’s living every two years.
standards. It does this by:
Below this is the General Council
• administering trade (normally ambassadors or heads
agreements of delegation based in Geneva
• acting as a forum for trade but sometimes officials sent from
negotiations a member’s government) which
• settling trade disputes meets several times a year in
• reviewing members’ trade the Geneva headquarters. The
policies General Council also meets as
• building the trade capacity of the Trade Policy Review Body
developing economies and the Dispute Settlement Body.
• cooperating with other
international organizations At the next level, the Goods
Council, Services Council and
Structure Intellectual Property (TRIPS)
The WTO has 166 members, Council report to the General
accounting for 98% of world Council.
trade. A total of 22 countries are
negotiating membership. Numerous specialized committees,
working groups and working
Decisions are made by the entire parties deal with the individual
membership. This is typically agreements and other areas, such
by consensus. The WTO’s as the environment, development,
agreements have been ratified in membership applications and
all members’ parliaments. regional trade agreements.

The WTO has 166 members,

accounting for 98% of world
trade. A total of 22 countries
are negotiating membership.
 [Link] 11 WTO IN BRIEF

Ministerial
Committees on: Conference
Trade and Environment
Trade and Development
Sub-Committee on Least-Developed Countries General Council
meeting as General Council
Regional Trade Agreements meeting as Dispute
Balance of Payments Restrictions Trade Policy
Review Body Settlement Body
Budget, Finance and Administration

Working parties on:

Accession

Working groups on:

General
Trade, debt and finance
Trade and technology transfer Council
Dispute settlement
Inactive panels
Relationship between Trade and Investment
Interaction between Trade and Competition

Plurilaterals:
:
Plurilateral Council for
Council for Trade-Related Council for Trade in Civil Trade
Information
Trade in Aspects of Trade in Aircraft Committee Negotiations
Technology
Goods Intellectual Services Government Committee
Agreement
Property Rights Procurement
Committee
Committee

Committees on: Committees on: Doha Development Agenda:

Agriculture Trade in Financial Services Trade Negotiations Committee
Anti-Dumping Practices Specific Commitments and its bodies
Customs Valuation
Import Licensing Working parties on:
Special sessions of:
Market Access Domestic Regulation
Rules of Origin GATS Rules Services Council / TRIPS Council /
Safeguards Dispute Settlement Body /
Sanitary and Phytosanitary Measures Agriculture Committee /
Subsidies and Countervailing Measures Trade and Development Committee /
Technical Barriers to Trade Trade and Environment Committee
Trade Facilitation
Trade-Related Investment Measures Negotiating groups on:
Participants on the
Expansion of Trade in Information Market Access
Technology Products Rules

Working party on:

State Trading Enterprises

Reporting to General Council (or a subsidiary)

Reporting to Dispute Settlement Body
Plurilateral committees inform the General Council or Goods Council of their activities, althogh these agreements are not signed by all WTO Members
Trade Negociations Committee reports to General Council

WTO Secretariat
The WTO Secretariat, The Secretariat’s main The Secretariat also
based in Geneva, has duties are to supply provides some forms
around 600 staff and is technical support for of legal assistance in
headed by a Director- the various councils/ the dispute settlement
General. It does not have committees and the process and advises
branch offices outside ministerial conferences, to governments wishing to
Geneva. Since decisions provide technical assistance become members of the
are taken by the WTO’s for developing economies, WTO. The annual budget
members, the Secretariat to analyse world trade and contributed by members
does not itself have a to explain WTO activities to is roughly 205 million
decision-making role. the public and media. Swiss francs.
FACT FILE

THE WTO
LOCATION: Geneva, Switzerland

ESTABLISHED: 1 January 1995

CREATED BY: Uruguay Round negotiations (1986–94)

MEMBERSHIP: 166 members representing 98% of world trade

BUDGET: 205 million Swiss francs for 2024

SECRETARIAT STAFF: 610

DIRECTOR-GENERAL: Ngozi Okonjo-Iweala

FUNCTIONS:
• Administering WTO trade agreements
• Forum for trade negotiations
• Handling trade disputes
• Monitoring trade policies
• Technical assistance and training for developing economies
• Cooperation with other international organizations

FURTHER INFORMATION CONTACTING THE WTO

• 10 things the WTO can do (available from the Rue de Lausanne 154,
WTO website) CH-1211 Geneva 21, Switzerland
• WTO Annual Report (available from the WTO Tel.: +41 (0)22 739 51 11
Online Bookshop and from the WTO website)
• WTO Website: [Link] WTO Information and External Relations Division
• WTO iLibrary: [Link] e-mail: enquiries@[Link]

WTO Publications
e-mail: publications@[Link]

WTO Online Bookshop

[Link]

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DISCLAIMER
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expressed and arguments employed herein © World Trade Organization 2025
do not necessarily reflect the opinions or views Print: ISBN 978-92-870-8399-9
of WTO members. PDF: ISBN 978-92-870-8393-7