Address by Minister Mauro Vieira at the Ministerial Council Meeting of the Organisation for Economic Co-operation and Development (OECD)

Dear colleagues,

As a strong supporter of the rules-based multilateral trading system, Brazil is deeply concerned with the current state of world trade, particularly the proliferation of trade-restrictive policies that fall outside the scope of WTO commitments. As a result, global trade is now expected to contract in 2025.

The prolonged paralysis of the Appellate Body and the weakening of the dispute settlement system hinder the enforcement of WTO rules and encourage the proliferation of power-based, unilateral trade-disruptive measures.

The growing use of trade-restrictive measures, including export controls on critical emerging technologies, such as advanced semiconductors, raises concerns of potential disruptions in global value chains and the risk of widening the digital divide between developed and developing countries.

Brazil is likewise concerned about the rise of unilateral trade measures targeting climate and environmental goals, which should align with multilateral trade rules and the international climate regime.

For Brazil, an international trading system based on rules, with the WTO at its core, represents the best collective answer by our countries with a view to promoting an open, fair and inclusive world trade.

Developing countries have often been integrated into global value chains segments that are less technology-intensive and, consequently, generate lower value. Reversing this trend requires targeted efforts.

Strategic opportunities are emerging in areas such as energy transition and digital transformation. Brazil is actively pursuing partners with whom to explore new avenues of innovation and production.

International collaboration and diversification of partnerships are also elements to be encouraged and prioritized. Reverting back to a time of fragmented trade, high protectionist levels and shorter value chains would mean going against the very logic upon which the multilateral trading system was built.

The productive sectors in the world need the stability and predictability that only a rules-based system can provide, which are crucial to enable investment and trade flows. WTO’s legal framework is a solid foundation on which to continue working and improving together. 

Thank you.