Washington halts contributions to the World Trade Organization’s budget
Washington halts contributions to the World Trade Organization’s budget
2025-03-28 00:26
Shafaq News/ The US government announced it would halt its contributions to the World Trade Organization’s budget, Reuters reported, citing informed sources.
This move comes as part of the US administration’s move to distance itself from certain international institutions that it deems to be in conflict with national interests. Washington has previously reduced its contributions to other organizations and withdrawn from the World Health Organization .
The WTO has been partially paralyzed since 2019, when the United States blocked the appointment of new judges to the Supreme Appellate Body, effectively paralyzing its core system for settling trade disputes.
The Geneva-based organization’s annual budget for 2024 was approximately 205 million Swiss francs (equivalent to $232 million), with the United States required to contribute 11% of this budget based on its share of global trade .
Reuters quoted a US State Department spokesperson as saying, “President Trump signed an executive order last month directing Secretary of State Marco Rubio to review all international organizations to which the United States belongs within 180 days to determine whether they conflict with US interests.”
The spokesman stressed that the WTO’s funding is currently under review, along with the budgets of other international organizations .
In contrast, World Trade Organization spokesman Ismail Deng said that US contributions were being transferred but were halted due to the suspension of all payments to international agencies.
He explained that financial arrears could affect the organization’s operational capacity, but it continues to manage its resources wisely to ensure its continued operation despite financial constraints .
The decision to freeze US contributions coincides with Trump’s efforts to cut federal costs, having appointed billionaire Elon Musk to lead the government’s efficiency department with the aim of reducing spending.
shafaq.com
