The World Trade Organization (WTO) Director General Ngozi Okonjo-Iweala on Wednesday welcomed the announcement by Chinese Premier Li Qiang that China would no longer seek special and differential treatment (S&DT) in future WTO agreements.

‘China, as a responsible major developing country, will not seek new special and differential treatment in the current and future negotiations of the WTO,’ said Premier Li Qiang on September 23 during the 80th session of the United Nations General Assembly in New York.

On the sidelines of the assembly, Li highlighted that the trend towards a multipolar world and continued globalisation was irreversible.

He warned that efforts to decouple economies would harm the global economy and weaken international order, urging countries to work together to uphold the international system centred on the UN, adhere to multilateralism and free trade, and promote an open world economy for more dynamic global development.

According to a WTO statement, the declaration represented a significant step in the ongoing discussions on the role of large, advanced developing economies within the multilateral trading system.

It said that, for decades, the principle of special and differential treatment (S&DT) had allowed developing countries certain flexibilities in implementing WTO agreements, such as longer transition periods and access to technical assistance.

The statement also said that China’s rise to become the world’s largest merchandise trader and second-largest economy had led to calls for it to relinquish this status.

WTO Director-General praised the decision, saying, ‘This is a pivotal moment for the WTO. China’s decision reflects a commitment to a more balanced and equitable global trading system. It sends a strong signal of support for WTO reform and will help foster a more level playing field for all members.’

She said that the move would undoubtedly energise discussions and help work towards a more agile and effective organisation for the 21st century.