Subsidies, Trade, and International Cooperation
Dealing constructively with subsidies in global commerce is central to G20 leaders’
goal of reforming and strengthening the multilateral trading system. The growing use
of distortive subsidies alters trade and investment flows, detracts from the value
of tariff bindings and other market access commitments, and undercuts public support
for open trade. Sharp differences over subsidies are contributing to global trade
tensions that are harming growth and living standards.
This report seeks to highlight the potential benefits of closer cooperation and considers
some areas where this might be pursued constructively by governments or other international
organizations. This report aims to begin a discussion within the international community
on how to develop and implement such an agenda.
Published on April 22, 2022