WTO must adapt to stay relevant, says Johari

 Investment, trade and industry minister says the WTO must be able to address discriminatory trade practices wherever they arise.

Investment, trade and industry minister Johari Ghani said the world needs institutions capable of reducing uncertainty, managing disputes and preventing economic tensions from escalating into broader geopolitical conflict.

PETALING JAYA:

The World Trade Organization (WTO) must evolve if it is to remain relevant amid intensifying competition and evolving global trade dynamics, says investment, trade and industry minister Johari Ghani.

Noting that the WTO was formed at a time when lowering trade barriers and expanding market access were widely seen as drivers of economic prosperity and international stability, Johari said policymakers today operate in a vastly different environment.

Speaking at the 39th Asia-Pacific Roundtable (APR) in Kuala Lumpur, Johari said the WTO must continue to serve the needs of every member country and be able to address discriminatory trade practices wherever they arise.

“The WTO must be able to adapt to the realities of today’s international economy,” he said, reported Bernama.

“In many respects, the debate has shifted from opening markets to how strategic capabilities should be protected.

“And unless it evolves, there is a genuine risk that the WTO (will) gradually lose (its) relevance,” he said.

Johari said economic policy today is increasingly influenced by technological leadership, strategic autonomy and supply chain security.

He also said the need for credible multilateral rules has arguably never been greater due to the increasingly closer ties which economies are forging.

Johari said that while Malaysia reaffirms its support for the multilateral trading system, the system itself must evolve to remain fit for purpose in today’s rapidly changing world.

“We need institutions capable of reducing uncertainty, managing disputes and preventing economic tensions from escalating into broader geopolitical conflict.”

The 39th APR is the flagship annual international conference organised by the Institute of Strategic and International Studies (ISIS) Malaysia on behalf of the Asean Institutes of Strategic & International Studies network.

Themed “Accelerating agency and action”, the June 30-July 2, 2026 conference brings together policymakers, diplomats, military officials, academics, business leaders and think tank experts to discuss key geopolitical, economic and security issues affecting the Asia-Pacific region. - FMT