External Publication

Key policy options for the G20 in 2017 to support an open and inclusive trade and investment system

In the face of exceptional challenges, the G20 should step up its efforts in 2017 to preserve the current global trade and investment system, including effective multilateral dispute settlement procedures, while not losing sight of medium-term reforms. The G20 should focus on (1) supporting the World Trade Organization, (2) being upfront about the mixed effects of trade and investment, (3) improving G20 measures to tackle protectionism and (4) promoting investment facilitation.

By: , , , , , , and Date: April 3, 2017 Topic: Global Economics & Governance

This paper was originally published by The G20 Insights Platform and produced by the T20 Task Force on Trade and Investment.

The Think20 (T20) brings together research institutes and think tanks from the G20 countries in an independent, open network. In 2016/2017, the T20 develops policy recommendations for the G20 within eleven thematic Task Forces which will be published as Policy Briefs in the first half of 2017 on the website http://g20insights.org. Several international T20 conferences and workshops facilitate the interaction among research, the policy community and the broader public.

The Kiel Institute for the World Economy (IfW) and the German Development Institute / Deutsches Institut für Entwicklungspolitik (DIE) have been entrusted by the German government to organise the T20 process during the German Presidency in 2016 and 2017. Professor Dennis Snower (President of IfW) and Professor Dirk Messner (Director of DIE) will jointly chair the T20 during this time. Further information on the T20, e.g. on conferences and workshops, are available on the website http://t20germany.org/. In addition, the T20 blog publishes analytical and opinion pieces by high-level experts on key issues ahead of the 2017 G20 Summit in Hamburg.

The policy proposals in this Policy Brief relate to two of the priorities of the German G20 presidency in the areas of trade and investment, namely (1) supporting the multilateral trading system, including benefits of trade and anti-protectionism and (2) investment facilitation. The third priority, digital trade, will be covered by another Policy Brief of the T20 Trade and Investment.

We recommend that the G20 Trade and Investment Working Group in its third meeting should discuss the policy proposals submitted by the T20 in this Policy Brief. In light of the current policy environment, priority should be given to the first proposal on the supporting the WTO. In the transition period between the Hamburg Summit and the handover of the G20 chairmanship to Argentina in December 2017, the German G20 presidency should continue its efforts to promote dialogue among G20 countries to facilitate open and inclusive trade and investment policies. This can be achieved by an informal meeting of the Trade and Investment Working Group or by a high-level workshop that involved G20 governments as well as trade experts from the G20 Engagement Groups.

In order to highlight the importance of an open and inclusive trade and investment system, we suggest that the G20 calls for a special conference of finance and trade ministers in order to promote debate and consensus building ahead of the G20 Leaders’ Summit in July 2017 in Hamburg. The conference should be structured so as to achieve not only concrete results in terms of policy improvement, but also to maximize the likelihood of political “wins’ by participants, both by those who are content with the status quo and want its essence preserved, and those who are looking for tangible changes.

The agenda of the conference would include: (i) national policies and international reforms designed to mitigate the temporary and disruptive effects of globalization and technology on employment and income inequality while ensuring that consumers continue to benefit; (ii) international coordination to reduce global imbalances; (iii) reducing non-tariff barriers to trade; and (iv) revitalizing trade reforms with regard to autonomous, bilateral, plurilateral and multilateral policies.

View comments
Read about event More on this topic

Past Event

Past Event

EU-Turkey energy and climate dialogues 2019

What is the cost of capital for wind energy investments in Turkey?

Speakers: Massimo d`Eufemia, Gustav Fredriksson, Can Hakyemez, Pelin Oğuz, Canan Ozsoy, James Rizzo, Umit Sahin, Simone Tagliapietra and Mehmet Erdem Yasar Topic: Energy & Climate Location: Istanbul Policy Center, Bereketzade Mahallesi, Bankalar Cd. No:2, 34421 Beyoğlu/İstanbul, Turkey Date: January 17, 2019
Read about event More on this topic

Upcoming Event

Jan
22
08:00

Rules-based trading system and EU-Australia

At this event the Australian Minister for Trade, Tourism and Investment, Senator the Hon Simon Birmingham will speak about Australia-EU bilateral trade, the FTA negotiations and the importance of multilateral rules-based trading system

Speakers: Senator the Hon Simon Birmingham, André Sapir and Guntram B. Wolff Topic: Global Economics & Governance Location: Bruegel, Rue de la Charité 33, 1210 Brussels
Read about event More on this topic

Upcoming Event

Feb
8
08:30

The world’s response to China’s Belt and Road Initiative

This event will look at the Chinese Belt and Road Initiative as well as the response from the rest of the world.

Speakers: Alicia García-Herrero, Jean-Francois Di Meglio, Theresa Fallon and Uri Dadush Topic: Global Economics & Governance Location: Bruegel, Rue de la Charité 33, 1210 Brussels
Read article Download PDF More on this topic

Policy Contribution

The Belt and Road turns five

Five years after its launch, Michael Baltensperger and Uri Dadush reflect on China’s Belt and Road Initiative. The plan to revive ancient trade routes has the potential to enhance development prospects across the world and in China, but that potential might not be realised because the BRI’s objectives are too broad and ill-defined, and its execution is too often non-transparent, lacking in due diligence and uncoordinated.

By: Michael Baltensperger and Uri Dadush Topic: Global Economics & Governance Date: January 10, 2019
Read article More on this topic More by this author

Opinion

Lose-lose scenario for Europe from ongoing China-US negotiations

Without an expectation of a larger market for European exports in the absence of additional opening up by Chinese authorities, European exporters should not enjoy the ongoing China-US negotiations.

By: Alicia García-Herrero Topic: Global Economics & Governance Date: January 9, 2019
Read article More by this author

Podcast

Podcast

Director’s cut: Wrapping up 2018

With 2018 drawing to a close, and the dawn of 2019 imminent, Bruegel's scholars reflect on the economic policy developments we can expect in the new year – one that brings with it the additional uncertainty of European elections.

By: The Sound of Economics Topic: Energy & Climate, European Macroeconomics & Governance, Finance & Financial Regulation, Global Economics & Governance, Innovation & Competition Policy Date: December 20, 2018
Read article More on this topic More by this author

Opinion

China’s view of the trade war has changed—and so has its strategy

The truce agreed on by China and the United States at the sidelines of the recent G-20 meeting in Buenos Aires doesn’t really change the picture of the U.S.’s ultimate goal of containing China. The reason is straightforward: The U.S. and China have become strategic competitors and will continue to be so for the foreseeable future, which leaves little room for any long-term settlement of disputes.

By: Alicia García-Herrero Topic: Global Economics & Governance Date: December 19, 2018
Read article More on this topic More by this author

Blog Post

Brexit: Now for something completely different?

The life of Brexit. After a week of ECJ rulings, delayed votes, Theresa May’s errands across Europe and the vote of no confidence, we review the latest economists’ opinions to try to make sense of what has changed and what hasn’t.

By: Inês Goncalves Raposo Topic: European Macroeconomics & Governance Date: December 17, 2018
Read about event More on this topic

Past Event

Past Event

Investment and intangible capital

This event featured a presentation of the EIB's 2018 Investment Report.

Speakers: Román Arjona, Maria Demertzis, Debora Revoltella and Mario Nava Topic: European Macroeconomics & Governance Location: Bruegel, Rue de la Charité 33, 1210 Brussels Date: December 14, 2018
Read about event More on this topic

Past Event

Past Event

The future of the External Investment Plan in the next MFF

What are the challenges for implementation of the new EIP?

Speakers: Zsolt Darvas, Mikaela Gavas and Hannah Timmis Topic: European Macroeconomics & Governance Location: Bruegel, Rue de la Charité 33, 1210 Brussels Date: December 5, 2018
Read article More by this author

Opinion

The world deserves a more effective G20

As the presidency shifts from Argentina to Japan at Buenos Aires (and then to Saudi Arabia) it is worth asking why the G20 has endured this long and what it needs to remain relevant in a dramatically changed world.

By: Suman Bery Topic: Finance & Financial Regulation, Global Economics & Governance Date: November 29, 2018
Read article Download PDF More on this topic More by this author

Policy Contribution

Sustainable investing: How to do it

Sustainable investment is gaining momentum in Europe, but its current proposed taxonomy might hinder innovation in the field. In this Policy Contribution, Dirk Schoenmaker advocates for an active investment approach with concentrated portfolios, and sets out a six-point plan for sustainable investing.

By: Dirk Schoenmaker Topic: Finance & Financial Regulation Date: November 28, 2018
Load more posts