G7 Trade Ministers Target China's Economic Practices in Joint Statement

Trade ministers from the Group of Seven (G7) nations convened in a virtual meeting hosted by Japan, this year's G7 president, to discuss concerns about global economic issues, including "economic coercion" and non-market trade practices. These issues are believed to be aimed at China, whose trade policies have increasingly come under scrutiny.

The ministers also highlighted the need for major reforms within the World Trade Organization (WTO) and released a joint statement outlining their commitment to maintain and strengthen the global trading system. They acknowledged the disruptions caused by the ongoing conflict in Ukraine and the COVID-19 pandemic, but also emphasized the underlying developments in international trade, including non-market policies and practices.

The G7 ministers agreed to work towards reforming all three functions of the WTO, with the goal of having a fully functional dispute settlement system accessible to all members by 2024. They also expressed their shared concerns about non-market policies and practices, pledging to pursue more effective use of existing tools and develop new ones to address these challenges.

The joint statement also underscored the importance of supply chain resilience and security, expressing serious concern about economic coercion that interferes with the legitimate choices of other governments. The ministers committed to using their existing tools and developing new ones to deter and counter the use of coercive economic measures.

Moreover, the G7 ministers reaffirmed their commitment to export controls as a fundamental policy tool to address technology diversion, national security threats, and other challenges. They emphasized the importance of cooperation on export controls related to critical and emerging technologies, such as microelectronics and cyber surveillance systems.

The ministers also acknowledged the need to deepen discussions on business and human rights and accelerate the exchange of information on relevant regulations and policies. In addition, they pledged to continue working collaboratively on environmental and digital trade issues.

The G7 trade ministers will reconvene in October to further address these concerns and instruct their officials to accelerate work in preparation for the meeting.