World trade to decline 13-32% in 2020, says WTO
09.04.2020
World trade in goods is set to decline steeply between 13 per cent and 32 per cent in 2020 as countries across the globe battle the Covid-19 pandemic, according to projections made by the World Trade Organization (WTO). The WTO has also warned that developing economies would require assistance given that the current crisis has hit almost all sectors. But trade will likely be affected more in sectors with complex value chains, particularly electronics and automotive products, it said. However, globally services trade may be most directly affected by Covid-19 through overarching transport and travel restrictions. Merchandise trade volume already fell by 0.1 per cent in 2019, weighed down by trade tensions and slowing economic growth. Global merchandise exports in 2019 fell by 3 per cent to $18.89 trillion, while the value of commercial services exports rose a modest 2 per cent to $6.03 trillion in 2019.
Trade will be hit hard across countries with nearly all regions expected to suffer double-digit declines in trade volumes in 2020, with exports from North America and Asia being hit the hardest.
News source: Information analysis agency SeaNews
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