WTO

Guide Note

The World Trade Organization (WTO) is a multinational organization, designed to manage international trade and trading relationships between member nations. Founded on January 1, 1995, the WTO has the stated goal of improving the lives of those living in member states. It works to do this by reducing trade barriers and serving as a platform for trade negotiations. While the WTO is concerned with establishing rules for trade and a framework for policies, it does not attempt to define or control the outcome of agreements. To maintain this focus, the WTO operates under five guiding principles, which are: non-discrimination, reciprocity, establishment of binding and enforceable commitments, transparency, and safety. The WTO has attracted considerable criticism from economists, environmentalists, humanitarian groups, and those opposed to globalization. The majority of the criticism is against free trade itself, which many argue leads to a divergence in incomes and greater polarization of classes. Others criticize the WTO for drafting agreements that favor wealthy nations, heavy industry, and multinational corporations.

Fast Facts

1. Founded: January 1, 1995
2. Headquarters: Geneva, Switzerland
3. Official Languages: English, Spanish, and French
4. Membership: 151 countries
5. Stated goal of improving the lives of those living in member nations
6. Focuses on establishing the terms, not controlling the outcome, of agreements