US Disappointed as G20 Fails to Reach Consensus

WASHINGTON: Group of 20 (G20) trade ministers failed to reach an agreement on measures to address industrial overcapacity and forced labour following two days of talks in Milwaukee.

The United States, which holds the G20 presidency, expressed disappointment after several member countries rejected a statement on measures to address industrial overcapacity, an issue often associated with China.

The US holds the rotating presidency of the grouping of major economies this year, which also includes China, India, France, Germany and Japan.

Top US trade official Jamieson Greer said the draft statement on overcapacity had received support from nearly all members.

“The draft statement was supported by nearly all but a handful of members,” he said in a statement two days ago.

The draft called on all countries to take steps to eliminate structural overcapacity in their respective economies, along with several other measures.

Greer, who also chaired the G20 trade ministers’ meeting, said the US was deeply disappointed by the refusal of some members to agree to the statement, but did not identify the countries concerned.

Last September, China objected to wording in a finance ministers’ statement calling on G20 members to “eliminate non-market policies”.

G20 members also failed to reach a common position on efforts to eliminate forced labour practices in supply chains. Only Mexico and Argentina joined the US in issuing a statement on the matter.

Earlier this year, Washington cited forced labour concerns as a reason for imposing sweeping tariffs on dozens of economies, including several G20 member countries.

AFP