About this report This report covers WTO activities in 2023 and the early part of 2024. At the start ofthe report, Director-General Ngozi Okonjo-Iweala reflects on the current challengesfacing world trade and the role of the WTO in helping the world address thesechallenges. The report also covers the 13th WTO Ministerial Conference, whichtook place from 26 February to 1 March 2024. Further information about the WTO’s activities is available on the WTO website:www.wto.org Who we are The World Trade Organization deals with the global rules of tradebetween WTO members. Its main function is to ensure that tradeflows as smoothly, predictably and freely as possible. Disclaimer This publication has been prepared under the WTO Secretariat’s own responsibility. It does not necessarilyreflect the positions or opinions of WTO members and is without prejudice to their rights and obligationsunder the WTO agreements. The opinions expressed and arguments employed herein are not intended toprovide any authoritative or legal interpretation of the provisions of the WTO agreements and shall in no waybe read or understood to have any legal implications whatsoever. The terms and illustrations used in this publication do not constitute or imply an expression of opinion by theWTO Secretariat concerning the status or boundaries of any territory. AnnualReport2024 Contents OVERVIEW Message from Director-GeneralNgozi Okonjo-Iweala6In the spotlight:13th Ministerial Conference10Trade and climate change14Global trade developmentsand outlook16World trade success stories20Our year24 Fundamental principles32 A brief history34 WHO WE ARE184 Joining the WTO42Trade negotiations and discussions48Implementation and monitoring76Dispute settlement130Supporting development andbuilding trade capacity136Outreach154In the Spotlight: PresidentialLecture Series160In the Spotlight: Public Forum 2023164 WTO Secretariat188Budget, finance and administration196How the WTO is structured200 Overview The overall objective ofthe WTO is to help itsmembers use trade as ameans to raise livingstandards, create jobs andimprove people’s lives.The WTO operates theglobal system of trade rules and helps developingeconomies build their tradecapacity. It also provides aforum for its members tonegotiate trade agreementsand to resolve the tradeproblems they face witheach other. CONTENTS Message from Director-General Ngozi Okonjo-Iweala6 Global trade developmentsand outlook16 World tradesuccess stories20 Our year24 Message from Director-GeneralNgozi Okonjo-Iweala These are troubling times forglobal trade. Amid geopoliticaltensions and the backdrop ofthe climate crisis, we see increasedprotectionism and unilateral policymeasures. The data suggest thatafter years of talk of decoupling, trademay be starting to fragment alonggeopolitical lines. of trade to more people and countries.The World Trade Organization has avital role to play in enabling membersto seize these opportunities - and indoing so, to make the global economymore inclusive, more sustainable andmore resilient. In 2023 – the main period coveredby this report – merchandise tradevolumes fell by 1.2 per cent aftergrowing 3.0 per cent the year before,as many countries dealt with thelingering effects of inflation and highenergy prices. But this decline waspartially offset by strong growth inservices trade, which increased by9 per cent in value terms, boosted in And yet within these challengesthere are exciting opportunities.Opportunities to harness digitalizationto spur growth and job creation.Opportunities to use trade to enhanceglobal food security and acceleratethe push towards net-zero emissions.Opportunities to spread the benefits the WTO and its members movedforward on all these fronts, helpingbuild the enabling environment fortrade’s evolution in the years ahead.At the same time, members left keybusiness unfinished – notably onfisheries subsidies and agriculture. particular by the post-pandemic surgein tourism. Despite trade tensions, politicaluncertainty, and shocks like COVID-19,world trade has been remarkablyresilient in recent years. The value oftotal goods and commercial servicestrade in 2023, at US$ 30.4 trillion, wasclose to record highs. Merchandisetrade volumes at the end of 2023 were6 per cent above their pre-pandemicpeak in 2019, while the value ofcommercial services trade was up21 per cent between 2019 and2023 – and by more than 50 per centfor trade in digitally-delivered services. Vis-à-vis services, MC13 saw theentry into force of new disciplines fordomestic regulation aimed at cuttingservices-related red tape and makingit more straightforward for serviceproviders to enter foreign markets. Over70 WTO members are committed toimplementing these new disciplines. On digital trade, members at MC13helped preserve market predictabilityby extending by two years thelongstanding moratorium againstlevying customs As it marks its 30th anniversary thisyear, the WTO has continue