EU Nears Backing Rival WTO Candidate Over U.S. Pick as New Chief
EU Nears Backing Rival WTO Candidate Over U.S. Pick as New Chief
(Bloomberg) -- The European Union moved closer to endorsing Nigeria’s Ngozi Okonjo-Iweala to lead the World Trade Organization, a step that would give her a big boost as the U.S. backs the only other contender in the final phase of the contest.
EU governments on Friday pushed forward a proposal to support Okonjo-Iweala, a Nigerian former finance minister, over Yoo Myung-hee, South Korea’s trade chief, in the race to become WTO director-general, according to officials familiar with the matter. The people spoke on the condition of anonymity because the talks in Brussels were confidential.
The 27-nation bloc aims to give the green light on Monday for the endorsement of Okonjo-Iweala, with internal deliberations possibly continuing over the weekend to win over five member countries that have so far held out, one official said. Germany, current holder of the EU’s rotating presidency, is steering the effort.
Okonjo-Iweala and Yoo are the only remaining contenders -- out of an original group of eight -- and featured earlier this month on the EU’s list of top two preferences for the WTO job leadership.
Brazilian Roberto Azevedo stepped down from the WTO’s top job at the end of August -- a year before his term ended. The Geneva-based trade body faces headwinds from a U.S.-China trade battle, the Covid-19 pandemic, a hobbled arbitration system and a lack of tools to tackle growing challenges such as industrial subsidies.
Okonjo-Iweala is on track to become the EU’s No. 1 preference as a result of the bloc’s campaign to bolster ties with Africa and her breadth of professional experience including at the World Bank, according to officials. She also showed a strong political persona during a hearing last week with the EU, the people said.
The WTO is still consulting its member countries about the leadership bids by Okonjo-Iweala and Yoo. It plans to announce a winner by Nov. 7, with the still-undisclosed position of China being potentially key as the U.S. supports Yoo.
Europe has found itself in the middle of the U.S.-China trade battle over the past three years, seeking to prod both countries to do more in defense of multilateral rules.
The EU has fought to curtail alleged unfair Chinese trade and investment policies while lashing out at President Donald Trump’s “America First” agenda, protectionist tilt and confrontational approach toward China and Europe.
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