During a recent G20 trade meeting in Milwaukee, only Mexico and Argentina supported a U.S.-led initiative aimed at eliminating goods produced with forced labor from supply chains, while most other countries, including China, opposed calls to curb excess industrial capacity and non-market policies.
This division follows the U.S. imposition of tariffs on goods from 59 countries over forced labor allegations and an ongoing investigation into 16 trading partners for excess capacity, which may result in new duties. The U.S. Trade Representative's office expressed disappointment over the lack of consensus on these issues, particularly as they relate to China's industrial policies.
Additionally, G20 ministers reached an agreement condemning the weaponization of food trade, emphasizing that such practices pose significant humanitarian and economic threats. The discussions also touched on potential reforms to the most favored nation tariff system, with some members open to considering changes that could allow for differentiated treatment of non-market economies like China