Communique Issued at G20 Summit in Buenos Aires on 1 December 2018

Ms Sylvia Lim asked the Minister for Trade and Industry to what extent the Government agrees with the communique issued at the G20 Summit in Buenos Aires on 1 December 2018, in particular, that the multilateral trading system is currently falling short of its objectives and that there is a need for reforms at the World Trade Organisation to improve its functioning.

Singapore welcomes the Group of 20 (G20) Leaders' Declaration in advancing the Argentinean Presidency's theme of "Building Consensus for Fair and Sustainable Development", which affirms the G20's commitment to pursuing strong, sustainable, balanced and inclusive growth. We also welcome the G20's pledge to work together to improve a rules-based international order that is capable of effectively responding to a rapidly changing world.

The rules-based multilateral trading system has provided predictability and stability in the conduct of international trade, facilitated trade and investment liberalisation, fostered cooperation and interdependence among economies, and underpinned global economic growth for decades.

The World Trade Organisation (WTO) has made efforts, since its establishment in 1995, to ensure that its rules and core functions remain relevant for business and governments in the face of rapidly evolving trade realities. With more than 160 WTO Members, obtaining consensus can be challenging. Some notable successes include the conclusion of the WTO Trade Facilitation Agreement in 2013 and the expansion of the Information Technology Agreement (ITA2) in 2015, which expedite the flow of goods across borders and further liberalise trade in information and communication technology products respectively. However, the pace of reforms needs to be accelerated.

This includes updating WTO rules to support and facilitate the growth of the digital economy. Singapore, together with Australia and Japan, drives the WTO Joint Statement Initiative on E-Commerce, a widely supported endeavour to develop multilateral trade rules on e-commerce which 72 WTO members accounting for 77% of global trade have signed up to thus far.

The WTO's effective functioning is crucial for Singapore, as a small and open economy heavily dependent on trade. WTO reform discussions are taking place in Geneva, and plurilaterally amongst concerned members. Singapore is supportive of all efforts to build up and strengthen the WTO and will continue to contribute to discussions at the WTO and other fora.