U.S. Ramps up WTO Reform Pressure, Questions 'Developing' Status of S. Korea

Arirang News
Arirang NewsMar 24, 2026

Why It Matters

Reforming SDT could level the playing field for advanced economies, reshaping global trade rules and affecting billions in tariff revenues.

Key Takeaways

  • US urges WTO to drop developing status for certain economies.
  • Reform report targets special and differential treatment (SDT) loopholes.
  • Brazil, Singapore, South Korea, Costa Rica flagged for self‑declared status.
  • Washington proposes objective criteria and incentives for compliance.
  • WTO ministerial in Cameroon becomes arena for US‑led reform push.

Summary

The United States is using the upcoming WTO ministerial in Cameroon to press for sweeping reforms, specifically demanding that countries like South Korea relinquish their self‑declared developing‑country status. A new report from the U.S. Trade Representative, authored by Jaime Sin Greer, characterizes the current WTO framework as "untenable and unsustainable" and calls for an overhaul of special and differential treatment (SDT) provisions that grant developing nations greater flexibility on tariffs and implementation timelines.

The report highlights four economies—Brazil, Singapore, South Korea and Costa Rica—that continue to enjoy SDT benefits despite earlier pledges to forego them. It argues that the WTO’s binary classification no longer reflects modern economic realities, allowing affluent nations to claim developing status and secure preferential treatment. Washington proposes clear, objective criteria for determining developing status and stronger incentives for nations that meet notification and reporting obligations.

In a notable example, South Korea retained its developing designation in 2019 but chose not to claim the associated benefits, underscoring the ambiguity the U.S. seeks to eliminate. The USTR’s language frames the reform as essential to restoring credibility to the multilateral trading system, which has been strained by rising protectionism under the Trump administration.

If successful, the U.S. push could reshape WTO negotiations, tightening rules for the most advanced economies and potentially reducing the leverage developing countries have historically wielded. The outcome will influence tariff commitments, market access, and the overall balance of power within the world’s premier trade institution.

Original Description

미국, WTO 개혁 압박 본격화… 한국 등 4개국 ‘개도국 지위’ 유지 지적
Cameroon is scheduled to host the 14th Ministerial Conference of the World Trade Organisation later this week and ahead of that gathering the U.S. has reiterated its calls for reform within the body finding fault with the status of some members including South Korea.
Kim Jun-hong explains.
The United States is stepping up pressure on countries, including South Korea, to give up their developing country status at the World Trade Organization.
The U.S. Trade Representative released a reform report on Tuesday, signaling Washington's intent to crack down on what it sees as "free-riding" within the WTO system.
Citing U.S. Trade Representative Jamieson Greer, the report describes the current global order in international trade as "untenable and unsustainable."
Washington argues that reforming "special and differential treatment," or "SDT," is key to restoring the organization's credibility.
SDT allows developing countries greater flexibility, including slower tariff cuts and extended timelines for implementing trade commitments.
At the heart of the issue is the WTO's binary classification of developed and developing countries, which Washington says no longer reflects today's economic realities.
Under the current system, highly developed economies can still self-declare as developing countries and receive preferential treatment.
The report points to four countries Brazil, Singapore, South Korea and Costa Rica.
It says that although such nations pledged to "forgo SDT provisions" in past negotiations, they still retain self-declared developing country status.
The United States also outlined reform steps, proposing stronger incentives for countries that comply with notification requirements by properly reporting trade-related measures.
Washington also called for clearer, objective criteria to determine developing country status.
Based on the report, the U.S. is expected to press hard for reform at the WTO Ministerial Conference, set to open in the coming days.
Rising protectionism driven by the tariff policies of the Donald Trump administration has put the multilateral trading system under mounting strain.
South Korea chose to keep its developing country status in 2019 while opting not to seek the associated benefits.
Kim Jun-hong, Arirang News.
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2026-03-24, 17:00 (KST)

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