The G20 Nations appealed for improved dialogue between member nations to defuse worsening trade relations that could critically impact global economies. Finance ministers and central bankers from top 20 economies met in the Argentine capital, Buenos Aires, warning that “mounting trade and geopolitical tensions” could adversely impact the global trade and business.
It comes at a time when US President Donald Trump’s protectionist plans have irritated key allies including the European Union and Canada and sparked a range of retaliatory actions.
The G20’s communique emphasized “the need to step up dialogue and actions to alleviate risks and improve confidence” amidst concerns of an escalating global trade war.
While the communique did not specify the United States, which is at the center of trade disputes with G20 members like China and the EU, besides other nations. Argentina’s Economy Minister Nicolas Dujovne indicated that the G20 cannot sustain a crack over trade disputes which he said should be directly resolved between the member nations or via the World Trade Organization.
During the 2008 global financial meltdown, the G20 played a decisive role in thwarting an economic catastrophe and saved millions of jobs. However, the Treasury Secretary Steven Mnuchin restated his assertion that the US simply wants “more balanced trade” with other nations.
US businesses have been hit with a variety of countermeasures by China, the EU, Canada and Mexico, including duties on soybean, motorcycles, bourbon and other goods while manufacturing corporations are moaning about rising prices of key supplies, subjected to new US taxes.