Trump says he could link cap gains taxes to inflation

Andrew Cummings
September 1, 2018

"If they don't shape up, I would withdraw from the WTO", Trump said of one of the key anchors of the post-World War II multilateral trading system that the United States helped construct.

"If they don't shape up, I would withdraw from the WTO", Trump said during an interview with Bloomberg News.

However, the United States is, according to Azevedo, not being treated unfairly, as President Trump often suggests.

If the U.S. withdraws from WTO, it would upset the worldwide trade system set up decades ago and was supported by the US.

He has also criticized WTO previously, saying that the USA has been "treated very badly" by the group.

Trump said on Thursday that he could pull out of the WTO, potentially undermining one of the foundations of the modern global economy, which the United States was instrumental in creating.

The highly controversial tariffs have been disputed even inside the White House, with former economic advisor Gary Cohn stepping down last spring over his condemnation of them.

On Monday, the U.S. told the WTO it would block the reappointment of one of its four remaining appeals judges next month, confirming trade experts' fears of a crisis in the system for settling global rows. Earlier this week it launched a case against Russian duties on USA products that it has said are illegal.

The WTO was established in 1995, replacing the General Agreement on Tariffs and Trade (GATT), that was started by 23 countries in 1948 in order to lower tariffs and promote free trade.

Of the 54 cases brought by the USA over the life of the WTO, Washington won at least one finding in its favour in 49, or 91 per cent, Lester said.

The EU has been leading an effort to propose reforms to try and defuse the conflict. However, Trump, who has been pushing protectionist policies, says the U.S. is treated unfairly by the body, the BBC reported.

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