QUESTION OF: Measures to counter the side effects of the trade war between China and the USA


CO-SUBMITTERS:Angola, Austria, Greece, Haiti, Honduras, Israel, ITALY, Belgium, Latvia, Malaysia, Mauritania, New Zealand, Nigeria, Pakistan, Sweden, Switzerland, Senegal, World Bank, United States of America, Jamaica.




Condemning the recent trade wars which weakened global economies in the lead up to the financial crisis brought on by COVID-19, which exemplified the economic impact of said pandemic,


Underlining that numerous member nations are struggling economically due to the trade war between China and the USA, and that trade wars in general would be less effective, and therefore less prevalent, with more diverse supply chains, as dependance on single nations is reduced,


Defining what a successful trade deal looks like, any subsequent negotiations and resulting Chinese behavior should be evaluated based on this measuring stick,


Highlighting the 2019 United Nations Conference on Trade and Development (UNCTAD) report, which stated that neither the United States nor the People’s Republic of China are benefiting from the current economic conflict, as less than 7% of the revenue received from taxation will directly benefit local producers,


Calling to mind the constructive solution-oriented approach of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership which included strong provisions on intellectual property protection and state-owned enterprises,


Acknowledging the fact that some member states (such as South Korea, Bangladesh, Laos, Sri Lanka and India) benefit from the trade war, as stated in the UNCTAD report “Trade Tensions, Implications for Developing Countries” but emphasizing the globally damaging effects of such conflicts,


Emphasising the fact that the International Monetary Fund (IMF) expected a contraction of about 3% in the global economy for 2020, a decrease much more severe than the economic crisis of 2008-2009,


Underlining that the aforementioned prediction was made in a scenario where the COVID-19 outbreak was already fading away by the second half of 2020, with restrictions expected to be gradually taken off by 2021,


Recognizing the WTO as an organization which was founded to protect free trade and ensuring a meaningful and efficient way settle economic disputes to forestall trade wars and preserve the multilateral trading system,


Asking all member nations to fully commit to ratifying and abiding by UN Resolution A/C.2/75/L.3, specifically clause 5, which underlines the importance of strengthening the WTO,


States that diversification and global trade are integral in succeeding in the UN Sustainable Development Goals as well as economic development,


  1. Calls for the further strengthening the World Trade Organization in order to combat trade wars, illegal protectionism, unequal trade and undue political influence which stems from a lack of supply chain diversification through formally condemning member nations who refuse to participate in trade negotiations moderated by the World Trade Organization and affirmed by the United Nations;
  2. Requests a one year extension of the Phase One Agreement signed in 2020 in order to ensure that both nations cooperate with each other, resulting in advantages such as, but not limited to, job growth in many sectors, and a framework for future agreements;
  3. Asks that member nations, especially the United States of America and the People’s Republic of China to look to LEDC’s for new supply chains, to further economic and human development in those nations, and recognize the benefits of sourcing goods from nations with comparatively low labor costs, as well as limiting their reliance on single nations;
  4. Proposes an increased allocation of funds received through import duties to measures such as, but not limited to:
    1. developing special programmes, with a recommended budget of 50% funds received through duties which directly rewards companies most affected by the ensuing economic conflict, specifically the automotive, chemical and agricultural industries;
    2. allocating a further 25% of funds to immediate matters such as, but not limited to:
      1. the current COVID-19 Pandemic
      2. the current climate crisis
      3. expanding resources dedicated to fighting technical unemployment;
  5. Strongly suggests that both parties involved in the conflict reduce their import tariffs to the levels recorded at the end of 2017 by the end of 2022, noting that the WTO would be willing to act as a moderator during any negotiations between the two involved parties in order to reach the goals already imposed by pre-existing agreements, exemplifying the need for a reduction in tariffs on,
    1. personal hygiene and pharmaceutical products
    2. agriculture-related products
    3. minerals and precious metals;
  6. Recommends the creation of a special branch of UNCTAD managed by representatives from the World Trade Organisation and the IMF to be founded, designated specifically for, but not limited to:
    1. monitoring the progress made by both belligerents in reaching the goals proposed by this resolution
    2. suggesting that the Security Council discusses either economic sanctions be placed on uncooperative nations relative to the nature of a violation made by either participant
    3. incentivize the parties in question to remain cooperative in order to alleviate the negotiations.
  7. Suggests a step by step cancelation of taxes on certain products such as but not limited to personal hygiene and pharmaceuticals, agriculture-related products, and minerals and precious metals.