The effect of Covid-19 pandemic on multilateral trading system in the perspective of developing countries and Vietnam

Abstract

After 25 years of establishment and development, the World Trade Organization (WTO) has faced many challenges in the context of the 21st-century global economy. Such challenges are more aggravated by the COVID-19 pandemic in late 2019 which caused globally humanitarian, medical, and commercial issues. With the acknowledgment that the transparency would be a crucial instrument to mitigate adverse effects of the epidemic on international trade, the role of the WTO - a multilateral trade organization - as an essential mechanism to sustain the economic globalization, minimize trade damages, and lay the foundation for a sustainable world economic recovery is questioned. The paper analyzes the role of international organizations, especially the WTO, to lead and support countries to overcome global crises and mitigate the damages caused by the COVID-19 pandemic to the world economy. It also analyzes and assesses the trade policies that responded to the pandemic of developing countries and Vietnam. The paper then offers some suggestions and recommendations for Vietnam in the current context.