G20 Finance Chiefs Raise Alarm Over Trade War Tensions

The G20 member countries have noted that risks from trade and geopolitical tensions were "intensifying" while they pledged to "protect global growth from disruptions".



After several sittings in Japan's Fukuoka province, G20 finance ministers and their respective central bank chiefs also said that global growth "appears to be stabilizing and is expected to pick up later this year and next year." Tokyo-based daily Japan Today reported.



The daily said that some G20 leaders participating in the meetings indicated that trade between the U.S. and China was "number one concern".



"We will continue to address these risks, and stand ready to take further action," said a statement issued at the end of the meeting.



"We reaffirm our commitment to use all policy tools to achieve strong, sustainable, balanced and inclusive growth, and safeguard against downside risks," the statement added.



The daily said that many participants of the meeting differed with the U.S., which has "shifted away from support" for tackling issues in multilateral forums such as the World Trade Organization in favor of a country-by-country "America First" approach.



Chief of International Monetary Fund (IMF) Christine Lagarde warned of potential toll from the tit-for-tat tariff hikes and other retaliatory moves between Washington and Beijing.



"The road ahead remains precarious," she observed.



"The principal threat stems from continuing trade tensions," said Lagarde, adding that the IMF estimates the tariffs could reduce the level of global GDP by 0.5 percent in 2020, or about $455 billion.



Quoting French Finance Minister Bruno Le Maire, Japan Today reported: "The current global slowdown was linked to political issues, especially trade tensions."



"So, it's high time that we put an end to those tensions and we should avoid trade wars which would have real deep negative impact and long-term impact on global growth," he said.



Urging Beijing and Washington to resolve their disputes through the World Trade Organization (WTO), Maire said: "It is only within the multilateral framework that we can find long-term solutions for present trade tensions."



The meeting also witnessed a consensus evolving to "revamp the WTO to bring it more in line with the digital economy realities of the 21st century".



"We will work constructively with other WTO members to undertake necessary WTO reform with a sense of urgency," daily Japan Times reported "ing the G20 statement.



The leaders of G20 member-states will be meeting for a summit later this month in Japan. The summit assumes significance since warring presidents of U.S. and China will be attending the meeting amid the trade war between Washington and Beijing.



Besides, meeting between Turkish President Recep Tayyip Erdogan and Trump is also scheduled in which the duo is expected to discuss contentious issue of S-400 air missile defense system. -