Global trade policy makers should not try to recreate the pre-pandemic trading system, but should create a system that is more resilient, resilient and supports a higher standard of living, said US Trade Representative Katherine Tai, speaking at a virtual panel of the World Economic Forum, Reuters reported.
“I think that it is time for us to acknowledge that our goal really shouldn’t be to try to go back to the way the world was, say in 2019, but to take lessons, very hard earned lessons, very painful lessons that we have experienced over the past two years and take this opportunity to build toward something that is different and better,” Tai said.
Sultan Ahmed bin Sulayem, chairman of port giant DP World, told the forum that it could take up to two years after the pandemic ends to return to normal.
Intel Corp Chairman Patrick P. Gelsinger said the pandemic showed a clear need for more resilient and diversified supply chains. This should include their stress testing for critical components in the same way that financial institutions' stress testing improved after the 2008-2009 financial crisis.
World Trade Organization Director-General Ngozi Okonjo-Iweala told the forum that the current disruption in the global economy provides an opportunity to diversify supply chains to developing countries that have not benefited from previous waves of globalization.