1. Introduction

Member States benefited greatly from the WTO's most-favoured-nation and national treatment principles. The principle of most-favoured-nation treatment ensures equal treatment for every member on a non-discriminatory basis, which means that any concessions and benefits granted to one member must be extended to all members. This eliminates discriminatory practices and promotes fair and open trade. Similarly, the principle of national treatment prevents discrimination against imported goods or services by giving foreign goods and services the same treatment as domestic goods and services. These principles help to level the playing field, reduce trade barriers and enhance market access for member States. [1] In addition, WTO accession contributes to the establishment of a stable and transparent trading environment, the existence of WTO commitments and obligations ensures a stable business environment, investments are protected, and disputes can be resolved through reliable dispute settlement mechanisms. This encourages member countries to liberalize their economies and implement market-oriented reforms in order to achieve economic growth and development.

However, over time, the benefits offered by the WTO to members appear to have diminished, raising concerns about the need for reforms to complement and drive further global trade. [2] This paper aims to explore the diminishing advantage of the WTO over its members and propose reform measures to address these challenges.

In recent years, there has been a growing sense that WTO has exhausted its potential in providing tangible benefits to its members. The organization's original objectives, such as promoting trade liberalization, dispute settlement and improved market access, have been largely achieved. As a result, the role of the WTO in facilitating the negotiation and implementation of trade agreements has become less important. Member States are seeking new ways to boost economic growth, which has led to calls for the WTO to adapt and respond to changing global economic realities.

In addition, the emergence of regional and bilateral trade agreements diverts attention and resources from the multilateral framework of the WTO. These alternative agreements provide member States with more immediate and concrete benefits, tailored to their individual needs or regional circumstances. This trend has resulted in a fragmented trading system[3] that has led to concerns that the WTO will become less relevant in the face of changing trade dynamics. Reforms were therefore necessary to ensure that WTO continued to play a central role in the global trading system and to promote economic growth and development for all its members.

The reform process should focus on several key areas. First, there is a need to strengthen the effectiveness of the WTO in addressing emerging trade challenges such as digital trade, intellectual property rights and non-tariff barriers. By integrating these issues into its framework, the WTO can demonstrate its relevance and ability to respond effectively to the trade challenges of the 21st century. Secondly, the organization should strengthen its monitoring and enforcement mechanisms to ensure that member States comply with their commitments. This will increase trust and predictability in the global trading system and create an environment conducive to open and fair trade. Finally, WTO must improve its decision-making process in order to increase efficiency and promote inclusiveness among members. By streamlining the process for negotiators and involving all member states in the decision-making process, the organization can regain credibility and promote the inclusiveness and fairness it aspires to.

Finally, the WTO faces the challenge of reinvigorating its role and relevance in the changing global trade landscape. As member countries explore alternative trade agreements and the organization's interests stall, reforms are imperative to align the WTO with changing realities and ensure that it remains an important force driving global trade. By addressing emerging challenges, strengthening implementation mechanisms and promoting inclusive decision-making, the WTO could once again be a catalyst for economic growth and prosperity for all its members. [4]

2. The opportunities and challenges of reform

2.1. Reasons for exhausting current benefits

The exhaustion of the interests of member States is a key factor in the need to reform the World Trade Organization (WTO). There are several reasons for the depletion of the current advantage:

First, rising economic protectionism impedes the effectiveness of the WTO[5]. In recent years, protectionist measures such as tariff and non-tariff barriers have risen to the fore, undermining the principle of free trade upheld by the WTO. These measures serve the interests of individual countries, but impede the collective benefits derived from open and fair trade. As a result, member countries have increasingly limited opportunities to benefit from a liberalized global trading system.

Second, the lack of an enforcement mechanism within the WTO has led to the exhaustion of members' interests. [6] While the WTO has established dispute settlement procedures, these procedures often prove lengthy and cumbersome. As a result, countries that violate trade rules may escape significant consequences, leading to a weakened deterrent effect. This lack of enforcement undermines the credibility of the WTO and reinforces the negative perception that the organization cannot ensure a level playing field for its members[7].

In addition, the rapidly changing dynamics in the global economy present new challenges[8] that the current WTO framework is difficult to address. For example, the growth of digital trade urgently requires international trade rules that can effectively manage e-commerce activities and protect intellectual property in the digital domain. However, existing agreements and provisions within the WTO have not adequately kept pace with these developments, leaving members without the necessary framework to address the opportunities and challenges presented by the digital economy.

In short, the interests of WTO members have been exhausted, and reform is necessary [9]. The failure to adapt to the changing global economy, growing protectionism, the lack of effective enforcement mechanisms, and the inability to respond to emerging trade challenges have contributed to the current state of diminishing advantage. A comprehensive reform of the WTO was therefore essential to revitalize its relevance, enhance its effectiveness and ensure that members were able to take full advantage of the benefits of global trade.

2.2. New situation and new challenges in the development of world trade

In recent years, the World Trade Organization (WTO) has faced many challenges and new developments in the global trade landscape. These factors necessitate reform within WTO to effectively respond to and promote the development of world trade.

One of the main challenges facing world trade is the dynamics of economic power. Emerging economies such as China, India and Brazil have witnessed significant growth[10] and have become major players in international trade. This changing landscape presents new opportunities, but it also poses challenges for established economic powers. [11] As these emerging economies continue to grow, they demand greater representation in the WTO and call for more inclusive and equitable decision-making processes.

In addition, technological advances have had a profound impact on global trade. The development of digital technologies and e-commerce has revolutionized the way goods and services are produced, distributed, and consumed. This has led to the rise of new business models and trade models that may be difficult to adequately address with traditional trade rules. WTO reform is necessary to adapt and adapt to the rapidly evolving digital economy and to ensure fair competition and consumer protection in this new environment.

Another key aspect of the new landscape is the increasing interdependence and interconnectedness of global supply chains. Modern trade involves complex value chains that span multiple countries and continents. This interdependence brings both benefits and vulnerabilities. Disruptions in one part of the world could have a ripple effect that affects global trade flows and economic stability. Meeting this challenge requires a more integrated and cooperative approach by WTO Members to manage supply chain risks and ensure trade facilitation.

Finally, new developments and challenges in world trade called for comprehensive reform within the WTO. Evolving economic power structures, technological advances, the interdependence of global supply chains, and the need for environmental sustainability all require a flexible and adaptable international trade framework. By addressing these challenges, the WTO can effectively respond to the changing landscape and move world trade towards a more prosperous and sustainable future.

2.3. The importance of reform for Member States and the global economy

WTO reform was necessary in its implications for member countries and the global economy. Reform was essential in order to maintain the relevance and effectiveness of the WTO in the evolving and complex world trade landscape.

First, reforming the WTO is crucial for members. The current rules and agreements of the WTO were developed decades ago, when global economic dynamics were different. With the rapid growth of emerging economies and the rise of digital trade, existing rules have failed to adequately address new challenges. By reforming the Organization, Member States can modernize and update rules to better reflect changing patterns of global trade and ensure fair and equal opportunities for all. The effective functioning of the global trading system is essential to sustaining and strengthening economic prosperity. The WTO is a platform for negotiation and dispute settlement, providing a predictable and stable environment for trade. By reforming the organization, member states can increase transparency, streamline processes, and promote trust between countries[12], which in turn promotes investment, encourages innovation, and facilitates the cross-border flow of goods and services, ultimately leading to economic growth and development.

Moreover, WTO reform was important for the global economy as a whole. A strong and well-functioning multilateral trading system is essential for promoting global economic stability and cooperation. The spillover effects of the economic crisis and protectionist measures could have far-reaching effects, not only on individual countries but also on the international community as a whole. By reforming the WTO, members can strengthen the organization's capacity to effectively resolve trade disputes, address non-tariff barriers, and promote free and fair trade practices. This will contribute to the overall stability and sustainability of the global economy to the benefit of all countries.

Finally, the importance of reforming the WTO includes both member countries and the global economy. By modernizing and updating the Organization, Member States can ensure fair and equal opportunities for global trade, promote economic growth and development, and contribute to the stability and cooperation of the global economy. The necessary reforms must be undertaken to ensure that WTO remained relevant and effective in promoting and adapting to world trade.

3. The direction and principles of reform

3.1. Respect for the multilateral trading system

Respect for the multilateral trading system is an important principle guiding WTO reform. This principle recognizes the importance of an inclusive and rules-based global trade framework to promote fairness and transparency among member countries. First, respect for the multilateral trading system meant adherence to the principles of non-discrimination and most-favoured-nation treatment. These principles, enshrined in the General Agreement on Tariffs and Trade (GATT), ensure equal treatment by member States of all trading partners without discriminatory practices. By upholding these principles, WTO creates a level playing field that enables countries to level the playing field and benefit from increased market access. [13]

Moreover, respect for the multilateral trading system involves supporting the WTO dispute settlement mechanism. The Dispute Settlement Body (DSB) plays a vital role in resolving trade disputes and maintaining the integrity of the global trading system. Member States must submit their disputes to the Dispute Settlement Body in good faith and abide by its rulings. In so doing, WTO ensures that trade disputes are resolved in a fair and equitable manner, thereby enhancing confidence and stability in the multilateral trading system.

Moreover, respect for the multilateral trading system required active participation and cooperation among member States. WTO provides a platform for dialogue and negotiation, enabling countries to express their concerns and seek consensus on trade-related issues. By respecting and valuing the diverse views and interests of all members, WTO could promote a more inclusive and effective multilateral trading system. In addition, respect for the multilateral trading system required the promotion of transparency and information-sharing. The WTO's Trade Policy Review Mechanism (TPRM) provides a framework for members to review each other's trade policies and practices. This process contributes to a better understanding and assessment of trade measures and ensures that they are consistent with WTO principles and commitments. By enhancing transparency, the multilateral trading system can promote trust, predictability and fair competition among member countries.

In conclusion, respect for the multilateral trading system was the basis for WTO reform. [14] By adhering to the principle of non-discrimination, supporting dispute settlement mechanisms, promoting active participation and enhancing transparency, the WTO can effectively adapt to the changing global trade pattern and continue to promote global economic growth and development. It is only through a collective commitment to a multilateral approach that WTO can meet the challenges and seize the opportunities of an increasingly interconnected and interdependent world.

3.2. Strengthening oversight and transparency

In order to enhance oversight and transparency, a number of measures could be implemented in the context of WTO reform. First, monitoring mechanisms and procedures must be strengthened. This could be achieved through the establishment of a strong system that ensured a comprehensive and regular assessment of members' compliance with WTO rules and regulations. Such a system should include periodic review and evaluation of each member's trade policies and practices so that any potential deviations or unfair trade practices can be identified.

In addition, transparency in the WTO decision-making process must be enhanced. At present, decision-making within the Organization was largely behind closed doors, which weakened accountability and called into question the fairness of results. To address this issue, the WTO should adopt a more transparent approach by publishing the agenda, minutes and outcomes of its meetings. This would enable other stakeholders, such as Member States and civil society organizations, to have a clear understanding of the decision-making process and hold the organization accountable for its actions.

In addition to transparency in decision-making, the WTO should also improve the transparency of its dispute settlement mechanisms. Dispute resolution plays a vital role in ensuring a fair and predictable trading system. By increasing the transparency of this mechanism, Member States can better understand the legal reasoning and arguments raised in the dispute settlement process. This would not only increase the credibility of the WTO, but also enable countries to draw lessons from previous cases and ensure a more coherent and consistent manner in resolving future disputes.

In conclusion, strengthening oversight and transparency within WTO is essential to enhancing its efficiency and credibility. By implementing measures such as strengthening monitoring mechanisms, improving transparency in decision-making and dispute resolution, and increasing stakeholder participation, the organization can better fulfil its role in facilitating and promoting global trade. The WTO must adapt to the changing global trade landscape and address the concerns and challenges faced by members in order to ensure a fair and inclusive global trading system.

3.3. Improve dispute settlement mechanisms

In order to improve dispute settlement mechanisms in the context of WTO reform, several key areas should be addressed. First, there is a need to improve the transparency and efficiency of the dispute settlement process. This can be achieved by streamlining procedures and reducing unnecessary delays. Currently, the time it takes for a case to reach a resolution can be lengthy, and some disputes take years to conclude. Measures should therefore be taken to expedite the settlement process, such as setting clear timetables for each stage of the dispute settlement process and adhering more rigorously to those timetables.

Another important aspect to consider is the composition and selection of the panel to deal with the dispute. It is essential to ensure the impartiality and expertise of the panellists. Currently, the selection process relies heavily on the discretion of the parties to the dispute, with each party selecting a panel member. This can lead to biased results, especially if the panelists represent the interests of their respective countries. To address this problem, a more transparent and objective selection process should be established, allowing for the inclusion of panellists with diverse backgrounds and expertise. In addition, the enforcement of awards needs to be strengthened. At present, compliance with dispute settlement awards by member states is voluntary, and there are limited mechanisms for enforcing compliance. This undermines the effectiveness of the dispute settlement system, as it allows States to ignore adverse decisions without facing significant consequences. In order to strengthen the enforcement of rulings, more severe penalties or measures should be imposed for non-compliance. This may include the imposition of trade sanctions or penalties on countries that fail to comply with dispute settlement awards within the required time.

In conclusion, the dispute settlement mechanism within the WTO needs to be improved to ensure transparency, fairness and enforcement. Reform should focus on speeding up the settlement process, strengthening the selection process for members of the Group of Experts, strengthening enforcement measures and improving accessibility for developing countries. By addressing these areas, dispute settlement mechanisms can become more efficient and effective in resolving trade disputes and promoting a fair and rules-based global trading system[15].

4. Specific reform measures and promotion paths

4.1. Strengthening the capacity of Member States to participate and set the agenda

In order to strengthen the capacity of member States to participate and set agendas within WTO, a number of measures should be taken. First, a more inclusive decision-making process must be established to ensure that all Member States had a voice and influence in setting the agenda of the Organization. This can be achieved by prioritizing transparency and openness, providing equal opportunities for all members to contribute and express their concerns, and promoting dialogue and consensus-building among all parties involved.

In addition, capacity-building initiatives should be developed to strengthen the technical expertise of Member States. This can be achieved through training programs, seminars and knowledge-sharing platforms aimed at improving their understanding of trade policy, negotiation and dispute settlement mechanisms. By strengthening their technical skills, member countries would be better equipped to participate actively in decision-making processes and contribute effectively to the WTO agenda.

In addition, greater participation of developing and least developed countries in WTO must be promoted. Particular attention should be paid to addressing their specific needs and ensuring that their concerns are fully reflected in the Organization's agenda. This could be achieved through targeted support programs that facilitated their participation, increased their understanding of the WTO process, and enhanced their capacity to participate actively in negotiations.

Finally, enhancing the capacity of member countries to participate and set the agenda within WTO is essential to ensure the Organization's effectiveness and relevance in the changing global trade landscape. By prioritizing inclusiveness, capacity building and stakeholder engagement, the WTO can better meet the diverse needs and interests of its members while promoting sustainable development of world trade.

4.2. Promoting trade facilitation and reducing trade barriers

In order to promote trade facilitation and reduce trade barriers, the World Trade Organization (WTO) must implement concrete reform measures and establish effective ways to achieve those goals. [16]

First, trade facilitation must be a central pillar of any reform effort. Simplifying customs procedures and simplifying administrative procedures can greatly improve efficiency and reduce the time and costs associated with cross-border trade. The implementation of the 2017 WTO Trade Facilitation Agreement (TFA) is an important step towards this goal, as it sets out clear guidelines and best practices for customs procedures, border controls and clearance of goods. However, further action is needed to ensure full compliance with and effective implementation of the Agreement by all Member States.

Second, reducing trade barriers is essential to promoting fair and open global trade. This can be achieved by eliminating or reducing tariff and non-tariff barriers, such as quotas, licensing requirements and technical regulations. WTO should endeavour to negotiate comprehensive and balanced trade agreements to address those obstacles, taking into account the different levels of development and interests of its members. In addition, tightening discipline on subsidies and state-owned enterprises can help level the playing field and prevent distortions in international trade[17].

In addition, capacity-building programmes must be developed to assist developing and least developed countries in implementing trade facilitation measures. The provision of technical assistance, training and financial support could help those countries overcome implementation challenges and strengthen their participation in the global trading system. WTO and its members must support these capacity-building initiatives to ensure inclusiveness and promote sustainable development.

In short, the WTO needs to prioritize and actively pursue trade facilitation and the reduction of trade barriers. By implementing concrete reforms and promoting cooperation among members, WTO could effectively promote an open, transparent and efficient trading environment that benefited all countries. Efforts to simplify customs procedures, reduce tariffs, increase transparency and support capacity-building are key to achieving these goals.

5. Conclusion and Outlook

In short, the World Trade Organization (WTO) has exhausted its beneficial influence on its members, and reforms are needed to adapt to and promote global trade developments. Looking ahead, several key aspects must be considered.

First, the WTO needs to prioritize inclusiveness and equity in its decision-making process. Currently, major players such as the United States and China dominate the negotiations, leaving smaller countries with limited influence. Reform should aim at ensuring that the voices of all Member States, including developing countries, were heard and taken into account. This could be achieved through greater representation and greater participation of small States in WTO operations. By promoting inclusivity, the organization will create a more level playing field for all members and strengthen its credibility as a global trade regulator.

Secondly, it is essential to break the deadlock in the current round of negotiations. Over the past few years, the Doha Development Agenda had faced challenges and member States had been unable to reach consensus on major issues such as agricultural subsidies and market access. In order to break this impasse, WTO should consider a more flexible negotiating approach. This could involve exploring alternative mechanisms such as plurilateral agreements, where a subset of countries could come together and negotiate specific issues without the unanimous consent of all members. Flexibility in negotiations is essential to ensure that progress is not hampered by the different interests and complexities faced by Member States.

In addition, the WTO needs to adapt to the changing global trade landscape, especially in the digital age. The explosion of e-commerce and digital services has changed the way goods and services are exchanged between countries. Organizations must modernize their rules and regulations to address emerging challenges such as data protection, intellectual property, and cybersecurity. By embracing technological advances and actively responding to the changing nature of trade, the WTO can remain relevant and influential in shaping global trade policy.

Finally, the WTO should play a proactive role in promoting cooperation among its members to solve pressing global problems. As the COVID-19 pandemic has shown, international cooperation is essential to manage crises and ensure an uninterrupted flow of essential goods. The organization should play a central role in establishing mechanisms for sharing important information, coordinating supply chains and facilitating emergency response. By serving as a platform for cooperation and exchange, WTO could harness the collective strength of its members to overcome challenges and promote the sustainable development of the global trading system.

In conclusion, reform within WTO is necessary to effectively adapt to and promote global trade developments. By prioritizing inclusivity, resolving deadlocks, embracing technological advances and promoting international cooperation, the organization can overcome current limitations and create a fairer and more prosperous global trading environment.