WORLD (Enmaeya News) - October 23, 2025

The international trading system is in danger of collapsing, United Nations Secretary-General António Guterres said Wednesday, citing rising debt, escalating tariffs, and financial strain on poorer nations.

Speaking at the U.N. Conference on Trade and Development, Guterres warned that many developing countries are devoting more resources to debt service than to basic public services like health and education. He stressed that “the rules-based trading system is at risk of derailment.”

He described the global environment as volatile, pointing to deepening geopolitical rifts, inequality, climate pressures, and conflict as obstacles to fair trade and development.

Guterres warned that unless international financial structures evolve, the system that has governed global trade for decades might give way to fragmented, bilateral deals that favor stronger economies.

His remarks coincide with fresh data showing slower global trade growth. The World Trade Organization recently lowered its 2026 forecast for merchandise trade to 0.5%, citing mounting barriers and uncertainty.

Analysts say Guterres’s warning underscores growing concern that unilateral tariffs, trade wars, and weakening multilateral institutions could erode trust in global governance frameworks.