Geopolitical tensions and the resilience of the world trade organisation framework

Abstract

The World Trade Organization (WTO) dispute settlement mechanism is mostly known as the central pillar of the multilateral trading system and the WTO's most important contribution to global economic stability. It provides a rules-based, multilateral forum for resolving trade disputes between WTO member countries, preventing unilateral actions that could escalate into broader conflicts. However, geopolitical tensions, can be refered to heightened political, strategic, and economic rivalries between major powers or blocs that spill over into trade policy. Thus inthe context of the World Trade Organization (WTO) and its dispute settlement mechanism (DSM), geopolitical tensions are now front and center because they directly challenge the core promise of the multilateral trading system. The core aim of the World Trade Organization (WTO) is to promote open, rules-based, and non-discriminatory trade among nations.Neverthless, rising geopolitical tensions are increasingly challenging this objective, raising serious questions about the resilience of the WTO framework. In today's international trade environment, powerful countries frequently weaponize trade through unilateral tariffs, sanctions, and economic coercion, as clearly seen in the US-China trade war. This research critically examined the impact of current geopolitical tensions on the resilience of the World Trade Organization (WTO) framework through a legal lens. Also, the study ultimately assessed how effectively the mechanism protects WTO members and upholds the rules-based multilateral trading system in an era of increasing trade weaponization. Geopolitical tensions, rising protectionism, unilateral trade measures, and the frequent invocation of national security exceptions have severely challenged the WTO, with the paralysis of the Appellate Body largely due to US concerns over its authority significantly weakening enforcement. Despite these pressures, the WTO remains a vital platform for dialogue, negotiation, and transparency; its member-driven adaptability, through plurilateral initiatives and enduring legal principles, continues to support global trade even as multilateralism faces serious strains.