Vol. 1 No. 1
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Research article

Institutional Dilemmas and Reform Paths of the WTO from a Sustainable Development Perspective

Published 2026-06-08

  • Haoming Liu
    • ,
  • Dingxiong Gu

Haoming Liu
Belarusian State Economic University image/svg+xml

Dingxiong Gu
Hankuk University of Foreign Studies image/svg+xml

Abstract

As the core institution of the multilateral trading system and a pivotal platform for global economic governance, the World Trade Organization (WTO) has underpinned post-war trade liberalization and institutional stability. Adopting historical review, institutional analysis and literature synthesis, this paper traces the WTO’s progression from the GATT framework to contemporary operation, clarifies its institutional structure, core functions and operational dilemmas, and systematically incorporates sustainable development into the analytical framework. The study demonstrates that the WTO is confronted with multiple crises: the paralysis of the dispute settlement mechanism, prolonged deadlock in multilateral negotiations, institutional misalignment with digital trade governance, and insufficient integration with environmental and social sustainability targets. The traditional rule-setting neglects the coordination among trade liberalization, ecological protection and inclusive development, eroding the organization’s legitimacy and effectiveness. To revitalize the multilateral trading system, targeted institutional reform is imperative: repairing the dispute settlement mechanism, adopting flexible open plurilateralism, updating digital and green trade rules, and embedding sustainable development into all core functions. By supplementing sustainable development objectives into the reform analysis, this paper enhances the logical integrity of WTO reform research and provides a theoretical reference for constructing an open, equitable and green multilateral trading framework.

Keywords

Multilateral trading system, WTO, Dispute settlement, Institutional reform, Sustainable development, Green trade, Global economic governance

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