G20 Trade Meet: Piyush Goyal Reaffirms India’s Support For WTO-Centred Multilateral Trading System

New Delhi, Oct 3 (KNN) Union Commerce and Industry Minister Piyush Goyal attended the concluding day of the G20 Trade Ministers’ Meeting in Milwaukee, Wisconsin, where he addressed structural excess capacity, the MFN principle, forced labour in global supply chains and the future of the multilateral trading system. 

India Says It Has No Structural Excess Capacity

Speaking on structural excess capacity and production, Goyal said India is the world’s fastest-growing large economy, driven by domestic demand and a population of 1.4 billion.

He said India is building manufacturing value chains from design to finished products while strengthening its role in global supply chains. 

Goyal added that India’s manufacturing capacity serves both domestic and global markets and that the country has no structural excess capacity in the sectors identified by the G20 presidency.

Calls for WTO-Consistent Action on Trade Distortions

Goyal said India is concerned about trade-distorting support in some economies that can lead to dumping and predatory pricing.

He said such concerns can be addressed through WTO-consistent measures, including evidence-based anti-dumping and countervailing duties subject to judicial review.

Goyal said manufacturing capacity itself should not be viewed as a problem, though distortions may arise when production is concentrated due to hidden subsidies or other support. 

He added that diversifying production and supply chains is legitimate but must remain within WTO rules and avoid shifting adjustment costs onto developing economies.

India Backs MFN Principle and WTO Consensus

On the Most favoured nation (MFN) principle, Goyal said India’s trade with G20 members depends on a transparent, non-discriminatory and rules-based system. He described MFN treatment as a key element, ensuring consistent trading terms across countries.

Goyal also stressed the importance of consensus-based decision-making at the WTO and preserving special and differential treatment for developing countries. He reiterated India’s position on restoring the WTO’s two-tier dispute settlement system.

India Reaffirms Commitment to Ending Forced Labour

On forced labour in global supply chains, Goyal cited Article 23 of the Constitution and India’s ratification of ILO Conventions 29 and 105. He also noted that India amended its Foreign Trade Policy in July 2026 to prohibit imports of goods made using forced labour.

Goyal said border measures should be based on specific, verifiable evidence, follow due process and comply with WTO rules, rather than target entire countries, regions or sectors.

India supports eliminating forced labour and voluntary exchanges of good practices among G20 members, he said, but such cooperation should not create new obligations, involve member monitoring or enable unilateral trade action.

Goyal Reaffirms Support for Multilateral Trading System

In his closing remarks, Goyal said India participated with the aim of identifying areas for cooperation while presenting its concerns and proposals across the four themes.

Goyal reaffirmed India’s support for a rules-based, fair, transparent, open and inclusive multilateral trading system centred on the WTO, along with policy space for developing countries and consensus-based decision-making.

(KNN Bureau)