The growing importance of trade between developing economies - South-South
trade - is highlighted in a joint publication launched on Day 1 (29 October) of
the 10th Global Review of Aid for Trade by the WTO and the United Nations Office
for South-South Cooperation (UNOSSC). The publication examines how the partnerships
fostered through South-South cooperation and triangular cooperation - South-South
partnerships supported by a developed economy - are helping strengthen developing
economies' trade capacities and facilitate market access.
·
New
Joint Publication: The WTO and United Nations Office for South-South Cooperation
(UNOSSC) launched a joint report titled "Transformative Partnerships for Trade
Resilience: South-South and Triangular Cooperation in Action" on 29 October
2026 during the 10th Global Review of Aid for Trade.
·
Growth
in South-South Trade: South-South merchandise exports reached US$7.2 trillion in
2025, accounting for 27.8% of global merchandise exports, compared with 14.3% twenty
years ago.
·
Rapid
Trade Expansion: South-South trade expanded 4.8 times over the past two decades,
almost twice as fast as trade between developing and developed economies.
·
Regional
Trade Concentration: South-South trade remains heavily concentrated in developing
Asian economies, while Africa and Latin America and the Caribbean offer significant
opportunities for greater regional trade integration.
·
Strengthening
Trade Capacity: South-South and triangular cooperation help developing economies
overcome trade barriers through knowledge sharing, technical expertise, resource
mobilisation and improved market access.
·
Six
Case Studies: The publication presents six partnership case studies contributed
by the Enhanced Integrated Framework (EIF) and the Standards and Trade Development
Facility (STDF), demonstrating improvements in trade institutions, regulatory systems
and market access.
·
Measuring
Development Cooperation: The report examines statistical frameworks for measuring
South-South cooperation, including technical assistance, knowledge exchange and
non-financial contributions, with inputs from UNCTAD and the OECD-hosted TOSSD initiative.
·
Importance
Amid Aid Cuts: The report highlights the growing importance of South-South and triangular
cooperation as traditional development assistance faces increasing financial pressure.
These partnerships complement conventional North-South cooperation.
·
Call
for Stronger Partnerships: WTO, UNOSSC and Barbados representatives called for stronger
regional cooperation, improved coordination and additional resources to help developing
economies address challenges such as digital transformation and trade resilience.
·
WTO's
Position: WTO Deputy Director-General Xiangchen Zhang
emphasised that South-South and triangular cooperation
provide additional expertise, resources and partnerships to support trade and development.
[ABS News Service/02.11.2026]
Entitled "Transformative
Partnerships for Trade Resilience: South-South and Triangular Cooperation in Action",
the publication underscores that South-South merchandise exports reached USD 7.2
trillion in 2025, accounting for 27.8 per cent of world merchandise exports, compared
with 14.3 per cent 20 years ago. South-South trade expanded 4.8-fold over this period,
almost twice as fast as trade between developing and developed economies. However,
trade remains heavily concentrated in Asian developing economies, while greater
regional integration in Africa and Latin America and the Caribbean offers significant
opportunities for further growth, the study finds.
South-South and triangular cooperation
can help address trade barriers faced by developing economies by providing complementary
channels for mobilizing knowledge, expertise and resources and by enabling developing
economies to share relevant experience and solutions.
The publication presents six
case studies of partnerships among developing economies, contributed by the Enhanced Integrated Framework (EIF) and the Standards
and Trade Development Facility (STDF). These case studies
illustrate how cooperation, supported by international organizations and development
partners, can facilitate knowledge sharing, strengthen trade-related institutions,
address regulatory constraints and improve market access in developing economies.
The publication explores the
measurement and reporting of South-South cooperation. With contributions from United Nations Trade and Development (UNCTAD) and the International Forum
on Total Official Support for
Sustainable Development (TOSSD), hosted by the Organisation for Economic Co-operation and Development (OECD), it examines statistical frameworks
that can help capture forms of development cooperation that complement Aid for Trade
statistics, such as technical assistance, knowledge exchange and other non-financial
contributions.
The publication underscores the
importance of South-South and triangular cooperation in light of increasing pressure
on traditional development assistance and underscores its role in complementing
North-South cooperation. It identifies priorities for strengthening partnerships,
improving coordination and measurement, and mobilizing additional expertise and
resources to support trade and development.
In the launch session co-organized
by the WTO, UNOSSC and Barbados, the WTO and UNOSSC reaffirmed their commitment
to strengthening partnerships that help developing economies build trade capacity
and benefit more fully from international trade.
The Ambassador of Barbados to
the WTO, Matthew Wilson, who moderated the session, emphasized the growing importance
of South-South and triangular cooperation. He called on the international community
to explore ways to scale up these partnerships
to help developing economies meet challenges, such as the digital transformation
and strengthening resilience.
Participants also looked at opportunities
to mobilize additional resources and expertise and improve the measurement of South-South
cooperation.
The Director of UNOSSC, Dima
Al-Khatib, said the publication is timely given the changing development cooperation
landscape. She called for a "fresh look" at partnerships to broaden opportunities
for achieving shared development goals, emphasizing the importance of stronger regional
cooperation and enhanced coordination.
In his concluding remarks, WTO
Deputy Director-General Xiangchen Zhang highlighted the
importance of complementary forms of development cooperation amid growing pressure
on traditional assistance. He said: "South-South and triangular cooperation
is an important complement to traditional North-South cooperation. It brings additional
expertise, resources and partnerships to support trade and development."