07.10.2019 İstanbul
Speaking at the “Trade Wars, Brexit and the Future of Multilateral Trading System” meeting organized by the International Chamber of Commerce (ICC), Turkey National Committee, TOBB President and the ICC Turkey National Committee Chairman M. Rifat Hisarcıklıoğlu said, “There are no winners to trade wars; we all lose. Therefore, the private sector should raise its voice against protectionism and trade barriers and strengthen its persuasion efforts.”
“Trade
Wars, Brexit and the Future of Multilateral Trading System" meeting was
held in Feriye, İstanbul, hosted by Hisarcıklıoğlu with the participation of
Minister of Commerce Ruhsar Pekcan and ICC Secretary General John Denton.
Hisarcıklıoğlu, in his assessment, said Trade Minister Ruhsar Pekcan is
directing an intense diplomatic process in order to prevent damage to Turkey in
these difficult times.
Making
assessments on Brexit, Hisarcıklıoğlu said:
“We
don't know exactly how it will be solved, what process will be solved, or what
will happen after the separation takes place. The process has turned into a
mess. The third prime minister of this process, Boris Johnson, is unclear
whether he will be able to resolve the issue, or whether Britain will go to a
new election or referendum. As the business world, we are being dragged into
even greater risks as uncertainty increases.”
Hisarcıklıoğlu
stated that the process of trade wars will also be discussed within the scope
of the meeting and the process which started as a commercial duel between the
US and China, has gradually become a vortex which sucked in the European Union
(EU), NAFTA, Japan and Korea.
- “Free trade means wealth;
protectionism, misery”
M.
Rifat Hisarcıklıoğlu stated that protectionist economic policies are closely
related to all countries and threaten global growth seriously and made the
following evaluations:
“In
this context, the view of the private sector is clear. Free trade means wealth;
protectionism is misery. In the long run, it is not possible for anyone to benefit
from protectionism. This is based on three factors. First, we know very well
that historically these kinds of trade wars are a de facto conflict, even war.
Second, such protectionist policies will make the rich richer, the poor poorer,
and the greater the risk of social upheaval as global inequalities increase. In
short, there can be no winners to trade wars; we all lose. The private sector should
raise its voice against protectionism and trade barriers and strengthen its
persuasion efforts.”
Stating
that ICC has an important role in this context, Hisarcıklıoğlu emphasized that
ICC is the largest business organization representing the global business world
before the United Nations and the World Trade Organization, working to increase
trade and investments in the world.
“ICC
now represents more than 45 million companies and more than 1 billion employees
in more than 100 countries. Thus, ICC's guiding influence in international
trade is increasing day by day.”
- Minister of Commerce Ruhsar
Pekcan
In
her speech, Minister of Commerce Ruhsar Pekcan said, “As the government, we
regard 2019 as a year of restoring balances. In the coming period will continue
to contribute to the growth of our net exports.”
Pekcan,
stated that they support Turkey's every multilateral initiative, and will
support all the work to be carried out with the ICC.
Stating
that Turkey is a dynamic country with certain objectives, Pekcan said:
“Our
goal is to Turkey into a high-income, prosperous, developed country. Committed
to this goal, we are taking our steps in this direction. We, as the government,
see 2019 as a year of stabilization. Conjunctural factors in the global and
regional basis, will not change our main goal. As of the first 9 months, the
ratio of exports to imports has increased from 71% to 86%.
- “We are facing many protective
measures that adversely affect global trade”
Ruhsar
Pekcan stated that trade wars have transitioned from rhetoric to acts causing
actual damage.
Pekcan
said that the protectionist measures taken by the USA, China and the European
Union (EU) have put the global economy in a vice and said: “We see that 'trade
wars' contradicts the economic conditions and realities of our age. The global
economy has created global supply chains. The economies of firms are
interconnected.”
Pekcan
stated that innovations in information communication technologies and
e-commerce take the place of conventional trade in many fields, emphasized that
the phenomenon of "trade wars" should be discussed in an age when
communication is so advanced.
Pekcan,
"Today we live in a trade war, we see that this is a result of more and
more countries’ conjunctural policy preferences, but with the future of this
reality, we can predict, affecting global trade negatively We are facing many
conservationist policies. We have relied on our international competitive strength
Turkey, and will continue to do so. We have been in favor of fair competition
conditions, the protection and development of the multilateral trade system and
will continue to hold this view.”
Pekcan
Trade Minister of Turkey, pointing the continued cooperation with EU countries
in competition within the Customs Union, said they are in favor of further
development of this cooperation.
- John Denton, Secretary General of
ICC
ICC
Secretary John Denton also expressed his views on Brexit and the trade wars.
Denton stated that Brexit is in fact not a cause but a result. “Everything that
is happening now is affected by the spirit of time. Time is flowing too fast
now.”
Stating
that ICC has a specific purpose, Denton said, “Our aim is to open the way for
the private sector globally. We are a result oriented organization. Open
economy is at our core. The seeds of peace and prosperity were sown in this
way.”
Stating
that the number of people living in extreme poverty is decreasing, Denton said,
“Global poverty is decreasing and prosperity is increasing. This is about
paving the way for the private sector.”