Global merchandise trend dropped by 0.8% in the third quarter, the World Trade Organization announced Monday.
- The latest development has raised the risk of missing the forecasted 2021 growth rate, along with the emergence of the Omicron COVID-19 variant.
- The WTO attributed the decline in trade volume on supply chain constraints, along with production input shortages and the increase in COVID-19 cases.
- The agency noted that while the growth target could still be met, the possibility is tilted to the downside due to risks.
- Among the risks are the emergence of Omicron, which is likely to increase the chance of a more negative outcome.