International Monetary Fund (IMF) Managing Director Kristalina Georgieva has called on the United States and China to ease trade tensions and work towards a more equitable, rules-based global trading system.
Speaking ahead of the IMF and World Bank Spring Meetings, Georgieva highlighted the urgency of reducing economic uncertainty driven by the prolonged trade friction between the world’s two largest economies.
Georgieva acknowledged that both countries have legitimate concerns—citing U.S. frustrations with China’s intellectual property regime and non-tariff barriers, and China’s desire for stable and fair economic engagement with Washington. However, she emphasized that global economic stability hinges on the two powers finding common ground.
“Trade imbalances fuel trade tensions,” Georgieva said. “We would like to see a reduction in uncertainty… it is hard to get there if the two largest economies are still finding their footing.”
While avoiding direct criticism of former President Donald Trump’s tariff strategy, Georgieva noted that rising tariffs and non-tariff barriers have contributed to growing skepticism of the multilateral trading system. She stressed the need for reforms that would ensure a fairer environment for all global player.
The IMF chief also welcomed recent moves by India to lower trade barriers, a shift she said would support its economic growth. “India was uneasy with reducing tariffs and trade barriers, but India is now doing it,” she stated.
Georgieva expressed optimism that other regions, including the European Union, may follow suit, potentially paving the way for broader bilateral and plurilateral trade agreements. “I expect this to lead to some action around reducing, eliminating barriers that could have broader benefit for the world,” she concluded.
The remarks come as global leaders prepare for critical economic discussions next week, with trade reform high on the agenda.
