The CGD Podcast: Interview with WTO Candidate Tae Ho Bark

Date: March 12, 2013
Host: Lawrence MacDonald, Center for Global Development
Guest: Tae Ho Bark, Minister of Trade, Republic of Korea

Overview

In this episode of The Global Prosperity Wonkcast, Lawrence MacDonald interviews Tae Ho Bark, the Korean Minister of Trade and one of nine candidates for the position of Director General (DG) of the World Trade Organization (WTO). The discussion covers Korea’s development success via trade, the role and future of the WTO (especially post-Doha), the complexities of bilateral versus multilateral agreements, climate-related tariffs, dispute resolution, and Bark’s vision for restoring trust and relevance at the WTO.

Key Discussion Points & Insights

1. Korea’s Development Journey and Trade Experience

[00:35-02:25]

• Personal & National History:
  Bark recounts Korea's journey from war-induced poverty to becoming a high-income OECD member, emphasizing the role of trade:
  • “I was born during the Korean War... I still remember how poor we were as an eight or nine-year-old school boy in Seoul.” [01:28, Bark]
  • Early Korean exports included wigs made from real hair, transitioning to complex goods like ships, cars, and steel.
  • “Trade is a very important vehicle or instrument for economic development for Korea.” [02:12, Bark]

2. Motivation for WTO Candidacy

[02:25-03:42]

• National and Personal Perspective:
  • Korea “was one of the greatest beneficiaries out of liberal trading regime...maybe it’s time for Korea to make some contribution to the international organization which is governing international trade.” [02:38, Bark]
  • Bark highlights his academic and professional background in international trade, claiming deep qualifications for the DG role.

3. Bilateral vs. Multilateral Trade Agreements

[03:42-05:38]

• Growth of Bilateral FTAs:
  • Korea had no Free Trade Agreements (FTAs) until the early 2000s, but later pursued many, including with the US and EU.
  • Some concern exists that FTAs may erode the WTO’s multilateral system, but Bark stresses the need for complementarity:
    • “This regionalism and multilateral trading system must be complementary to each other...” [04:53, Bark]
    • He urges the WTO to better monitor the “quality of the regionalism.”

4. The Doha Round: Challenges and Prospects

[07:23-09:54]

• Widespread Frustration:
  • Doha described with three words: “frustration, fatigue, and irrelevance.” [07:23, Bark]
  • Complexity has grown with WTO’s expanded membership (now 157 countries), and with rising influence from emerging economies like China, India, and Brazil.
  • “We are facing biggest challenge ever since WTO is born.” [08:17, Bark]
  • Bark opposes giving up: “We have to somehow come up with some kind of packages or results.” [08:54, Bark]

5. Trade Facilitation and 'Early Harvest' Packages

[09:54-12:28]

• Trade Facilitation Explained:
  • Focused on modernizing customs and streamlining procedures to reduce transaction costs.
    • “We make the process of importing and exporting very, very short and efficient, which can save huge amounts of transaction cost.” [10:42, Bark]
• Aid for Trade:
  • Recognizes developing countries' needs for support in implementing trade facilitation. Financial help, possibly through the Aid for Trade initiative and cooperation with the World Bank, is key to achieving balanced outcomes.
    • “We can persuade developing country you accept this obligation, but we also help financially. Then we can have a better outcome on this trade facilitation.” [11:31, Bark]
• Agricultural Issues:
  • Highlights the importance of including agricultural and development issues in deliverables for the December Bali Ministerial Conference.

6. Agricultural Trade and Food Security Concerns

[12:28-13:21]

• Export Bans and Quotas:
  • Addresses topics like export bans and tariff rate quota (TRQ) issues as part of ongoing agricultural negotiations.

7. The Future of the WTO: Climate Tariffs & 21st Century Issues

[15:02-16:32]

• New Trade-Related Challenges:
  • Bark notes the WTO’s traditional focus on the Doha Round has limited attention to new issues like green growth, global value chains, investment, food security, and water management.
  • “We have to start to address this new so called 21st century issues so that you know we can be more relevant.” [16:09, Bark]

8. Dispute Settlement System: Strengths and Reforms Needed

[16:32-18:21]

• Current Effectiveness & Gaps:
  • While negotiations have stalled, dispute settlement is “working very effectively,” but Bark acknowledges issues:
    • Short tenure and lack of independence for adjudicators.
    • Challenges for developing countries in accessing legal expertise.
    • Absence of rules for some types of disputes can produce precedent-setting results which may not be widely applicable.
  • “We have several areas to improve to make dispute settlement function of WTO more effectively, especially for the future.” [18:09, Bark]

9. Priorities as WTO Director General

[18:21-19:18]

• Restoring Trust Through Dialogue:
  • Main priority: foster “more open dialogue, more candid dialogue among members between DG and ambassadors and within the Secretariat.”
    • “To rebuild trust... is the first thing I should do.” [18:53, Bark]

10. Korea as a Bridge Between Developed and Developing Economies

[19:18-21:37]

• Advantages and Perceived Challenges:
  • Korea’s unique position straddling developed and developing world contexts is emphasized as an asset for consensus-building.
    • “I think Korea is in the right position to mediate advanced and developing country positions because we have both experiences.” [21:46, Bark]
  • Acknowledges concerns over concentration of international leadership among Koreans, insisting merit should be the main criterion:
    • “First criteria must be based on qualification and merits.” [21:09, Bark]

Notable Quotes & Memorable Moments

• On Korea’s Transformation:
  “As you said, we first export few items including the wigs made out of real hair... But now we are exporting ships, cars and steels... trade is a very important vehicle or instrument for economic development for Korea.”
  — Tae Ho Bark [01:32–02:12]

• On Doha Fatigue:
  “Doha Round and WTO using three words, frustration and fatigue and irrelevance.”
  — Tae Ho Bark [07:32]

• On Aid for Trade:
  “We cannot, you know, in a binding way, ask developed countries to finance this. But aid for trade from many different countries and also in cooperation with the World bank... we can persuade developing country you accept this obligation, but we also help financially.”
  — Tae Ho Bark [11:19–11:38]

• On 21st Century Issues:
  “We have to start to address this new so called 21st century issues so that you know we can be more relevant.”
  — Tae Ho Bark [16:09]

• On Restoring Trust at the WTO:
  “To rebuild trust among, you know, in the so called Geneva environment is the first thing I should do. It may take some time, but this is the basics you must go back to if you have prolonged problems.”
  — Tae Ho Bark [18:53]

Important Timestamps

• 00:35 — Personal and Korea’s trade development context
• 02:38 — Motivations for candidacy
• 04:26 — On bilateral FTAs and the WTO
• 07:23 — Doha Round fatigue and future prospects
• 10:35 — Explanation of trade facilitation
• 11:19 — ‘Aid for Trade’ and developing country support
• 15:02 — Climate and new trade-related issues
• 16:32 — Dispute settlement system and possible reforms
• 18:30 — Bark’s top priority if selected as DG: rebuilding trust
• 19:18 — Korea’s intermediary role; rotation and merit in leadership
• 21:46 — Bark’s final argument for Korea’s candidacy as a bridge

Conclusion

Tae Ho Bark presents himself as an experienced, pragmatic candidate who emphasizes Korea’s unique rise and perspective as a bridge between developed and developing countries. He stresses the ongoing importance of the multilateral trading system, the need for the WTO to address new global challenges, and—above all—the importance of rebuilding trust through dialogue among the institution’s diverse members. Bark's vision for the WTO revolves around relevance, consensus, and practical results, addressing both legacy and emerging issues facing the global trading system.