Summary

The WTO has released its annual report reviewing the state of global value chains (GVCs). The analysis shows that despite rising geopolitical and geo-economic tensions, GVCs are not collapsing but are being reconfigured under the influence of political factors, digitalization, and the green transition. In 2024, GVCs accounted for 46.3% of global trade, close to the peak levels recorded in 2022 (48%), alongside increased regionalization and the relocation of production by multinational companies. The report highlights a structural shift toward services—especially digital services—and a broader participation of economies with initially low levels of integration: the share of economies with high GVC integration declined fr om 76% in 2010 to 63.6% in 2025. The WTO emphasizes that participation in GVCs alone does not guarantee higher value added, particularly in Latin America and Africa, wh ere specialization in low-margin segments persists. In the electric vehicle sector, high concentration is observed: China produced 76.9% of global electric vehicles in 2023, while battery production accounted for 85% of lithium consumption and 70% of cobalt consumption, increasing supply-chain vulnerabilities. The WTO stresses the need to shift policy focus from trade volumes to improving “readiness” for GVC participation – through investment in digital infrastructure, logistics, green energy, financial instruments, and targeted trade agreements—to support sustainable and inclusive growth.