How did the Uruguay Round lead to the creation of the World Trade Organization?

The Uruguay Round (1986–1994) was the most ambitious set of trade negotiations in the history of the General Agreement on Tariffs and Trade (GATT), ultimately leading to the establishment of the World Trade Organization (WTO) in 1995.12

During these negotiations, participants created a comprehensive framework that integrated several key components:

• GATT 1994: This incorporated the original GATT 1947 agreements alongside new modifications and clarifications known as "Understandings," as well as a dozen other multilateral agreements on merchandise trade.13
• Expanded Scope: The round introduced groundbreaking agreements, including the General Agreement on Trade in Services (GATS) and the Agreement on Trade-Related Aspects of Intellectual Property Rights (TRIPS).13
• Institutional Framework: It established the Understanding on Rules and Procedures Governing the Settlement of Disputes and the Trade Policy Review Mechanism to monitor and regulate international trade.12

These agreements were signed in Marrakech in April 1994. Upon ratification, the contracting parties to the GATT treaty became charter members of the WTO, which replaced the GATT as the primary organization governing global trade.123