Industrial subsidies have long been a controversial topic for the World Trade Organization (WTO) and the G20. The debate was rekindled by the COVID-19 crisis, which compels countries to support their economies through subsidies. This policy brief will suggest reforming
the notion of subsidy under the Agreement on Subsidies and Countervailing Measures (ASCM) in a broader sense, as well as the tripartite structure of prohibited, actionable and allowed subsidies, so as to promote sustainable development as a legitimate justification for
state intervention. Finally, we will ponder how to enhance transparency and how plurilateral interim solutions may help in overcoming the current stalematelobal excess capacity.