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Singapore’s Minister for Trade and Industry, Gan Kim Yong, expressed enthusiastic support following the substantial conclusions reached during the final negotiating round of the WTO Joint Statement Initiative on Electronic Commerce (JSI) in Geneva.
The comprehensive agreement encompasses pivotal global digital trade rules, underscoring three main pillars: digital trade facilitation, an open digital environment, and the establishment of trust among businesses and consumers.
Minister Gan Kim Yong said, “Singapore welcomes the substantial conclusion of a set of meaningful rules in the JSI on E-Commerce. This is a significant milestone after five years of negotiations. These rules will bring important commercial value and impact for governments, businesses and consumers by helping participants integrate into the global digital economy, reap the benefits of digital trade, and foster interoperability and predictability.”
According to Minister Gan, this milestone serves as a crucial affirmation for Singapore, a staunch advocate of the rules-driven multilateral trade framework, signalling robustly the ongoing credibility of the WTO and its efficacy in crafting substantive regulations.
Initiated in 2019, this milestone represents a significant achievement for the JSI, particularly as the digital trade landscape continues to surge. In 2020 alone, digital trade accounted for 25% of total global trade, nearly hitting USD 5 trillion, and its rapid expansion promises substantial benefits for governments, enterprises, and consumers.
The negotiations focus on addressing critical issues such as Customs duties on electronic transmissions, Development, Electronic payments, ICT products using cryptography, and Telecommunications services. Looking forward to 2024, the JSI aims to resolve these outstanding matters alongside horizontal provisions and legal architecture concerns.
Minister Gan emphasised the pivotal role of these rules in integrating participants into the global digital economy, unlocking the potential of digital trade, and fostering predictability and interoperability. He underlined Singapore’s unwavering commitment to a rules-based multilateral trading system, citing the WTO’s enhanced credibility through the formulation of meaningful regulations.
Joined by other nations in endorsing this historic agreement, Minister Gan was echoed by officials from various countries. Australian Minister for Trade and Tourism, Don Farrell, highlighted the opportunity to establish robust digital trade foundations through this groundbreaking deal. Meanwhile, Japan’s Minister for Foreign Affairs, Kamikawa Yoko, emphasised the significance of these rules in facilitating digital trade and urged an early conclusion of negotiations.
The sentiments were shared by WTO Director-General Dr Ngozi Okonjo-Iweala, who lauded the initiative for designing global rules that promise stability, predictability, and reduced costs in the burgeoning realm of cross-border digital trade.
Reflecting the global consensus on the significance of digital trade, officials from China, Costa Rica, the European Union, The Gambia, Kazakhstan, Mauritius, the United Arab Emirates, the United Kingdom, and the United States all expressed support for the substantial progress made and highlighted the importance of inclusive and impactful digital trade regulations.
The collaborative efforts of the JSI co-convenors – Australia, Japan, and Singapore – were commended, reaffirming the commitment to an inclusive and commercially meaningful negotiation process. With 90 participants representing over 90% of global trade involved in the JSI, the co-convenors are dedicated to steering the negotiations toward a timely and conclusive agreement that will revolutionise the landscape of global digital trade.
Singapore is poised to lead the charge in the global digital economy, actively seeking collaboration to pioneer innovative pathways forward.
OpenGov Asia reported on the MERCOSUR-Singapore Free Trade Agreement (MCSFTA). This inaugural free trade deal with a Southeast Asian nation stands as a historic milestone fostering economic integration. The MCSFTA not only reduces tariff rates but also prioritises digitalisation, heralding a new phase of connectivity and innovative solutions. This emphasis on digital transformation positions the agreement as a driver for increased trade, promoting collaboration in digitalisation, entrepreneurship and sustainable development.