IISD Trade and Sustainability Review, October 2024
A Focus on Digital Trade
This edition of the IISD Trade and Sustainability Review presents five distinct perspectives on the global governance landscape of digital trade. The authors examine how stakeholders can balance economic growth with sustainability as well as evaluate existing international trade law frameworks. They also discuss both the potential and challenges in creating a level playing field that enables all participants to benefit from e-commerce.
Introduction
This Trade and Sustainability Review edition focuses on important recent developments in e-commerce rulemaking and the perspectives of developing countries in the current debates. These debates and rulemaking are taking place at the regional, plurilateral, and multilateral levels.
At the regional level, the adoption of the African Continental Free Trade Area Digital Trade Protocol (AfCFTA DTP) is a significant milestone, positioning Africa as a key player in e-commerce rulemaking. Kholofelo Kugler's article highlights the agreement's promising features, potential benefits, and challenges. The AfCFTA DTP is one of the latest in a series of regional efforts to set these rules.
Plurilateral-level negotiations on e-commerce rules are attempting to knit regional developments together; the Joint Statement Initiative (JSI) on E-Commerce at the World Trade Organization (WTO) has made substantial progress with publication of the stabilized text. My own article explains what is in this stabilized text (and explains what "stabilized" actually means) and explores the potential gains and challenges for developing countries and least developed countries.
Sitting behind the JSI talks is the vexing question of the multilateral moratorium on customs duties on electronic transactions. This "e-commerce moratorium," as it is known, is set to expire in 2026, and debate around it is increasingly fraught. To explore both sides of the debate, we feature two articles on this key issue. The article by Cedric Amon and Pascal Krummenacher reviews the potential economic downsides of lifting the moratorium, while the article by Rashid S. Kaukab examines the concerns that drove certain developing country members of the WTO to advocate for its termination in the first place.
Alongside all this rulemaking and heated debate, there are important topics that are not making their way into international frameworks: Neha Mishra's article reviews the important gaps in e-commerce governance rulemaking, underscoring the urgent need for additional international cooperation in key areas.
Lastly, this edition would not have been complete without a piece that brings to the fore an aspect of e-commerce that isn't considered enough: its environmental impact. Shamika N. Sirimanne's article offers valuable insights for moving toward sustainable e-commerce.
We hope you enjoy this thematic edition of the IISD Trade and Sustainability Review. We always welcome feedback and ideas for submissions and future thematic focuses.
Happy reading,
Rashmi Jose
Senior Policy Advisor, IISD
Articles
The AfCFTA Digital Protocol: A bird’s eye view
Kholofelo Kugler examines how the AfCFTA Digital Trade Protocol could enhance Africa’s participation in the digital economy while also considering the challenges that remain.
Read article here.
Online tariffs? What the end of the e-commerce moratorium means for digital trade
Cedric Amon and Pascal Krummenacher shed light on the potential consequences of the WTO’s decision not to renew the moratorium on the imposition of customs duties on electronic transmissions.
Read article here.
WTO Moratorium on Customs Duties on Electronic Transmissions: Better understanding developing countries’ concerns
Rashid S. Kaukab explores developing countries’ views on the WTO’s decision not to renew the moratorium on the imposition of customs duties on electronic transmissions.
Read article here.
Digital Trade and Global Data Governance: Charting new pathways in international economic law
Neha Mishra explores the current landscape of international trade law and considers how to strike a balance between achieving trade goals and the imperative of privacy protection, fairness and competition.
Read article here.
Addressing the Environmental Footprint of E-Commerce
Shamika N. Sirimanne highlights the importance of assessing the environmental impacts of the rapidly growing e-commerce sector and examines the role stakeholders play in balancing economic growth with sustainability.
Read article here.
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