TN/S/42  
 
19 November 2021  
(21-8730) Page: 1/6 
Council for Trade in Services   
Special Session    
 
REPORT BY THE CHAIRPERSON, H.E. AMBASSADOR ZHANAR AITZHANOVA  
TO THE TRADE NEGOTIATIONS COMMITTEE  
 
 
The purpose of this report, which is made entirely under my own responsibility, is to inform  the 
Trade Negotiations Committee (TNC) o f the current state of play in the Special Session of the Council 
for Trade in Services in view of MC12 (section 1), and to  provide an overview of discussions in the 
Special Session since MC11 (section 2).   
1  STATE OF PLAY IN VIEW OF MC12  
1.1.  Members started discussing in June how they saw the work of the Special Session of the Council 
for Trade in Services (CTS SS) addressed in th e context of MC12. On 23 July, I reported to the TNC 
that I had heard, after consultations and discussions in the CTS SS, that many delegations wished 
to see a specific paragraph in the MC12 outcome document on trade in services in the context of the 
built-in mandate under GATS Article XIX. Elements mentioned by delegations in this regard included 
the following: underscoring the relevance of exploratory market access discussions undertaken; 
recognition of the pandemic's impact on services trade and of the r ole of services trade in facilitating 
resilience and supporting the recovery; and, in that context, reaffirmation of the built -in agenda to 
improve commitments and revitalize work.1 In July, I asked that interested delegations submit their 
proposed langua ge before early September, and a group of Members (Australia, Canada, Chile, New 
Zealand, Switzerland and the United Kingdom) circulated their proposed text on 26 August 
(RD/SERV/156).2  
1.2.  At a meeting of the CTS SS held on 22 September, Members discussed t he text proposed in 
RD/SERV/156. The ACP Group also put forward suggestions for text at that meeting, as subsequently 
reflected in RD/SERV/158. As I reported to the TNC on 30 September, discussions at that meeting 
confirmed a broad level of support for hav ing a short text on services in the MC12 outcome 
document. Reasons mentioned for having text in relation to Article XIX included the growth in the 
economic importance of services, the impact of COVID -19, and the role of services trade in the 
economic recov ery. Certain sensitivities were voiced, and convergence would naturally depend on 
the specific language used.3  
1.3.  I encouraged delegations that had put forward text and that had offered specific suggestions 
to explore possible synergies, as the meeting in S eptember had revealed a number of commonalities 
with respect to the ministerial language proposed. This included, in my view, references to the 
importance of services trade for economic growth, the impact of the COVID -19 pandemic, the 
 
1 "Report by Ambassador Zhanar Aitzhanova , Chair of the CTS Special Session, to the Informal TNC and 
HoDs Meeting; 23 July 2021", JOB/SERV/310, 30 July 2021; "Report by the Chair on Consultations 
Undertaken; Informal Meeting of 30 June 2021", JOB/SERV/309, 30 June 2021; "Summary by the 
Chairperso n; Informal Meeting of 30 June 2021", JOB/SERV/311, 30 July 2021.  
2 The delegation of South Africa circulated a text proposal in RD/SERV/157 on 20 September, but the 
delegation subsequently communicated that it was temporarily withdrawing its proposal to u ndertake further 
consultations.   
3 "Report by Ambassador Zhanar Aitzhanova, Chair of the CTS Special Session, to the Informal TNC and 
HoDs Meeting; 30 September 2021", JOB/SERV/312, 1 October 2021;  "Summary by the Chairperson; 
Informal Meeting of 22 Sept ember 2021", JOB/SERV/313, 22 October 2021.  TN/S/42  
 
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  increasing participat ion of developing countries and LDCs in services trade, Article XIX, work and 
discussions in the Special Session since MC11, and post -MC12 discussions.4  
1.4.  At the informal meetings of the Special Session on 26 October and 1 November, the sponsors 
of text proposals in RD/SERV/156 and 158 informed Members that they had engaged in constructive 
discussions in October to try to arrive at a common text proposal, bu t were not yet in a position to 
propose common text. Members also discussed the text proposal that the delegation of India 
circulated on 25 October in RD/SERV/159. In view of the various proposals on the table, their 
commonalities, and the short time left,  I concluded that it was now time to move to focused text -
based discussions to see if convergence could be achieved across the membership.5   
1.5.  At the meeting of 26 October, I informed Members that I might appoint a facilitator to assist 
in the lead -up to M C12, and I announced, at the meeting of 1 November, that H.E. Pimchanok 
Pitfield, Ambassador and Permanent Representative of Thailand to the WTO, had kindly agreed to 
act as facilitator. I am very grateful to Ambassador Pitfield, who has made herself avail able in these 
busy times and has skilfully and efficiently facilitated discussions in line with her role.  
1.6.   Ambassador Pitfield presided over two open -ended consultations on 4 and 11 November, 
where delegations exchanged views on the content of a services text for the MC12 outcome 
document, in view of the three proposals contained in RD/SERV/156, RD/SERV/158 and 
RD/SERV/159. At the conclusion of the meeting of 4 November, the facilitator noted that there was 
a good level of support for having text on servic es for the MC12 outcome document that might cover 
such themes as: the economic importance of services trade; the impact of the COVID -19 pandemic; 
the increasing participation of developing country Members and LDCs in services trade; the work of 
the Special  Session since MC11; and post -MC12 discussions. This concords with my report to Heads 
of Delegations on 25 October. Delegations also generally concurred that the text for the ministerial 
outcome document should be succinct and high -level. Further open -ended consultations took place 
on 15, 17 and 18 November.  
1.7.  In the end, Members were not able to agree on text for this TNC meeting. From what I heard 
at an informal meeting that I convened last evening, it seemed that, with the facilitator's valuable 
assistance , Members could generally converge on language in relation to the growing economic 
importance of services trade, the impact of the pandemic, the importance of recovery for services, 
and the need to increase the participation of developing countries and LDC s in global services trade. 
However, Members were not able to converge on language to characterize discussions since MC11 
and post -MC12 work in the Special Session.  
1.8.  This is unfortunate, as I feel that convergence on language should not be out of reach, and  
that discussions on services under the umbrella of the CTS SS can carry value for all Members, 
especially in the current trade environment.      
2  OVERVIEW OF DISCUSSIONS IN THE SPECIAL SESSION SINCE MC11 (2018 -2021)  
2.1.  In this section, I want to provide, for information, an overview of discussions and work in the 
CTS SS since MC11.  This overview, which is again provided under my own responsibility, draws, in 
particular, from the reports that I have presented orally to the TNC during this period.  
2.1  2018  
2.2.  Work in the Special Session since the 2017 Ministerial Conference in Buenos Aires in 
December  2017 has largely involved delegations engaging in exploratory discussions on market 
access, pursuant to a proposal made by Chile, Mexico, New Zealand and Panama in 2018 
(JOB/SERV/282). The communication proposed that delegations engage in an exchange of views on 
their current interests, priorities and aspirations, without prejudice to negotiations.   
 
4 "Report by Ambassador Zhanar Aitzhanova (Kazakhstan) – Chair of the Council for Trade in Services in 
Special Session" in "MC12 October Stocktake; Informal Heads of Delegation; Monday 25 October 2021", 
JOB/TNC/9 9, p.19.  
5 "Informal Summary by the Chair: Meetings of 26 October and 1 November 2021", Council for Trade in 
Services in Special Session, JOB/SERV/314, 19 November 2021.   TN/S/42  
 
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  2.3.  This proposal was discussed at an informal meeting of the Special Session  on 16 July 20186 
and, as I indicated in my oral report to the TNC on 24 July 20187, different views were expressed 
during our meeting. Discussions showed that a number of delegations had appetite to pursue 
structured discussions in the context of Articl e XIX on market access. Some of those delegations 
expressed strong interest, and others showed openness and readiness to engage, while being 
realistic. At the same time, a number of other delegations had less interest or expressed reservations 
because, for  example, of concerns about export potential, lack of progress in other negotiating areas, 
or capacity constraints. As I indicated at the conclusion of the meeting, the Special Session should 
be able to hear from Members that wanted to communicate their in terests.  
2.4.  After consultations with Members, I reported to the Special Session on 13 November 2018.8   I 
noted that a number of  Members had interest in exploratory discussions that would take place 
incrementally over different meetings. Interest was expressed in discussing and making 
contributions in a broad number of sectors, and across different modes of supply. At the same time , 
it was also clear that other Members, for different reasons, had reservations. In terms of the way 
forward, I noted that all understood that any Member could make proposals or provide views in the 
context of Article XIX, and that this did not prejudge an y particular outcome or broader agreement 
by Members. I encouraged delegations to kick -start discussions by submitting a first communication 
on a sector or negotiating issue of their choosing, and said that I would convene a meeting so that 
the communicati on could be discussed.  
2.2  2019  
2.5.  In February 2019, the delegations of Chile, Mexico, New Zealand, and Panama submitted a 
communication entitled "Exploratory Discussions on Market Access: Tourism and Related Services" 
(JOB/SERV/286), in which the sponsors share d their views and interests on market access in this 
service sector. The communication was discussed at an informal meeting of the Special Session on 
8 April 2019. The discussion was useful, as many delegations intervened to provide their opinions, 
share t heir interests, or communicate national experiences. Overall, different points of views were 
expressed.9   
2.6.  A number of Members placed significant value on the tourism sector, including for economic 
development, trade, and the attainment of various nationa l objectives. The importance of the policy 
environment, including trade and investment policies, was underscored in that regard . In terms of 
market access interests, better sectoral coverage and improved commitments in the different modes 
of supply were me ntioned. Some Members also expressed interest in a number of other sectors that 
were seen to impact tourism, including recreational services, transport of passengers, and 
construction services, among others. The importance of mode 4 commitments was also ra ised by a 
Member. At the same time, some Members questioned the need for discussions, or had limited or 
no interest in services market access, including because of concerns about lack of progress in other 
areas of negotiating interest.  
2.7.  In July 2019, the d elegations of Australia, Canada, Mexico and New Zealand circulated a 
communication entitled "Exploratory Discussions on Market Access: Environmental Services" 
(JOB/SERV/293). The Republic of Korea and Switzerland later joined as co -sponsors of this 
communi cation.10  In the communication, the sponsors expressed their views on key issues in 
relation to the sector and shared their interests and aspirations in relation to market access in 
environmental services.  The communication was discussed at an informal m eeting of the Special 
Session held on 30 September.   
2.8.  As I indicated in my oral report to the TNC on 14 October 201911, the discussions proved, in 
my view, useful and constructive. Different interventions helped to provide a better picture of the 
 
6 "Informal Summary by the Chair: Meeting of 16 July 2018", Council for Trade in Serv ices in Special 
Session, JOB/SERV/283, 26 July 2018.  
7 WT/GC/M/173, Annex 1.  
8 "Statement by the Chairperson; Informal Meeting of 13 November 2018", Council for Trade in Services 
in Special Session, JOB/SERV/285, 14 November 2018.  
9 "Summary by the Chairpe rson; Informal Meeting of 8 April 2019", Council for Trade in Services in Special 
Session, JOB/SERV/288, 26 April 2019.  
10 In September 2019 for Switzerland (JOB/SERV/293/Rev.1) and in April 2021 for the Republic of Korea 
(JOB/SERV/293/Rev.2).  
11 WT/GC/M/18 0, Annex 1.  TN/S/42  
 
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  current i nterests of a number of Members, and of key issues, questions, and sensitivities in relation 
to the sector. A number of delegations underscored the contribution of trade in environmental 
services to broader policy objectives, in particular environmental pr otection, the achievement of 
sustainable development goals, and the fight against climate change.   
2.9.  Among the delegations that took the floor, many expressed interest  in greater GATS 
commitments in this sector. A key justification put forward was that trade liberalization would help 
reduce the cost of meeting certain environmental objectives. Interventions detailed some specific 
areas of interest. For example, a number  of delegations underscored that technological advances 
had created new opportunities for cross -border supply in an increasing array of environmental 
services.  Others highlighted the role of commitments under mode 3 to help attract investments, 
build up i nfrastructure, and incentivize diffusion of green technology. Some delegations expressed 
interest in services other than those labelled 'environmental services' in the classification system, 
and some Members said that significant GATS+ commitments in regio nal trade agreements showed 
the potential for improvements at the multilateral level. Even though discussions are exploratory in 
nature and without prejudice, some delegations wished to bring attention to flexibilities and to the 
broader context that would  be pertinent to any future negotiation.12   
2.3  2020  
2.10.  In 2020, four communications were circulated in the context of the exploratory discussions. 
They were discussed at two informal meetings of the CTS SS.    
2.11.  On 19 July 2020, the delegations of Australia, Cana da, Mexico, New Zealand, and Switzerland 
circulated a new communication on environmental services in the context of the exploratory 
discussions (JOB/SERV/299).13 Following up on JOB/SERV/293, the communication aimed to  
highlight additional services sectors , beyond CPC 94, where international trade liberalization and 
improved GATS commitments could significantly contribute to advancing global action on 
environmental issues. JOB/SERV/299 was subsequently revised as the European Union, the Republic 
of Korea, a nd the United Kingdom joined as co -sponsors.14  
2.12.  On 21 July 2020, the delegations of Australia, Canada, Chile, New Zealand, and Uruguay 
circulated a communication entitled " Exploratory Discussions on Market Access: Agriculture -Related 
Services (JOB/SERV/300 ). Brazil joined as co -sponsor in March 2021.15 The communication aimed 
to present the sponsors' initial ideas on the sector and to initiate an exchange to better understand 
the views of Members on key issues and information on market access aspirations.  
2.13.  On 23 July 2020, the delegation of China circulated JOB/SERV/301, entitled " Exploratory 
Discussions on Market Access: Logistics Services". Noting the role of the sector for connecting to 
global markets, as well as its role in enhancing resilience during the  pandemic, the communication 
aimed to present initial ideas on this sector and promote interactions among Members so as to help 
Members share information on the latest developments and best practices in this sector, and 
exchange views on interests and aspi rations regarding possible improvements to Members' specific 
commitments under the GATS.  
2.14.  On 19 November 2020, the delegations of Australia, Canada, Switzerland, and the United 
Kingdom circulated JOB/SERV/302, entitled " Exploratory Discussions on Market Access: Financial 
Services". Through this communication, the co -sponsors wanted to present their initial ideas on a 
sector of broad interest and to initiate an exchange with other delegations so as to better appreciate 
the views of Members on key issues and provide information regarding market access aspirations.  
 
12 "Summary by the Chairperson; Informal Meeting of 30 September 2019", Council for Trade in Services 
in Special Session, JOB/SERV/294, 18 October 2019.  
13 "Exploratory Discussions on Market Access: Environmental Services", Communication from Australia, 
Canada, Mexico, New Zealand, and Switzerland, Council for Trade in Services in Special Session, JOB/SERV/299, 
10 July 2020.  
14 In October 2020 for the United Kingdom (JOB/SERV/299/Rev.1), on 14 April 2021 for the Republic of 
Korea (JOB/SERV/299/Rev .2), and in June 2021 for the European Union (JOB/SERV/299/Rev.3).  
15 "Exploratory Discussions on Market Access: Agriculture -Related Services", Communication from 
Australia, Brazil, Canada, Chile, New Zealand, and Uruguay, Council for Trade in Services in Special Session, 
JOB/SERV/300/Rev.1, 18 March 2021.  TN/S/42  
 
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  2.15.  The four communications were discussed at two meetings of the Special Session in 2020, 
in October and December.16 As I reported to the TNC on 14 December 202017, the discussion on  
environmental services underscored various linkages between services trade and environmental 
protection, and provided an exchange of views on the different services subsectors that can be 
relevant from an environmental perspective, beyond the activities identified in the GATS 
classification as environmental services. The contribution of trade and of improved commitments 
were also discussed. On agricultural -related services, the meetings yielded exchanges on the role of 
certain services sect ors in the agricultural value chain, as well as their impact on agricultural 
production and exports. Delegations debated the specific services subsectors most relevant for 
agriculture and the impact of commitments in these areas.  Developmental aspects wer e 
underscored by some delegations.  Another point made concerned the relationship between the 
current proposals and the need for balanced discussions and progress on agriculture issues in the 
WTO.18 
2.16.  On logistics services, a number of delegations emphasized  how reduced barriers and better 
performance of logistics services could help to facilitate goods trade, integrate within supply chains, 
and support e -commerce. The sector's role in helping ensure resilience during the pandemic was 
also mentioned. Differen t views were expressed as regards the scope of the services most relevant 
for logistics.  
2.17.  With respect to financial services, the discussion had helped to better understand the interests 
of a number of Members, but also to hear how delegations saw the cont ribution of the sector to 
economic growth, its relevance for SMEs, its role in facilitating e -commerce and trade, the 
importance of regulatory frameworks and supervision, the sector's role in promoting financial 
inclusion, as well as its contribution to ec onomic continuity during the pandemic. Developments in 
relation to fintech had also been underscored. The discussion permitted listening to those delegations 
that had different views about negotiations or liberalization in this sector and to hear some of t heir 
concerns. Overall, delegations had also provided substantive and thoughtful comments and 
questions. I encouraged delegations to reflect on the different views expressed and to consider how 
concerns expressed by delegations from developing countries mi ght be taken into account.19 
2.18.  I conveyed to the TNC my view that, overall, the discussion of the papers had contributed to 
better understanding the interests of various Members as well as the economic and trade 
contributions of these sectors, including in t he context of efforts to improve economic resilience and 
support recovery from the pandemic. Importantly, interventions from various delegations also 
brought out a number of key development considerations in each of the sectors. Discussions also 
permitted to hear the concerns of those delegations that have reservations about negotiations or 
liberalization in those sectors.20   
2.4  2021  
2.19.  On 12 February 2021, the ACP Group circulated a communication entitled "Vulnerable ACP 
State Services Sectors Impacted in the Context of the COVID -19 Pandemic" (JOB/SERV/305). The 
communication aimed to promote discussions on the impact of the COVID -19 pandemic on priority 
services sectors of ACP States in terms of domestic development of services sectors and access to 
markets cr itical to ACP trade, especially those most vulnerable in the context of the post -pandemic 
recovery. The submission highlighted both challenges and innovative opportunities resulting from 
the pandemic in selected sectors.  It also provided views on other sub missions by Members in the 
CTS SS.  
 
16 "Summary by the Chairperson; Informal Meeting of 21 October 2020", Council for Trade in Services in 
Special Session, JOB/SERV/303, 23 November 2020; "Summary by the Chairperson; Informal Mee ting of 9 
December 2020", Council for Trade in Services in Special Session, JOB/SERV/304, 21 January 2021.  The four 
communications (JOB/SERV/299 -302) were also discussed at the informal meeting of 18 March 2021 
(JOB/SERV/306).  In addition, JOB/SERV/299/R ev.3 and JOB/SERV/302 were discussed at the informal meeting 
of 30 July 2021 (JOB/SERV/311).  
17 WT/GC/M/188, Annex 2.  
18 JOB/SERV/304.  
19 JOB/SERV/304.  
20 TN/C/M/40.  TN/S/42  
 
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  2.20.  The communication was discussed at an informal meeting of the Special Session on 18  March 
2021.21 As I noted in my report to the TNC on 3 May 202122, the ACP Group discussed various 
sectors affected by the pandemic in ACP  countries, including tourism, ICT and other digital services, 
air transport, retailing, performance, professional and education services. The Group noted the 
impact of the crisis on trade in services in those sectors and, in particular, the  challenges fac ed by 
ACP countries. It highlighted how greater trade opportunities in those sectors were important for 
economic recovery and brought attention to some trade barriers and other obstacles that it would 
like to see addressed.  
2.21.  The paper elicited good exchange s. A few key points stood out, in my view: first, various 
delegations indicated that their services sectors and trade had been similarly impacted, and that 
services trade and services sector growth was key to recovery; second, the contribution of digital 
services trade, as well as the importance of recovery of more traditional services sectors and forms 
of delivery for post -pandemic economic prospects were highlighted; third, the importance of 
transparency and predictability of trading conditions, and of gr eater trade opportunities, was 
emphasized by a number of delegations. In this respect, the value of greater GATS commitments 
was underscored; fourth, the relevance of flexibilities for developing countries in any negotiation 
was also emphasized and some de legations underscored the importance of working to strengthen 
support for developing countries in services trade.  
2.22.  On 22 June 2021, the delegations of Australia, Canada, the Republic of Korea, Mexico, 
New Zealand, Switzerland and the United Kingdom circulated a communication entitled "Exploratory 
Discussions on Market Access: Environmental Services; Summary of Interest s Expressed" 
(JOB/SERV/308).  This communication aimed to capture, in summary form, the different interests 
expressed by Members with respect to improved commitments on, and related to, environmental 
services as part of the exploratory discussions taking p lace under the Council for Trade in Services 
in Special Session.23 
2.23.  Overall, as I conveyed to the TNC in May 2021, I think that exploratory discussions, prompted 
by Members' written submissions, have contributed to a better understanding of the services tra de 
interests of various Members as well as the role of those sectors in today's economic and trade 
environment, including in the context of efforts to support economic resilience and recovery from 
the pandemic. In addition, discussions brought out a number  of key development considerations in 
each of the sectors. Finally, delegations that have reservations about negotiations or liberalization 
were also able to express their views.   
 
 
__________  
 
 
21 "Summary by the Chairperson; Informal Meeting of 18 March 2021", Council for Trade in Servic es in 
Special Session, JOB/SERV/306, 15 April 2021. JOB/SERV/305 was also discussed at the informal meeting of 30 
July 2021 (JOB/SERV/311).  
22 "Report by Ambassador Zhanar Aitzhanova, Chair of the CTS Special Session, to the Informal TNC and 
HoDs Meeting; 3  May 2021", Council for Trade in Services in Special Session, JOB/SERV/307, 4 May 2021.  
23 "Summary by the Chairperson; Informal Meeting of 30 June 2021", Council for Trade in Services in 
Special Session, JOB/SERV/311, 30 July 2021.