JOB/GC/116, JOB/CTG/4  
JOB/SERV/248, JOB/IP/21  
JOB/DEV/42  
13 January 2017  
(17-0249) Page: 1/7 
General Council  
Council for Trade in Goods  
Council for Trade in Services  
Council for Trade -Related Aspects of  
Intellectual Property Rights  
Committee on Trade and Development  Original: English  
 
 WORK PROGRAMME ON EL ECTRONIC COMMERCE1 
TRADE POLICY, THE WT O, AND THE DIGITAL E CONOMY  
Communication from Canada, Chil e, Colombia, Côte d'Ivoire, the European Union,  
the Republic of Korea, Mexico, Montenegro, Paraguay, Singapore  and Turkey  
The following com munication, dated 11 January 2017 , is being circulated at the request of the 
delegation s of Canada, Chil e, Colombia, Côte d'Ivoire, the European Union, the Republic of Korea, 
Mexico, Montenegro, Paraguay, Singapore and Turkey . 
 
_______________  
 
  
1  DIGITAL E CONOMY  
1.1.  Digital technology is transforming the global economy. This transformation presents new 
opportunities to promote inclusive economic growth, including by connecting rural to urban 
economies; opening new channels of trade for landlocked countries; fac ilitating the participation of 
women and micro enterprises in the formal economy; providing micro, small and medium -sized 
enterprises (MSMEs) access to a global consumer base; and facilitating cross -border trade in 
services previously consi dered not techni cally feasible.  
1.2.  However, a number of challenges are impeding the full realization of the full benefits of the 
digital economy. These obstacles include the increasing prevalence of restrictive measures in the 
digital space; inadequate infrastructure and con nectivity; and insufficient access to technology. 
This paper aims to inform Members'  efforts to address these challenges under the 
Work Programme on Electronic Commerce.  
2  ROLE OF THE WTO  
2.1.  The digital transformation of the economy has impacted all spheres of public policy. 
Consequentially, virtually every international organization has been prompted to consider the 
interface between their work and the digital economy. Each has a role to play to help leverage the 
digital economy for inclusive economic growth. F or example, the International Telecommunications 
Union (ITU) plays a key role, including in standardisation and allocation of radio spectrum and 
satellite orbits; the World Intellectual Property Organization (WIPO) addresses intellectual property 
rights; t he World Bank provides financial and technical assistance; and UNCTAD and other 
organisations provide policy analysis, research and a forum for discussions on trade and 
development as it pertains to e -commerce related issues.  
                                                
1 An earlier version of this document was issued as JOB/GC/97/Rev.3 dated 1 August 2016.  JOB/GC/116 • JOB/CTG/4 • JOB/SERV/248 • JOB/IP/21 • JOB/DEV/42  
 
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  2.2.  The WTO can contribute to thes e broader efforts within its core functions, particularly 
transparency and sharing national policy experienc es to inform and enrich Members'  policy 
development; trade liberalization, greater market access and the establishment of trade 
disciplines; and the  delivery of technical assistance and capacity building.  
3  TERMINOLOGY  
3.1.  As their understanding of trade in the digital economy has evolved, policy advocates have 
used various terms to define aspects of this trade – e-trade, e -commerce, digital trade etc. The 
General Council decision establishing the Work Programme on Electronic Commer ce (WT/L/274) 
defined the term "electronic commerce"  broadly enough to  cover all of these concepts – "the 
production, distribution, marketing, sale or delivery of goods an d servic es by electronic means".  
For the remainder of this paper, we will use the term e -commerce as so defined. The original 
decision also mandated the work programme to consider " issues related to the development of the 
infrastr ucture for electronic commerce".  The breadth of this mandate convinced Members that the 
General Council should oversee the work programme, and that four WTO Committees would 
contribute to the programme – the Council for Trade in Services, the TRIPS Council, the Council for 
Trade in Goods a nd the Committee on Trade and Development.  
4  MAPPING  
4.1.  Eighteen years later, the original work programme remains relevant. The tenth WTO 
Ministerial Conference (MC10) Ministerial Decision of 19 December 2015 committed to  continuing 
the Work Programme " based o n the existing mandate and guidelines and on the basis of proposals 
submitted by Mem bers in the relevant WTO bodies"  (WT/MIN(15)/42). It is worth considering the 
elements of trade policy that relate to e -commerce, taking into account policy developments ov er 
the past two decades. Against this backdrop, the present paper offers to Members a starting point 
for discussion in the form of a tentative list of all trade -related e lements that are relevant for 
e-commerce (Figure 1 proposes an overview of all element s discussed in this communication). This 
list is not a proposal for negotiations, and is presented without pre judice to which elements the 
co-sponsors would seek to pursue.  
4.2.  Elements have been grouped around clusters pertaining to: (a) regulatory frameworks ; (b) 
open markets; (c) i nitiatives facilitating the development of e -commerce; and (d) t ransparency of 
the multilateral trading system.  JOB/GC/11 6 • JOB/CTG/4 • JOB/SERV/248 • JOB/IP/21 • JOB/DEV/42  
 
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  MAPPING OUT E -COMMERCE ISSUES AT T HE WTO  
Regulatory Frameworks  
 
 Enhanced transparency  
 Consumer confidence enhancing measures  
o Regulatory framework for consumer 
protection  
o Regulatory framework for privacy protection  
o Regulatory framework for cyber security  
o Regulation of unsolicited communications  
 Trade facilitating measures  
o Open networks / access to and use of the 
internet  
o Addressing licensing and authorisation 
procedures  
o Addressing electronic payments  
o Access to and use of communications 
networks  
o WTO Telecommunication Reference Paper  
o Trade aspects of intellectual property rights  
o Recognition of e -signatures / authentication  
o Addressing e -procurement/ e -auctions  
o Technical standards  
 Open Markets  
 
 Liberalisation commitments  
o Services  
 Commitments in e -commerce -
relevant sectors  
e.g. (Telecom; computer; Mode 1 
delivery; business services; 
professional services, etc.)  
 Classification, e.g. adhering to the 
Understanding on Computer and 
Related Services  
o Goods  
 Tariff eli mination, e.g. ITA  
o Prohibition against custom duties on 
electronic transmissions  
 Measures ensuring openness  
o Disciplines ensuring cross -border data 
flows 
o Disciplines with respect to localisation 
(local presence – including of computer 
servers, local conten t) 
o Addressing the transfer of and/or access 
to source code  
 
Initiatives facilitating t he development of e -commerce  
 
 Trade Facilitation Agreement / further custom facilitations measures / paperless trading  
 Aid for Trade / Technical assistance  
 Regulatory cooperation among Members and their regulatory authorities  
Enhanced transparency of the multilateral trading s ystem  
 
 Greater focus on e -commerce at the occasion of Trade Policy Reviews  
 DG Monitoring Report on protectionism could include a digital focus  
 Exchange of information through e -commerce agenda items of the regular WTO Committees  JOB/GC/116 • JOB/CTG/4 • JOB/SERV/248 • JOB/IP/21 • JOB/DEV/42  
 
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  The elements included in the figure above and described below fall withi n the WTO's competence, 
and could be addressed under the work programme, should Members wish to pursue them.  
 
A.  REGULATORY FRAMEWORK S 
Sound regulatory framework s for e-commerce are transparent and include measures to enhance 
consumer confidence and to en hance trade. While consumer confidence is not a primary trade 
policy concern, broad commitment s at the multilateral level to have such regulatory framewor ks in 
place can contribute to an environment  that is conducive to the development of e -commerce . 
 
1. Enhanced transparency  
Publication of measures and of draft measures relating to e -commerce; opportunity to comment 
on those measures.  
 
Consumer confidence enhancing measures  
 
2. Regulatory framework for consumer protection  
Measures protecting consumers from fraud ulent and deceptive commercial practices when they 
engage in e -commerce; international cooperation between consumer protection agencies.  
 
3. Regulatory framework for privacy  
Measures protecting the personal information of the users of e -commerce.  
 
4. Regulatory framework for cyber security  
Measures taken against cyber crime, including criminal prohibitions  and sanctions.  
 
5. Regulation of unsolicited communications  
Rules such as those requiring suppliers to facilitate the ability of recipients to prevent ongoing 
reception of unsolicited communications, or requiring the consent of the recipients.  
 
Trade facilitating measures  
 
6. Open networks / access to and use of the internet  
Rules ensuring t he ability  of consumers and operators to access and use services and applicat ions 
of their choice on the Internet; and to connect their choice of end user devices to the Internet.  
 
7. Addressing licensing and authorisation procedures  
A broad range of related issues, including disciplines on licensing requirements and procedures; 
the a bsence of specific prior authorisation for supplying services on -line; and making licensing 
valid at the same time for off -line and on -line activities.  
 
8. Addressing electronic payments  
Electronic payments, covering payments made via the Internet as well as mobile banking, can be 
addressed through both regulatory measures (i.e. setting out the necessary regulatory framework 
supporting payments operations) and through liberalisation measures (i.e. ensuring a competitive 
market for payments services).  
 
9. Access t o and use of communications networks  
The GATS Annex on telecommunication services provides for essential provisions on access to and 
use of telecommunication services and networks, and therefore comprises a cornerstone of 
Members’ regulatory framework for e-commerce.  
 JOB/GC/11 6 • JOB/CTG/4 • JOB/SERV/248 • JOB/IP/21 • JOB/DEV/42  
 
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  10. WTO Telecommunication Reference Paper  
The Telecommunication reference paper contains disciplines that address essential aspects of the 
regulation of the telecommunications market, such as the independence of the regulator, 
interconnection and anticompetitive practices.  
 
11. Trade -related aspects of intellectual property rights  
Intellectual property rights protection and enforcement issues are an important component of 
e-commerce and digital economy discussions, and are addressed in a number of inte rnational for 
a, including the World Intellectual Property Organization (WIPO) and at the WTO TRIPS Council.  
 
12. Recognition of e -signatures / authentication  
Measures ensuring that the legal validity of a signature is not denied on the sole basis that the 
signature is in electronic form; and that it is not prohibited for parties to an electronic transaction 
to mutually determine the appropriate authentication methods for that transaction subject to 
possible performance standards or accreditation requirements.  
 
13. Addressing  e-procurement/ e -auctions  
Measures organizing the participation in government procurement procedures though the Internet, 
allowing notably for non -established companies to participate in such procedures.  
 
14. Technical  standards  
Measures addressing  digital standards  for both goods and services, including  issues such as 
interoperability and recognition.  
 
B.  OPEN MARKETS  
Open markets for e -commerce c an be supported by multilateral commitments for liberalisation, in 
both goods and services , as well as  by a series of measures that ensure a given  level of openness.   
 
Liberalisation commitments  
 
15. Commitments on services  
Commitments on services trade, particularly in cross -border trade in services (Mode 1) and in e-
commerce -relevant sectors, such as teleco mmunication services, computer services,  and delivery 
services . 
 
16. Services classification issues  
Endorsement of classification tools, such as the Understanding on Computer and Related Services 
(S/CSC/W/51), which clarify sectoral coverage of services commit ments.  
 
17. Tariffs elimination for goods  
Tariff elimination, such as  through the Information Technology Agreement (ITA).  
 
18. Prohibition against custom duties on electronic transmissions  
Legally binding prohibition against imposing custom duties on electronic tr ansmissions.  
 
Measures ensuring openness  
 
19. Disciplines ensuring cross -border data flows  
Building on existing WTO obligations, commitment to ensure that cross -border data flows is 
permitted,  subject to appropriate public policy exceptions.  JOB/GC/116 • JOB/CTG/4 • JOB/SERV/248 • JOB/IP/21 • JOB/DEV/42  
 
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20. Disciplines with respect to localisation  
Building on existing WTO obligations, disciplines addressing all forms of localisation, including local 
presence; localisation of computer servers; and local content requirements,  subject to appropriate 
public policy exceptions.  
 
21. Addressing the transfer and/or access to source code  
Measures to refrain from requirements on the transfer of or access to, source code of software, as 
a condition of market access.  
 
C. INITIATIVES FACILITA TING THE DEVELOPMENT  OF E-COMMERCE  
Further to regul atory disciplines and liberalisation measures and commitments, a series of 
initiatives have contributed and will continue to contribute to the development of e -commerce 
across the WTO membership.  
 
22. Trade Facilitation Agreement / further custom facilitations  measures / paperless trading  
Implementation of the Trade Facilitation Agreement will contribute to enhancing trade in goods, 
including that generated by e -commerce. Additional initiatives could include establishing regulatory 
frameworks to mandate advance d electronic data to enable facilitation measures and paperless 
trading.  
 
23. Aid for Trade / technical assistance  
With a focus on connectivity in the 2016 -17 work programme, Aid for Trade can play a critical role 
in the development of e -commerce. Technical as sistance projects by Members and international 
organizations can also increase capacity in this area.  
 
24. Regulatory cooperation among Members and/or regulatory authorities  
Regulatory cooperation, whether in the form or structured dialogue or ad hoc  conversat ions, can 
allow Members to address the cross -border nature of e -commerce and can contribute to the 
exchange of good practices.  
 
D. ENHANCED TRANSPARENC Y OF THE MULTILATERA L TRADING SYSTEM  
The WTO can continue to play an important role in contributing to en hanced transparency of all 
Members policies that relate to e -commerce.  
 
25. Greater focus on e -commerce at the occasion of Trade Policy Reviews  
Trade Policy Reviews  could address e -commerce -related policies in a systematic manner, for 
example through a dedicat ed section on e -commerce in each Secretariat report.  
 
26. DG Monitoring Report on protectionism could include a digital focus  
Reports on protectionism could include a focus on e -commerce -related policies.  
 
27. Exchange of information through e -commerce agenda item s of the regular WTO Committees  
Members continue and possibly intensify the exchange of information under the e -commerce 
agenda items of the WTO regular bodies, and explore cross -cutting issues in dedicated sessions 
under the horizontal work programme.  
 JOB/GC/11 6 • JOB/CTG/4 • JOB/SERV/248 • JOB/IP/21 • JOB/DEV/42  
 
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  5  NEXT STEPS  
5.1.  Members should make more effective use of the e -commerce work programme in order to 
demonstrate the continued relevance of  the WTO in the modern economy.  
5.2.  Are there additional e-commerce -related elements of trade -policy, which should be included 
in the above mapping?  
5.3.  On what elements would Members wish to have focused technical discussions in each of the 
General Council; the Council for Trade in Goods; the Council for Trade -Related Aspects of 
Intellectual Property Rights; the Council for Trade in Se rvices; and the Committee on Trade and 
Development?  
 
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