INF/ECOM/11  
 
25 March  2019 
(19-1858) Page: 1/2 
 Original: English  
 
JOINT S TATEMENT ON ELECTRON IC COMMERCE* 
MARKET ACCESS AND EL ECTRONIC COMMERCE  
Communication from Canada  
The following communication, dated 17 May 2018, is being circulated at the request of the delegation 
of Canada . 
 
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This submission outlines market access elements , which  could be considered in WTO negotiations 
on trade -related aspects of electronic commerce. This contribution is without prejudice to Canada's 
position on the scope and modality of such negotiations.  
1  SERVICES TRADE IN MO DE 1 
1.1.  With few exceptions, services rendered on a cross -border basis are generally delivered through 
electronic communications. Technological developments have enabled cross -border delivery of 
services in virtually all sectors. In this regard, GATS schedule s including entries of "Unbound*" under 
Mode 1 due to technical infeasibility should be revisited. Given different means for delivering 
services, such as cross -border consultancy and remote monitoring, among others, Members could 
replace "Unbound*" entries  with "None" or with commitments that reflect the current regulatory 
regime.  
1.2.  Members could complement this initiative by undertaking a modal negotiation for services in 
mode 1 on a request -offer basis.  
2  COMPUTER AND RELATED  SERVICES  
2.1.  In order to promote effe ctive liberalization in this sector, considering the rapid technological 
advancement and possibilities for creation of new business models, Members could schedule 
commitments at the highest level possible (i.e.,  two-digit CPC  84). Full commitments at the h ighest 
level would ensure the openness of this sector to the benefit of all Members making such 
commitments and further ensure that developments in this area remain robust and dynamic. With 
this in mind, Members could schedule the following commitments:  
a. Modes 1 -3: no limitations  for the sector as a  whole (CPC  84, two-digit based).  
b. Mode 4 : no exclusion of CRS services from horizontal Mode 4  commitments. No  additional 
limitation s beyond horizontal limitations.  
2.2.  The Understanding on Computer and Related Service s (S/CSC/W/51) provides an accurate and 
reader -friendly clarification of the scope of coverage of CPC  84 that may increase the level of comfort 
of WTO Members when deciding to complete their commitments in this sector. Members could decide 
to schedule this  Understanding as part of their commitments for CPC  84. 
                                                
* This document was originally circulated as JOB/GC/ 189 dated 18 May 2018.  INF/ECOM/11  
 
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  3  FINANCIAL SERVICES  
3.1.  Access to competitive financial services, including payments solutions, is essential for firms' 
participation in electronic commerce. The Understanding on Commitments in Financial Services is a 
forward -looking instrument, which provides effective market access for financial services; addresses 
transfers and processing of information; and considers non -discriminatory barriers to the provision 
of financial services. Members could acce pt the Fifth Protocol to the General Agreement on Trade in 
Services (GATS) and schedule according to the Understanding on Commitments in Financial 
Services.  
4  CUSTOMS DUTY MORATOR IUM 
4.1.  WTO Members presently enjoy tariff -free trade in electronic transmissions. However, the 
current Moratorium on imposing customs duties on electronic transmissions lacks enforceability and 
is only in place for a short and fixed time period. Some Members have already signalled their desire 
to impose tariffs, fearing that technologic al change will impact government revenue collection. Such 
a practice would distort trade and hinder Members' ability to leverage electronic commerce to further 
integrate into the global economy.  
4.2.  In their FTA practice, many Members, including Canada, undertake a permanent prohibition on 
imposing customs duties on electronic transmissions . However, in the absence of a permanent 
customs duty prohibition, Members without vast FTA networks risk facing unfavourable terms of 
trade. A multilateral prohibition would ensure a level playing field for all Members.  
4.3.  Members could agree to the following text, which would prohibit the imposition of harmful 
tariffs, while making clear that Members retain the right to impos e internal taxes, fees or 
other  charges.  
Customs Duties  
1. No Member may impose a customs duty, fee or other charge in connection with the importation 
of an electronic transmission  between a person of one Member and a person of another Member.  
 
2. For greater certainty, nothing in paragraph 1 prevents a Member from imposing internal taxes, 
fees or other charges on electronic transmission, provided that such taxes, fees or charges are 
imposed in a manner consistent with the Agreement.  
 
 
5  EXPANDED INF ORMATION TECHNOLOGY AGREEMENT  
5.1.   Information and communication technology (ICT) enables firms to be more productive, more 
innovative, and more competitive in international markets. By eliminating tariffs on information and 
communication technology (ICT), suc h as mobile phones and computers , Parties to the ITA  and its 
expansion help provide their businesses and consumers with access to the best technology at lower 
cost. Members who have not already done so are encouraged to  join the ITA and its expansion . 
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