E-Commerce in the WTO

electronic aspects of electronic commerce relevant to their commerce relevant to their respective & competence d respective & competence d GC GC to have a to have a central role central role , , review continually Work review continually Work Programme and deal with Programme and deal with crosscutting issues crosscutting issues E E - - Commerce defined as Commerce defined as c c the production, the production, distribution, marketing, distribution, marketing, sale or delivery of goods sale or delivery of goods and services by electronic and services by electronic means d means d Members to consider e Members to consider e - - commerce commerce - - related related infrastructure development infrastructure development issues issues Members to consider work Members to consider work of other intergovernmental of other intergovernmental organisations organisations Services Council Services Council transparency transparency increasing participation of increasing participation of developing countries developing countries domestic regulation, standards domestic regulation, standards and recognition and recognition competition, protection of privacy competition, protection of privacy and public morals, and and public morals, and prevention of fraud prevention of fraud market market - - access commitments on access commitments on electronic supply of services (eg, electronic supply of services (eg, commitments on basic & value commitments on basic & value - - added telecommunications added telecommunications services and on distribution services and on distribution services) services) national treatment national treatment access to and use of public access to and use of public telecommunications transport telecommunications transport networks and services networks and services customs duties customs duties classification issues. classification issues. Goods Council Goods Council market access for and market access for and access to access to products related to products related to e e - - commerce commerce valuation issues arising from the valuation issues arising from the application of the Agreement on application of the Agreement on Implementation of Article Implementation of Article VII of VII of the GATT 1994 the GATT 1994 issues arising from the application issues arising from the application of the Agreement on Import of the Agreement on Import Licensing Procedures Licensing Procedures customs duties and other duties customs duties and other duties and charges as defined under and charges as defined under Article II of GATT 1994 Article II of GATT 1994 standards in relation to electronic standards in relation to electronic commerce commerce rules of origin issues rules of origin issues classification issues.<br><br> classification issues. TRIPs Council TRIPs Council protection and enforcement of copyright and related rights protection and enforcement of trademarks new technologies andaccess to technology. Trade & Development Trade & Development Cttee Cttee effects of e effects of e - - commerce on DC commerce on DC trade and economic trade and economic prospects prospects , , notably for notably for SMEs SMEs ; ; how to maximise benefits how to maximise benefits challenges to and ways of challenges to and ways of enhancing DC participation in enhancing DC participation in e e - - commerce; improved access commerce; improved access to infrastructure and transfer to infrastructure and transfer of technology; movement of of technology; movement of natural persons natural persons use of IT in integrating use of IT in integrating DCs DCs into the multilateral trading into the multilateral trading system system impact of e impact of e - - commerce on commerce on traditional means of traditional means of distributing physical goods distributing physical goods financial financial implications of e implications of e - - commerce.<br><br> commerce. Results to Seattle (1999) Results to Seattle (1999) CTS, CTG explored market access-related issues, especially classification, impact of regulation, technical issues CTD examined fiscal, development and capacity- building issues, holding numerous well attended seminars TRIPs Council examined a long list of IP matters ------------------------------ Few conclusive findings GC guidance sought Post Post - - Seattle Seattle GC: mid-2000: Tried to reinvigorate e-commerce work; requested list of crosscutting issues Services & Goods Councils came to 8dead end 9 in 2001 TRIPs & CTD continued -------------------------- Q: Role of WTO? Q: How do WTO rules apply?<br><br> Q: Impact on revenues? Q: Where to from here? Doha Declaration Doha Declaration MC4, Nov.<br><br> 2001: MC4, Nov. 2001: Endorsed work done to Endorsed work done to date date Instructed GC to consider Instructed GC to consider most appropriate most appropriate institutional arrangements institutional arrangements to continue work to continue work Instructed GC to report on Instructed GC to report on progress to MC5 (2003) progress to MC5 (2003) Declared members would Declared members would continue moratorium until continue moratorium until MC5 MC5 Post Post - - Doha Doha CTD and TRIPs Council CTD and TRIPs Council continued work to mid continued work to mid - - 2003 2003 GC established Dedicated GC established Dedicated Sessions to address Sessions to address crosscutting issues: 5 crosscutting issues: 5 meetings: meetings: 15/6/01, 6/5/02, 25/10/02, 27/2/03, 16/5- 11/7/03 Crosscutting Issues Crosscutting Issues 1. 1.<br><br> Classification Classification 2. 2. Development Development 3.<br><br> 3. Fiscal implications Fiscal implications 4. 4.<br><br> E E - - commerce commerce vs vs traditional commerce traditional commerce 5. 5. Customs duties on e Customs duties on e - - commerce transactions commerce transactions 6.<br><br> 6. Competition Competition 7. 7.<br><br> Jurisdiction/other Jurisdiction/other legalities legalities Classification: La B Classification: La B ê ê te Noire te Noire Is it a good? Is it a good? Is it a service?<br><br> Is it a service? Is it IP? Is it IP?<br><br> Is it all of the above? Is it all of the above? Is it none of the above?<br><br> Is it none of the above? If so, how to classify? If so, how to classify?<br><br> Carriage Carriage vs vs content content - - delivery mechanism delivery mechanism - - content content Examples: Examples: CDs, DVDs, CDs, DVDs, software, architectural software, architectural designs, health checks, designs, health checks, fashion designs, etc fashion designs, etc Issue: Issue: how to treat at border? how to treat at border? Fiscal Implications Fiscal Implications Customs duties Customs duties DCs DCs dependent on customs dependent on customs revenues want flexibility revenues want flexibility - - if if realistic means to track and realistic means to track and collect emerge collect emerge Others want permanent Others want permanent moratorium, for business moratorium, for business stability stability Taxation Taxation CTD Seminar 2002 CTD Seminar 2002 Draft Draft Canc Canc ú ú n MC5 Text n MC5 Text 22.<br><br> 22. We take note of the reports We take note of the reports from the General Council and from the General Council and subsidiary bodies on the Work subsidiary bodies on the Work Programme on Electronic Programme on Electronic Commerce, and Commerce, and agree to agree to continue the examination of continue the examination of issues under that ongoing Work issues under that ongoing Work Programme, with the current Programme, with the current institutional arrangements institutional arrangements . We .<br><br> We instruct the General Council to instruct the General Council to report on further progress to report on further progress to our next Session. We declare our next Session. We declare that Members will that Members will maintain their maintain their current practice of not imposing current practice of not imposing customs duties on electronic customs duties on electronic transmissions transmissions until that Session.<br><br> until that Session. Post Post - - Canc Canc ú ú n n E E - - Commerce Work Commerce Work Programme on hold Programme on hold Moratorium status unclear Moratorium status unclear GC Chair has proposed GC Chair has proposed that, as part of the July that, as part of the July package, the moratorium package, the moratorium be extended until MC6 in be extended until MC6 in Hong Kong (2005) Hong Kong (2005) A further dedicated session A further dedicated session may be held may be held Services and Goods Services and Goods Councils still awaiting GC Councils still awaiting GC guidance guidance Other WTO Work Other WTO Work Information Technology Information Technology Agreement Agreement Working Group on Trade Working Group on Trade Facilitation Facilitation

less