JOINT STATEMENT ON SERVICES DOMESTIC REGULATION

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A total of 60 WTO members(1) participating in the negotiations have circulated schedules of commitments setting out how they intend to incorporate the new disciplines on services domestic regulation into their existing WTO commitments. Several participants have added new sectors, such as environmental and business services, to their schedules while all participants intend to apply the discipline on non-discrimination between men and women to their authorization procedures. This is the first time a WTO negotiated text contains such a provision.

The objective of the new disciplines is to mitigate the unintended trade-restrictive effects of measures relating to licensing requirements and procedures, qualification requirements and procedures, and technical standards. By improving the predictability and transparency of regulatory frameworks for authorization procedures for service suppliers, participants aim to create a more conducive environment for services trade.

Mr Jaime Coghi, who coordinates the negotiations, praised participants for their “constructive engagement”, for “listening to each other in the spirit of problem-solving, flexibility and compromise”, and for “producing the first services outcome in the WTO in 24 years”.

Announcing its participation in the negotiations, the Philippines said that services account for over 60 per cent of its gross domestic product and over 55 per of its labour force. Implementing the new disciplines will help promote regulatory practices that support trade in services and deepen the Philippines' integration into global value chains. It will also complement the country's “Ease of Doing Business and Efficient Government Service Delivery Act of 2018” and its commitments under regional trade agreements, the delegation said.

The Philippines is the 66th WTO member to participate in the negotiations, bringing world services trade covered by the negotiations to over 90 per cent. Participants welcomed the increasing number of WTO members from the Association of Southeast Asian Nations region taking part in the initiative.

At the MC12 meeting scheduled for 2 December, ministers representing the participating members are expected to adopt a declaration announcing the conclusion of the negotiations. They will also take note of the schedules submitted by members participating in the negotiating process.

The Organisation for Economic Co-operation and Development has calculated the reduction in trade costs likely to result from the conclusion of the talks for G20 economies and Asia-Pacific Economic Cooperation countries.

WTO Secretariat research on the increasing prevalence of the domestic regulation disciplines in trade agreements and their potential linkages with economic performance can be found here.

A factsheet concerning the negotiations is available here.

Notes:

  1. Albania; Argentina; Australia; Austria; Belgium; Brazil; Bulgaria; Canada; Chile; China; Colombia; Costa Rica; Croatia; Cyprus; Czech Republic; Denmark; El Salvador; Estonia; European Union; Finland; France; Germany; Greece; Hong Kong, China; Hungary; Iceland; Ireland; Israel; Italy; Japan; Kazakhstan; Korea, Republic of; Latvia; Liechtenstein; Lithuania; Luxembourg; Malta; Mauritius; Mexico; Moldova, Republic of; Montenegro; Netherlands; New Zealand; Nigeria; North Macedonia; Norway; Paraguay; Peru; Philippines; Poland; Portugal; Romania; Russian Federation; Saudi Arabia, Kingdom of; Singapore; Slovak Republic; Slovenia; Spain; Sweden; Switzerland; Separate Customs Territory of Taiwan, Penghu, Kinmen and Matsu; Thailand; Turkey; Ukraine; United Kingdom; United States and Uruguay.
    The European Union presented one schedule for its member states.
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