WTO: Artificial Intelligence and International Trade

Key Chapter Title List

1. Introduction
2. Why is Artificial Intelligence a Trade Issue?
3. Policy Considerations for Artificial Intelligence and Trade
4. What Role Can the WTO Play?
5. Conclusion
6. A Brief History of Artificial Intelligence
7. How Does Artificial Intelligence Affect International Trade?
8. The Widening AI Divide
9. Ensuring Trustworthy AI Without Hindering Trade
10. Domestic, Regional, and International AI Governance Initiatives and Fragmentation Risks
11. Promoting Global Convergence
12. Facilitating Trade in AI-related Goods and Services

Document Introduction

This report is prepared by the Secretariat of the World Trade Organization and represents the institution's first comprehensive in-depth research study examining the intersection of artificial intelligence and international economic trade. The report aims to respond to the profound transformations brought about by the rapid development of AI technology, exploring how it reshapes the forms, costs, and patterns of global trade, and analyzing the resulting policy challenges and global governance needs. The core issue of the report lies in clarifying why AI has become a significant trade issue and examining the critical role that the multilateral trading system, particularly the WTO, can play in promoting the inclusive development of AI technology, addressing its associated risks, and preventing regulatory fragmentation.

The report first analyzes the unique characteristics of AI as a general-purpose technology, including its reliance on big data, rapid evolution capability, and inherent complexity and opacity. Building on this foundation, the report elaborates in detail on AI's potential to reduce trade costs through various means such as optimizing logistics, overcoming language barriers, and simplifying compliance processes. The report particularly points out that digitally delivered services, AI-related hardware (such as chips), and the trade in data and energy that supports AI development will become the trade areas most significantly impacted by AI. Simultaneously, AI may reshape the comparative advantages of nations, and its development and application could also intensify industrial concentration and the AI divide.

At the policy level, the report delves into the core challenges posed by AI: how to bridge the gap in AI development and application capabilities among different economies; how to strike a balance between promoting cross-border data flows to nurture AI innovation and protecting personal privacy; how to design regulatory frameworks that ensure AI is trustworthy (covering reliability, safety, privacy, accountability, etc.) without constituting unreasonable trade barriers; and the new questions AI poses to traditional intellectual property systems, such as the copyright of training data and the attribution of AI-generated content.

The report observes a surge in AI governance initiatives globally, ranging from national strategies and regional cooperation to international principles, presenting a diverse and potentially conflicting landscape. This policy fragmentation poses particularly high compliance costs for small and medium-sized enterprises and may hinder the broad sharing of AI benefits. Against this backdrop, the role of the WTO, as the core platform for rules-based global trade policy, is of significant interest.

Finally, the report systematically assesses the potential of WTO rules and mechanisms in addressing AI-related trade challenges. This includes promoting regulatory convergence through transparency mechanisms (such as TBT notifications) and policy reviews; facilitating the cross-border flow of AI-related goods, services, technology, and intellectual property through existing rule frameworks like the General Agreement on Trade in Services (GATS), the Information Technology Agreement (ITA), the Agreement on Technical Barriers to Trade (TBT), and the Agreement on Trade-Related Aspects of Intellectual Property Rights (TRIPS); advancing the development of new digital trade rules through negotiation processes such as the Joint Statement Initiative on E-commerce; and utilizing its forum function to promote dialogue, experience sharing, and dispute prevention. The report emphasizes that while AI governance extends far beyond trade, trade rules and policies are an indispensable part of building a robust global AI governance framework.