Council for Trade in Services - Special Session - Communication from Australia, Hong Kong, China, the Philippines and Singapore - Assessment work on services


COMMUNICATION FROM AUSTRALIA; HONG KONG, CHINA;
THE PHILIPPINES; AND SINGAPORE

ASSESSMENT WORK ON SERVICES

The following communication dated 19 September 2025, from the delegations of Australia; Hong Kong, China; the Philippines; and Singapore is being circulated to the Members of the Council for Trade in Services in Special Session.

 

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This communication is submitted for discussion on a potential way forward in response to the Chair's report on consultations delivered at the meeting of 12 June 2025.

 

1  CONTEXT

1.1.  Services trade is important for development and economic growth, both as an export and an essential input.

1.2.  Trade growth, employment, and the transfer of technology, knowledge and capital are all increasingly defined by services. Technological change is making greater services trade possible.

1.3.  Pursuant to Articles IV and XIX of the General Agreement on Trade in Services (GATS), Members agreed, among other things, to use commitments in services trade to (i) achieve progressively higher levels of liberalisation and (ii) increase the participation of developing country and least-developed country (LDC) Members in trade in sectors and modes of interest to them.

1.4.  Members also agreed on guidelines for pursuing these objectives in S/L/93, which provides that the CTS-SS shall continue to carry out an assessment of trade in services in overall terms and on a sectoral basis as an ongoing activity.

1.5.  The Hong Kong Ministerial Declaration also called for targeted technical assistance be provided on, inter alia, compiling and analysing statistical data on trade in services, assessing interests in and gains from services trade, building regulatory capacity, particularly on those services sectors where liberalisation is being undertaken by developing countries.

1.6.  While Members have largely yet to deliver on the above objectives in the WTO, a significant number of Members, including developing members and LDCs, have made commitments in services that go beyond their GATS commitments in regional trade agreements (RTAs).

1.7.  It is valuable to examine these RTA commitments from a WTO perspective to examine trends in RTA services commitments and to consider where certain services commitments in RTAs have progressed ahead of GATS, their impact on services trade, and what best practices from RTA services outcomes could provide benefits to the WTO Membership (especially WTO members that face challenges in pursuing RTAs). For example, some RTAs include enhanced transparency provisions regarding domestic measures affecting trade in services in committed sectors as a complement to market access. A discussion on how development issues were taken up and how sectors and modes of export interest to developing countries were addressed could also provide valuable insights for consideration of the way forward under Articles IV and XIX.

2  STOCKTAKE

2.1.  Our idea is for Members to conduct a stocktake of progress made in services commitments in RTAs and explore potential elements for consideration in the multilateral trading system. This would be carried out as part of the mandate to continue carrying out an assessment of trade in services in overall terms and on a sectoral basis, including technical assistance for regional assessments. This stocktake would initially comprise:[1]

_    i._         Sharing of Members’ relevant experiences in negotiating and implementing RTA services commitments, their benefits and limitations.

_   ii._         Sharing of developing Members’ interests in services trade, and their experiences in pursuing these interests under RTAs and/or barriers they face in doing so.

iii._         A discussion on the effect of commitments on development, and the relationship between Members’ economic strategies and their agreements and commitments relating to services.

iv._         A Secretariat-supported assessment and Member-driven discussion of services commitments achieved in RTAs, highlighting trends and characteristics by mode and sector.  The framework for this assessment and discussion will be determined by Members.

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[1] This exercise is not intended to assess any RTA’s relationship with Article V of the GATS.