Described as a “landmark” event, the European Union (EU) and Singapore have inked a Digital Trade Agreement (DTA). The EU states that the goal is to emerge as a global standard setter for digital trade rules.
The DTA is said to complement the existing 2019 EU-Singapore Free Trade Agreement. The EU and Singapore will now follow their respective procedures for formal signature and conclusion.
In brief, the Agreement cover:
- Facilitating digitally-enabled trade in goods and services;
- Ensuring cross-border data flows free of unjustified barriers;
- Enhancing trust in digital trade, including through strong rules on spam.
The EU reports that it is the world’s leading importer and exporter of digitally deliverable services.
In 2022, 55% of total EU trade in services was delivered digitally, representing more than €1.3 trillion of EU imports and exports.
More than half of the total trade in services between the EU and Singapore is already digitally delivered, accounting for 55% of the total EU-Singapore trade in 2022 (worth €43 billion).
“Building smart, modern rules for digital trade with our global partners is crucial at a time when more than half of EU trade in services is delivered digitally,” commented Valdis Dombrovskis, Executive Vice-President and Commissioner for Trade. He said the agreement will benefit both businesses and consumers while bringing the two economies closer.
Singapore Minister-in-charge of Trade Relations Grace Fu participated in finalizing the DTA.
