A bipartisan group of US lawmakers has urged US Trade Representative Catherine Ty to push for an extension of the digital trade tariff moratorium since 1998 during this week's World Trade Organization meeting.
More than 100 trade ministers from the WTO's 164 members met in Geneva this week. Still, the 27-year-old trade organization remains deeply challenged by crises ranging from Russia's war in Ukraine to the COVID-19 pandemic.
WTO chief Ngozi Okonjo-Iuela on Sunday expressed cautious optimism that a global deal or two could be reached this week but said challenges remained.
Thirty-four US lawmakers, led by Democrat Susan DelBene and Republican Darin LaHood, warned that one of the main issues was whether to extend the moratorium on tariffs on digital goods such as e-books, movies, and video games, and digital services such as E-Mail. Text and software - will have a significant impact in the United States.
"Unless we renew the moratorium, as we have for more than 20 years, the strength of the US economy, jobs, and innovation will be undermined," they told Ty in a Friday letter verified by Reuters.
A senior USTR official expressed hope that the moratorium could be extended, saying US officials had made it clear to opponents that they would also hurt developing countries.
In their letter, lawmakers noted that trade in digital goods and services is becoming increasingly important for workers and businesses in the United States, including many small businesses that use digital tools to export their products and services overseas.
Suppose India and other countries win in their bid to end the moratorium. In that case, members said that countries could impose tariffs on sectors such as manufacturing, agriculture, entertainment, software, and financial services, further disrupting supply chains and driving up consumer prices. Parliament.
