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Beyond WTO TFA: Building Digital Trust and Transparency in Fragmented Trade
Abstract
This chapter examines why, in an era of trade fragmentation, regulatory divergence, and the shift toward data-driven commerce, it has become necessary to move beyond the WTO Trade Facilitation Agreement (TFA). It analyzes how geopolitical tensions, ESG disclosure requirements, export controls, and differences in rules of origin increase compliance complexity and costs. The chapter highlights the limitations of the current TFA, which was designed for a pre-digital era, and argues for the creation of trusted, interoperable digital trade frameworks, cross-border data exchange, and the use of verifiable digital credentials to ensure transparency, predictability, and inclusion in trade. Drawing on examples from various regions, the chapter demonstrates how emerging technologies can help reduce both physical and digital trade barriers. In conclusion, it outlines key principles for a WTO TFA 2.0 that reflects the realities of modern, trust-based, and sustainable global trade.
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