BRUSSELS —
Trade negotiators returned to the table this week for a round centered on the digital economy, an agenda that marks a shift from the tariffs-and-quotas focus of earlier talks.
The session addressed cross-border data flows, customs rules for small e-commerce shipments, and a framework for digital-service taxation.
The sticking points
Delegations remain split on data-localization requirements, with one bloc insisting on unrestricted cross-border transfer and another demanding sovereign storage options. A compromise allowing national exemptions for sensitive sectors is under informal discussion.
E-commerce smalls
Negotiators also grappled with the de minimis threshold — the value below which imports clear customs duty-free. Online retailers favor a higher threshold; domestic manufacturers warn of a competitive imbalance.
Progress on data will unlock everything else, participants said privately.
What is next
The group will convene a technical session on digital taxation before the next ministerial meeting. Observers say a partial agreement is possible, with the hardest issues deferred to a subsequent round.
