India signals possible two-year extension of WTO e-commerce tariff moratorium
The Facts
- India has signalled it may drop its opposition to extending the WTO moratorium on customs duties for electronic transmissions.
- India indicated late on Friday that it would agree to a two-year extension of the moratorium, according to diplomatic sources.
- The United States is pushing for the moratorium to be made permanent rather than extended temporarily.
- The WTO moratorium bans customs duties on electronic transmissions such as digital downloads and streaming.
- The moratorium was first adopted in 1998 and has been renewed roughly every two years at WTO ministerial conferences.
- The current moratorium is set to expire this month at the WTO ministerial conference in Yaounde, Cameroon.
- Trade ministers meeting in Cameroon were still reported to be working through differences between the United States and India on the issue, with no clear breakthrough reported in some accounts.
Context
What is the WTO e-commerce moratorium?
It is a WTO agreement that prevents members from imposing customs duties on electronic transmissions such as digital downloads, software, e-books, music and movie streaming, and video games Yahoo! Finance,Reuters,CNA.
Why does the moratorium matter in these talks?
Because it affects whether countries can tax cross-border digital trade, and the current debate has become a key test of whether WTO members can reach consensus on major trade rules CNBC,Economic Times,Straits Times.
Is India agreeing to make the moratorium permanent?
No. The reports say India’s reported opening is to a two-year extension, while the U.S. is still seeking a permanent extension Investing.com,Reuters,Business Standard,Firstpost.
The receipts — all 57 sources
Wire services (8)
ReutersSuperhits 97.9 Terre Haute, INIndia signals shift on e-commerce tariff moratorium, balks a...
Independent coverage (49)
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Economic TimesIndia signals openness to extending tariff-free deal on ecom...
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Yahoo! FinanceE-commerce in the crosshairs at WTO in digital taxes battle
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@businesslineIndia, US face off over e-commerce moratorium at WTO meet
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