Trading with intelligence

Artificial intelligence (AI) is transforming the way we live, work, produce and trade. As it further develops, AI is expected to unlock unprecedented economic and societal opportunities. However, it is also a source of significant risks and challenges. This report examines the intersection of AI and international trade. It discusses how AI may shape the future of international trade by reducing trade costs, improving productivity and expanding economies' comparative advantages. The report reviews some key trade policy considerations, in particular the urgent need to address the growing AI divide between economies and between large and small firms, as well as data governance and intellectual property issues. It examines how to guarantee the trustworthiness of AI without hindering trade. The report also provides an overview of domestic, regional and international government initiatives to promote and regulate AI, and highlights the resulting risk of regulatory fragmentation. Finally, the report discusses the critical role of the WTO in facilitating AI-related trade, ensuring trustworthy AI and addressing emerging trade tensions, noting that the rapid evolution of AI is prompting questions about the implications of AI for international trade rules.