Sunday, December 1, 2024

Morosini, Tasquetto, & Maciel: Navigating the Digital Divide: Challenges and Strategies for Latin American Countries in E-commerce and Data Governance Regulation

Fábio Morosini (Universidade Federal do Rio Grande do Sul), Lucas Tasquetto (Universidade Federal do ABC), & Marília Maciel (DiploFoundation) have published Navigating the Digital Divide: Challenges and Strategies for Latin American Countries in E-commerce and Data Governance Regulation (Georgetown Univ. Latin American Political Economy and Globalization Program). Here's the abstract:
In recent years, there has been a growing concern that only a few countries and players have been accruing the benefits and wealth stemming from the digital economy, widening the gap between developed and developing countries. The development gap related to digital trade is particularly acute in Latin American countries. Despite structural difficulties and its low performance in the digital economy, Latin America has been one of the most active regions in terms of treaty-making on digital trade. However, Latin American countries lack their own model of digital trade regulation and tend to replicate existing ones, not only when negotiating agreements with third parties, but also within the region. So far, the US regulatory approach, as exemplified by the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), has had the most significant influence on Latin America. A number of countries in Latin America are already embroiled in negotiations or bound by agreements from which it would be too hard or costly to defect. In this scenario, it is advisable to consider the inclusion of binding provisions within the ongoing and future digital trade negotiations, which would contribute to development. That could happen by a) incorporating provisions aimed at promoting digital inclusion and tackling inequality, and b) incorporating specific horizontal and vertical development- oriented provisions. Latin American countries can find inspiration in agreements celebrated outside the region, as they seek to mainstream development in their digital trade negotiations. This policy paper concludes with a number of recommendations, both institutional and substantive.