APEC officials address services trade and AI inequality

Officials gathered in Dalian, China, to discuss the evolution of services trade and the growing technological divide within the Asia-Pacific region. Services currently account for nearly two-thirds of economic output across the APEC region, yet trade in this sector faces significant hurdles. Unlike goods, which face tariffs, services trade is primarily hindered by domestic regulations, licensing systems, professional qualification requirements, and data governance frameworks.

Parallel to these regulatory challenges, experts at a conference in southern China warned of a widening artificial intelligence gap between advanced economies and the Global South. Speakers noted that many developing nations lack the necessary infrastructure and talent to utilize AI effectively. There are concerns that innovation may primarily benefit a small group of nations and approximately 100 corporations, potentially exacerbating economic inequality rather than acting as a leveler.