Artificial intelligence is expected to significantly boost global trade, with the World Trade Organization (WTO) predicting a 37% increase in global exports and imports by 2040. This growth will be driven by AI's ability to enhance logistics and supply chain management, automate regulatory compliance, and improve communication.
AI-driven translation technologies, for instance, can facilitate faster and more cost-effective communication, benefiting small producers and retailers expanding into global markets. The impact of AI will vary across sectors, with digital services expected to see a 42% growth in trade, processed goods projected to increase by 24%, and raw materials expected to see a 10% increase.
However, the WTO report warns that AI could exacerbate economic inequalities without adequate policies. To mitigate this, the organization recommends maintaining predictable trade frameworks, reducing tariffs on raw materials essential for AI technologies, investing in digital infrastructure, and implementing education and retraining programs to prepare workforces for AI-transformed job markets.
The WTO Director General emphasizes the need for proactive policy management to ensure AI benefits are shared widely and to prevent widening economic divides. As AI continues to transform global trade, it is crucial for governments and organizations to work together to harness its potential while addressing the challenges it poses.
