Good for Business, Legislation, Lithuania, Technology, USA

Lithuanian entrepreneurs will have more favourable export conditions to the major markets such as the USA, China and Japan, the Agreement will also go further to allow for more favourable import in emerging markets in southeast Asia such as the Philippines, Taiwan, Thailand, Malaysia and other countries which will join the Accord at a later stage.

The Agreement will gradually eliminate customs tariffs on 201 IT products by 2019, the annual trade in these products is valued at over 1 trillion USD. Liberalisation of trade in IT products favourably opens the market for Lithuanian manufacturers and exporters, it also has a positive impact on development of technologies and access to technologies as well as contributes to innovation, economic growth and employment. The new Agreement liberalises trade in IT goods for exporters from all WTO members.

Last year Lithuania exported goods covered by the new ITA, including lasers, medical and optical testing devices, radio-navigation equipment, optical lenses and other high-added value high-end technology equipment and devices worth more than 54 million EUR to the countries of the Agreement.

Lithuania managed to protect the TV-set manufacturers with the help of the European Commission negotiators – they were excluded from the Agreement and the existing import tariffs will continue to apply.

The concluded negotiations became a major achievement and it is the first tariff-cutting agreement in the WTO in 18 years. The ITA concluded in 1996 increased export value of IT products threefold during the recent 15 years. The Agreement however did not cover new IT products, therefore negotiations on the review of the Agreement were initiated in 2012. The Agreement will be announced in the WTO's 10th Ministerial Conference which will be held in Nairobi in December. By that time ITA revision negotiators will have to agree on technical details and transitional periods for the liberalised products.