Figure 2.2.1. Potential Gains from Tackling Traditional Trade Barriers (Percent) 220 1. Market Share Index in Global WTO ITA Products of “Passive Signatories” 200 (Index, 0 = 100) 180 160 140 120 100 80 60 40 20 0 –7 –6 –5 –4 –3 –2 –1 0 1 2 3 Years in ITA 4 5 20 2. Estimated Reductions in Ad-Valorem Tariff Equivalent Trade Costs Due to WTO TFA (Percent) 15 10 5 0 Developed G-20 developing Other developing Leastdeveloped Sources: Henn and Mkrtchyan (2015); and World Trade Organization (WTO) Statistics database. Note: ITA = Information Technology Agreement; TFA = Trade Facilitation Agreement. Panel 1 shows the evolution (pre- and post-WTO ITA accession) of information technology exports of “passive signatories,” that is, those countries that joined the agreement as part of a large policy objective rather than due to an established comparative advantage in the sector.
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