Does artificial intelligence (AI) regulation matter for international trade? Do multilateral trade rules pose limitations on the ability of governments to regulate AI? The EU AI act, as the first hard law risk-based regulation in the world of its kind, offers a great opportunity to address these questions.
By using a particularly trade-restrictive aspect of this EU regulation (the ban on prohibited AI systems) as case study, it emerges that there is potential for conflict between this emerging AI regulatory approach and the EU’s obligations and commitments enshrined in the General Agreement on Trade in Services (GATS) and the Agreement on Technical Barriers to Trade (TBT). This degree of incompatibility is influenced by four key factors: the classification of AI systems, the sector of application, the GATS/TBT discipline under examination, and the determination of likeness.
This finding is consequential for international trade law. As the AI race intensifies and more WTO Members consider adopting ‘EU-like’ or ‘EU-inspired’ AI-specific legislation, emerging AI regulation could put additional strain on a multilateral trading system already under siege amidst increased geopolitical tensions.
Presenter: Marta Soprana, University of Lucerne
Discussant: Kang Sungjin, Kim & Chang
Compatibility of Emerging AI Regulation with GATS and TBT: the EU Artificial Intelligence Act
