When the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) entered into force in 2018, Chapter 14 on Electronic Commerce represented a forward-looking approach to digital trade. Since then, the digital economy has undergone a radical transformation, fuelled by breakthroughs in digital technologies and artificial intelligence (AI), alongside dramatic shifts in geopolitical dynamics. These developments have created both new opportunities and emerging risks, underscoring the urgent need for updated regulatory frameworks and international co-operation to ensure the relevance of the CPTPP’s digital provisions.
Against this backdrop, the Canadian National Committee for Pacific Economic Cooperation (CANCPEC) and the Australian Pacific Economic Cooperation Council (AusPECC) are pleased to present this report, prepared under the auspices of the Pacific Economic Cooperation Council (PECC). Developed through a Track 1.5 process jointly led by CANCPEC and AusPECC, the report findings are grounded in the insights of 25 experts from 11 PECC economies.
This report was submitted by CANCPEC and AusPECC to the CPTPP Commission at its meeting held in Melbourne, Australia on the Week of November 17, 2025, in the hope that it will serve as a constructive contribution to the ongoing General Review process — assisting CPTPP members, policymakers, and the broader trade community in charting a dynamic, inclusive, and forward-looking path for digital trade.
Key Insights
Digital trade now spans every industry, from goods and services to data and algorithms. It offers significant opportunities for growth and inclusion, but also presents new risks around trust, security, governance, and cross-border data flows. For the CPTPP to remain a future-oriented framework, its digital economy measures must keep pace with these changes.
The report outlines 13 actionable recommendations for policymakers aimed at ensuring that Chapter 14 of the CPTPP continues to serve as a global framework for digital trade.
These recommendations address:
- Artificial Intelligence (AI) Governance – promoting responsible and transparent AI use
- Cross-Border Data Flows and Governance – enabling data mobility while protecting privacy and security
- Cybersecurity and Digital Trust – enhancing resilience and consumer confidence in digital transactions
- Inclusion and MSME Participation – supporting equitable access to digital trade opportunities
- Regulatory Co-operation – strengthening interoperability and collaboration across CPTPP economies
Each recommendation reflects the direct engagement of industry practitioners and technical experts, ensuring that proposed updates are commercially relevant, technically sound, and practically implementable.
The objective is clear: to help the CPTPP retain its status as a “gold-standard” regional agreement for digital trade, one that supports open, trusted, and integrated economies across the Asia Pacific. By updating its digital economy measures, the Agreement can strengthen its relevance and resilience in the face of rapid change.
Note: This report was created under the auspices of the Pacific Economic Cooperation Council and is therefore only available in English, the official working language of PECC and APEC.
Disclaimer: The views and opinions expressed in this report are solely those of the individual experts who participated in a series of roundtable discussions held between November 2024 and May 2025. These discussions were conducted independently and do not reflect the official positions or views of all PECC national committees or the PECC organization as a whole.
