The European Commission proposed to the Council to give its green light for negotiations on a new international agreement on trade in services. Together, the 21 initial countries (WTO Members) participating in the negotiations represent more than two thirds of world trade in services. The EU wants to develop new rules on trade in services.

The Council will be asked by the Commission to give its green light for negotiations on a new international agreement on trade in services. The agreement will initially be negotiated between 21 WTO members (48 when counting EU Member States). The EU is also pushing for the agreement to dovetail with WTO rules so it can be later folded into the WTO system. Recently, the United States and the European Union agreed to launch negotiations on a Transatlantic Trade and Investment Partnership.

According to the Commission, the EU, like the other participants, is looking for the negotiations to go beyond simply further opening up markets for services. The aim is also to develop new rules on trade in services, such as those applying to government procurement of services, licensing procedures or access to communication networks. The negotiations will cover all services sectors, including information and communication technology (ICT) services, logistics and transport, financial services and services for businesses.

The negotiations are expected to start in spring 2013. During and after conclusion of the negotiations, the agreement will be open to all other WTO members who want to liberalise international trade in services. For the EU, trade in services is of strategic importance, the sector accounting for some three-quarters of EU gross domestic product (GDP) and of EU jobs. Within the EU, cross-border trade in services accounts for around 30% of EU trade, and Foreign Direct Investment in Services (to be covered by the scope of the future agreement) represents around 70% of the EU's FDI flows and around 60% of our FDI stock.