The article explores the impact of Artificial intelligence (AI) on international trade, focusing on challenges and opportunities for developing countries, particularly in Latin America and the Caribbean (LAC). As AI advances, it creates regulatory challenges and ethical concerns, especially regarding human rights and public morals, which may lead to trade frictions not addressed by current international agreements. AI brings important benefits to countries, such as cost reductions and efficiencies, alongside challenges related to data privacy, competition, and security. For developing countries, adopting AI offers both opportunities and obstacles, with infrastructure and human capital constraints being significant hurdles. The article suggests flexible regulatory approaches to attract investment, promote digital services exports, and ease cross-border data flow. While global trade discussions, particularly within the WTO, are addressing AI-related issues, regional agreements have made more progress. These agreements lack however comprehensive coverage and effective dispute resolution. It is important for LAC countries participating in international negotiations to ensure their interests are represented and to help shape global digital governance standards, enabling them to fully benefit from AI.
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