The rise of digital trade has revolutionized the U.S. economy in recent years. According to the International Trade Commission, exports of digital goods and services increased from $282 billion in 2007 to $356 billion just four years later. Such growth creates new jobs in the United States and shrinks the nation's long-standing trade deficit by creating new market opportunities for innovative businesses. Unfortunately, many barriers to digital trade still exist and some countries are even creating new restrictive measures under the guise of privacy and data protection concerns that could silo off many Internet users and jeopardize the strength of the digital economy.

One way to ensure the Internet economy remains open is by making digital trade a priority in trade agreements. Recognizing these important trends, Sen. Ron Wyden (D-OR) and Sen. John Thune (R-SD) introduced the Digital Trade Act of 2013 yesterday, which would establish principles and set standards for future trade laws and Internet governance discussions. For example, the bill would require the U.S. government to seek commitments from trade partners to remove restrictions on cross-border data flows, end localization requirements, and ensure intermediary liability rules impacting Internet-enabled platforms are consistent with U.S. law.

"Protectionism has compelled the world to establish trade rules that prevent discrimination and promote innovation and competition," Wyden and Thune wrote in a Wall Street Journal op-ed. "But these rules were last updated before the Internet age, and they too often fail to ensure that American Internet-related businesses have the freedom to compete and innovate."

Of particular importance to Internet-enabled small businesses, the Digital Trade Act would also make it a United States trade priority to eliminate discriminatory treatment of Internet-enabled commerce.  A report by the International Trade Commission finds that online marketplaces like eBay are playing a significant role in the facilitation of cross border trade, particularly by small businesses.  However, barriers to Internet-enable trade still exist.

eBay Inc. has been a strong supporter of other policies, like the Digital Trade Act, that eliminate e-commerce barriers and facilitate trade. As the face of global trade grows and changes, eBay Inc.'s platforms will continue to enable Internet commerce, creating more choices and reducing costs for consumers around the world.