A new report has revealed a rapid rise in global digital trade in recent years, with China playing a leading role in advancing technological innovation and fostering a connected global economy.

Released on Wednesday at the on-going third Global Digital Trade Expo in Hangzhou, Zhejiang Province, the Global Digital Trade Development Report 2024 was a collaborative effort between the International Trade Centre (ITC) and the Global Digital Trade Expo Committee. 

The report highlighted that global digital trade reached $7.13 trillion in 2023, up from $6.02 trillion in 2021, with an average annual growth rate of 8.8 percent.

The European Union, the United States, and China were identified as leading contributors to this expansion of digital trade, which refers to the exchange of goods and services ordered or delivered online.

Ashish Shah, director of ITC's Division of Country Programmes, emphasized that digital trade's transformative impact has extended from e-commerce to the seamless movement of goods, services and data. 

The report also said that artificial intelligence is reshaping digital trade, contributing to optimizing supply chains and enhancing customer interactions.

Small and medium-sized enterprises (SMEs), particularly those in developing countries, play a crucial role in this growth. Digital tools are leveling the playing field for SMEs, driving their integration into international markets.

However, the rapid digital transformation has also brought challenges, particularly in cybersecurity, data privacy and regulatory harmonization. The report called for international cooperation to create a fair, inclusive digital trade environment, ensuring that all businesses, especially SMEs, can benefit.

The five-day Global Digital Trade Expo, China's only national-level event focused on digital trade, has attracted over 1,500 companies from home and abroad. Over 30,000 purchasers have signed up for the event, with more than 6,000 of them from foreign countries and regions.

(With input from Xinhua; Cover via CFP)