International Trade: Services Included

The European Union's strong positions in international services trade are mainly in finance and insurance, as well as in computing wherethey are now challenged by large emerging countries. The United Kingdom appears to be the only large European country specialized inservices with strong growth. But a large share of international "trade" in services is in the activity of companies located abroad. In certaincases, notably that of France, including them changes the picture substantially. The advantages of the various European countries could bereshaped by the realization of the single market in services. By eliminating certain regulations, the services directive will open markets tocompetition that are, in some cases, still very closed. It could boost intra-European exchanges that are relatively under-developed today.