CARIFORUM and UK EPA Study

It should be noted that, with the advent of the machine learning, the internet of things (IoT), 3D and 4D printing or additive manufacturing, and other disruptive technologies that are capable of providing services tangential to or supportive of the manufacturing and even other service industries as well, a new narrative is emerging that describe activities facilitated via such means as Mode 5 supply of services.

Table 20: UK Global Services Imports and Exports by Mode of Supply (2017)

UK Services Imports and Exports by Mode of Supply (2017)

Mode 1 Mode 2 Mode 3 Mode 4

Shares

36%

5% 55%

4%

Share of modes in services exports to the rest of the world by country Share of modes in services imports from the rest of the world by country Share of modes in services exports to non-EU countries, by country Share of modes in services imports to non-EU countries, by country

20.1% 5.8% 71.6% 2.6%

36% 19%

5% 54% 4% 74%

5% 3%

Source: EUROSTAT Database. Note: Estimates using the simplified Eurostat model. Modes 1, 2 and 4: ITSS exports, adjusted by excluding goods and including distribution services from trade in goods statistics to mode 1. Mode 3: outward FATS data. Missing data were estimated.

EUROSTAT data on the UK’s trade in services by modes of supply indicates that more than 91% of the country’s global services exports in 2017 were exported via Modes 1 and 3, combined, with 55% occurring under Mode 3 and 36% under Mode 1. Only 5% of the value of the UK’s services was exported via Mode 2, and the remaining 4% occurred under Mode 4. The distribution of UK services exports across modes of supply remained largely unchanged in 2019, with the UK’s ONS data showing that approximately 88% of the UK’s total services were still mainly exported under Modes 1 and 3, with Mode 3 accounting for 66% of total services exports, while approximately 22% occurred under Mode 1, followed by Modes 2 and 4 with approximate shares of 7% and 5%, respectively.

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