Global services trade grew strongly in Q3 2024, with exports rising across regions. Transport and travel services saw significant gains, while digital services, led by computer exports, expanded rapidly. India’s computer services exports grew by 10% year-on-year, reflecting rising global demand. According to the WTO, services trade remains a key driver of economic growth.
Image Source: Shutterstock
The third quarter of 2024 saw robust growth in global services trade, with exports increasing by 16% in Asia, 8% in Europe, and 7% in North America, South and Central America, and the Caribbean. Imports also expanded across regions, reflecting sustained demand for a wide range of services.
Services remained the driving force behind trade growth, posting a 9% year-on-year increase in the first three quarters of 2024. In stark contrast, goods trade rose by only 2% during the same period. Transport services played a key role, with a 14% surge in Q3 2024 as shipping rates soared amid ongoing disruptions on major trade routes. Global freight prices reached approximately US$ 4,500 for a 40-foot container unit—nearly four times higher than in Q3 2023, according to Freightos data.
Asia led the growth in transport services, recording a 32% increase in exports. China and Singapore saw particularly strong gains, with transport exports rising by 47% and 40%, respectively. Available monthly data from major Asian transport traders indicated that this momentum persisted through the end of the year. In Q4 2024, China’s transport exports jumped by 50%, driven by increased shipment volumes.
Strong performance across service sectors
Travel services continued to recover, with international tourist expenditures growing by 10% in Q3 2024. During the first three quarters of the year, global travel receipts surpassed pre-pandemic levels by 15%. The sector’s expansion stabilized after the initial post-pandemic surge, aided by visa-free policies introduced by various economies throughout 2024. By year-end, international tourist arrivals had nearly reached 2019 levels, signaling a full recovery, according to UN Tourism.
Major sporting events provided an additional boost to travel services. The UEFA European Football Championship in Germany and the Olympics in France contributed to a 7% rise in Europe’s travel exports compared to 2023’s high base. Many African economies also recorded strong growth in travel services, including Namibia (+32%), Morocco (+19%), and Tanzania (+18%).
Other commercial services, which account for approximately 60% of total services trade, expanded by 8% on average in Q3 2024. The European Union and the United Kingdom posted a 9% increase in exports, while the United States recorded a 7% rise. Growth was especially pronounced in South and Central America and the Caribbean, where Chile, Argentina, and Peru experienced notable gains of 32%, 26%, and 17%, respectively.
Key Drivers of Growth
Digitally deliverable services remained a major driver of growth, with global exports of computer, financial, business, and insurance services expanding significantly.
Computer services, in particular, saw impressive gains, with global exports rising by 13% in January-September 2024. Both developing and developed economies experienced rapid growth in this segment, with Indonesia recording a remarkable 77% increase in computer services exports, while Mauritius and the United States saw growth of 37% and 18%, respectively. India’s computer services exports also grew at a year-on-year rate of 10% during the same period. In the European Union, exports of computer services rose by 15% year-on-year, or 10% when excluding Ireland, the bloc’s largest exporter.
The increasing adoption of digital technologies, including artificial intelligence (AI), has further fueled demand for computer services. Companies are outsourcing IT services and software development at an accelerated pace, driven by the expansion of e-commerce and digital platforms. AI-powered solutions such as chatbots, machine learning, predictive analytics, and cybersecurity enhancements have further propelled the sector’s growth. As businesses continue adapting to new technologies and evolving consumer preferences, the demand for digitally deliverable services is expected to remain strong.
Quarterly statistics are subject to revisions and are available for download at WTO Stats. Additional annual services trade insights can be accessed through the Global Services Trade Data Hub and WTO World Trade Statistics 2023.
