This paper seek to clarify a narrow set of policy issues relating to the international trade aspects of electronic commerce. It focuses, in particular, on the WTO decision not impose customs duties on electronically delivered products. The decision on duty-free commerce is intended to contribute to the growth of electronic commerce by providing a guarantee of open trading conditions, but the significance of the decision may have been exaggerated. In particular, the prohibition of customs duties does not ensure continued open market access for electronically delivered products and may even prompt recourse to inferior instruments of protection. Accordingly, barrier-free electronic commerce would be more effectively secured by deepening and widening the limited cross-border trade commitments under the GATS and by clarifying and strengthening certain GATS disciplines.