Top Banner

of 16

21093108 TRIMS Agreement

Apr 14, 2018

Download

Documents

rs0100
Welcome message from author
This document is posted to help you gain knowledge. Please leave a comment to let me know what you think about it! Share it to your friends and learn new things together.
Transcript
  • 7/29/2019 21093108 TRIMS Agreement

    1/16

    Trade Related Investment Measures

    (TRIMs) Agreement

  • 7/29/2019 21093108 TRIMS Agreement

    2/16

    TRIMs Agreement

    One of the Uruguay Round Agreements1994To be signed / accepted by all Members of WTO

    Principle of Single Undertaking / Acceptance

  • 7/29/2019 21093108 TRIMS Agreement

    3/16

    TRIMs Agreement

    It covers conditions on investment which are relatedto trade in goods

    Measures which are outside the domain of trade ingoods are not covered by it

  • 7/29/2019 21093108 TRIMS Agreement

    4/16

    TRIMs Agreement Obligation

    It prohibits investment restriction which conflict withthe obligation of a member in the WTO agreement

    Members not to apply TRIMs that are inconsistent with:

    Article III of GATT 1994

    Article XI of GATT 1994

  • 7/29/2019 21093108 TRIMS Agreement

    5/16

    Article III of GATT 1994National Treatment: requires chiefly that foreign goods be

    treated no worse than domestically produced goodsregarding internal taxation and regulation

    Article XI Of GATT 1994Chiefly concerns Elimination of Quantitative Restrictions on

    Imports

  • 7/29/2019 21093108 TRIMS Agreement

    6/16

    PROHIBITED MEASURES

    The measures to be covered by the prohibition, thegeneral condition is that:

    1.These are mandatory or enforceable under a domesticlaw or under administrative rulings, or

    2.Compliance with these is necessary to obtain anadvantage

  • 7/29/2019 21093108 TRIMS Agreement

    7/16

    Measures inconsistent with article III of GATT 1994

    Particular products of domestic origin must bepurchased or used by an enterprise or

    Particular volume or value of some product of domestic origin must be purchased or used by anenterprise, or

    An enterprise must purchase or use domesticproducts at least up to a particular proportion of the volume or value of the local production of theenterprise, or

  • 7/29/2019 21093108 TRIMS Agreement

    8/16

    Restricting the purchase or use of an importedproduct by an enterprise to an amount related to theexport of its local production

  • 7/29/2019 21093108 TRIMS Agreement

    9/16

    Measures inconsistent with article XI of GATT 1994

    Imposing a general restriction on the import of inputs by an enterprise or restricting the import of inputsto an amount related to the export of its localproduction

    Restricting the foreign exchange for the import of inputs by an enterprise to an amount related to theforeign exchange inflows attributable to theenterprise

  • 7/29/2019 21093108 TRIMS Agreement

    10/16

    Restricting export by an enterprise by specifying theproducts so restricted, the volume or value of products so restricted, or the proportion of its localproduction so restricted

  • 7/29/2019 21093108 TRIMS Agreement

    11/16

    Elimination of Notified TRIMs

    Developed countries: within 2 years

    Developing countries: within 5 years

    Least developed countries: within 7 yearsExtension possible on application to Council for Trade

    in Goods

    (of coming into force of WTO agreements)

  • 7/29/2019 21093108 TRIMS Agreement

    12/16

    Administration of TRIMs Agreement

    Agreement establishes a Committee on TRIMsCommittee to monitor operation and implementation

    of Agreement

    Committee to report annually to Council for Trade inGoods

  • 7/29/2019 21093108 TRIMS Agreement

    13/16

    Consultation and Dispute Settlement

    Articles XXII and XXIII of GATT 1994 onconsultations apply, as elaborated by Dispute

    Settlement Understanding

  • 7/29/2019 21093108 TRIMS Agreement

    14/16

    Built in Agenda

    Council for Trade in Goods to review operation of Agreement not later than 5 years of coming intoforce of WTO Agreement

    Review to consider whether Agreement becomplemented with provisions on investment policy and competition policy

  • 7/29/2019 21093108 TRIMS Agreement

    15/16

    For more

    information log on www.wto.org

    http://www.wto.org/http://www.wto.org/
  • 7/29/2019 21093108 TRIMS Agreement

    16/16

    Thank you