Global Trade Flashcards
World trade volume in 2011?
18 trillion USD
What are the global risks for trade?
- Economic
- Geopolitical (external) / war
- Societal (intermal) / unrest
- Technological
- Climate
What is the focus of international trade law?
transitional risks
What are the threats against international law?
- Protectionism / narrow nationalist views
2. Zero-sum game due to import restrictions
What is the basis for the current trading system?
General Agreements on Tariffs and Trade by the WTO
- GATT 1947
- GATT 1994 (revised)
What does the WTO do?
- Administers GATT/WTO agreements
- Facilitates international cooperation on trade
- Forum for trading negotiations
- Platform to settle trading disputes
What are the main organs of the WTO?
- Ministerial Conference
- General Council
- Council for Trade in Goods
- Council for Trade in Services
- Council for Trade-Related Aspects of Intellectual Property Rights
What are the basic principles of the GATT?
- Multilateral trade agreements
- Transparency & predictability of national trade rules
- Mutual tariff reductions
- Non discrimination (favouring nations)
- Elimination of quotas / non-tariff barriers
What is the purpose of the GATT?
To give WTO member states:
- Equal access to markets
- Reciprocity in trade concessions
- Transparent and stable trading conditions
Exceptions to GATT?
- Emergency actions on imports (safety)
- Trade preferences for developing countries
- Free trade areas & Customs Unions
What is the National Treatment rule in Article III GATT 1994?
Imported products must be taxed the same as their domestic equivalents.
What are “like” products according to Article III GATT 1994?
A product that share common end-users and have the same physical characteristics.
