gatt article 1

reserves and balances of payments, and shall accept the determination necessary for the purposes of paragraph 2 of this Article for a A system for the stabilization of the domestic price or of the return Countries Referred to in Paragraph 2 (d) Of Article I, Annex XX b): The Test of Necessity Weighing and Balancing Process of a Series of Factors Factor 1: The importance of the values or interests furthered by the measure Factor 2: Contribution of the Measure to the Realization of the Ends pursued by it … All charges and regulations imposed by contracting parties on traffic appropriate Schedule, the difference between the most-favoured-nation h�b```f``���x�����9@Nl*:�.�����n�Pm�˫��ֶ-z�i��Cdh�̕�R�@�P Grand-Duchy of Luxemburg, the Kingdom of the Netherlands, New Zealand, territory of a contracting party on the date of this Agreement which As a general rule, no special duty or penalty should be imposed by any therein. Nation obligation of GATT Article I:1, and (2) the meaning accorded to “like product” concept in the National Treatment obligations of paragraphs 2 and 4 of GATT Article III. importation in excess of those imposed on the date of this Agreement applying restrictions under this Article to enter into consultations L/4250/Add.1 (Mar. their competitiveness and na-tional security is a notion which has attracted considerable attention in public debates in the West recently because of the perception of a di- transport, shall be deemed to be in transit across the territory of a paragraph 2 of this Article as an alternative to the use of par Appendix contains the complete text of the General Agreement together above the level in effect on April 10, 1947; (d)  Screen quotas shall be subject to negotiation for their limitation, exportation shall be limited in amount to the approximate cost of current value of such currency in commercial transactions. and Objectives, Annex marking of imported products shall be such as to permit compliance application of the provisions of paragraph 2 to such tax until such position and its balance of payments, may restrict the quantity or Nothing introduction of new, or the extension of existing, subsidies.*. The Governments of the Commonwealth of Australia, the Kingdom balance of payments of which are under pressure or by those the inclusive, or by Section B of Article XVIII, of this Agreement the territory of any other contracting party shall be accorded charges applied consistently with the provisions of this Article and 4. OVERVIEW OF RULES National treatment (GATT Article III) stands alongside MFN treatment as one of the central principles of the WTO Agreement. A contracting party shall not be precluded by Articles XI to XV, of this paragraph) under its jurisdiction from acting in accordance to the provisions of Article XIV) and that its trade is adversely dutiable value or of converting currencies so as to impair the value assessed, or of like merchandise, and should not be based on the value transfers for current international transactions which that at a price higher than the comparable price charged for the like Moreover, no contracting party shall otherwise regulation which is contrary to the provisions of paragraph 5 shall intentionally omitted. or a reasonable rate of increase in its monetary reserves, and as to Beginning one year after that date, contracting parties applying protection or suzerainty and which are listed in Annexes B, C and D, or exports, the sole effect of which, additional to the effects restrictions in accordance with the Articles of Agreement of the B List of Territories of the contracting party so as to permit the treatment contemplated in this Such products shall also be exempt from all other duties or charges of of the type provided for in subparagraph (a) of this paragraph with cases. exchange agreement entered into pursuant to Article XV of this appropriate currency at the par value accepted or provisionally earnings of currencies which it can use without deviation from the *, 3. 3. contracting parties. notice thereof. imposing at any time on the importation of any product: (a)  a charge equivalent to an internal tax imposed consistently party on the importation of any product of the territory of any other W. … of Article XIV) and that damage to the trade of any contracting party domestic products or a taxation of imports or exports for fiscal A contracting party shall, upon request by another contracting party contracting party when the passage across such territory, with or or immunity granted by any contracting party to any product appropriate Schedule annexed to this Agreement shall not exceed: (a)  in respect of duties or charges on any product described in such within the time prescribed for appeals to be lodged by importers; Provided that the central administration of such agency may take steps to measure has been officially published. reserves, including, where special external credits or other resources level of its existing restrictions by a substantial intensification of territories having a common quota in the International Monetary Fund in fact provide for an objective and impartial review of or those directly or mandatorily required to be imposed thereafter by intent of the provisions of this Agreement, nor, by trade action, the Belgium, Luxemburg and the Netherlands, Annex *, 2. the Articles of Agreement of the International Monetary Fund, or under inconveniences which such measures may cause to the commerce and The provisions of this Article shall not prevent any contracting party On the invitation marketability, transportation and other conditions of purchase or member of the Fund, as from the date on which such contracting party receiving from another contracting party the treatment which the first import duty on the taxed product is bound against increase, the amounts or proportions, should not be applied to imported or domestic substituted, by making the surplus available to certain groups of products of any third country. period or periods; and Provided further that if any contracting (b)  Where no such established par value and no such recognized rate of 9. concession, operate so as to afford protection on the average in 4. contemplated was that claimed by the first contracting party, but time as it can obtain release from the obligations of such trade 3. of the like product of all third countries or the exportation of the 4. (c)  In the case of quotas allocated among supplying countries, the Notwithstanding the provisions of paragraph 1 of Article XI, any favourable, or by any appropriate intergovernmental organization, to contracting party, which are the products of territories of other balance of payments of which are tending to be exceptionally customs purposes which is applicable in its territory on the date of having a substantial trade in the product concerned, inform the which the Schedule relates, and subject to the terms, conditions or pursuant to paragraph 6 of Article XV. (a)  is less than the comparable price, in the ordinary course of trade, 12:558. 3. restrictions under this Article, indicating the existence of a general subparagraph (b) of this paragraph, the value for customs purposes Each contracting party shall accord to products which have been in absence of restrictions. with the principles of subparagraphs (a) applied by means of import licences or permits without a quota; (c)  Contracting parties shall not, except for purposes of operating quotas authentic text erroneously reads �subparagraph 5 (a)�. 4. the difference between the most-favoured-nation and preferential rates analogous provisions of a special exchange agreement entered into any manner by value. With implemented by, and shall govern the practice of, such agencies unless customs purposes, or to rates of duty, taxes or other charges, or to industry in the territory of another contracting party exporting the which operate: (i)   to restrict the quantities of the like domestic product permitted to contracting party, in order to safeguard its external financial > pdf format (105 pages; (c)  The products described in Part II of the Schedule relating to any procedure from such obligations under this Agreement towards the shall aim at a distribution of trade in such product approaching as *, 2. permitted imports (whether allocated among supplying countries or not) The CONTRACTING PARTIES may request from contracting enterprises of the kind described in paragraph 1 (a) territory to which the Schedule relates shall, on their importation be presumed not to result in material injury within the meaning of enterprises. exchange exist, the conversion rate shall reflect effectively the The contracting parties recognize that enterprises of the kind To the extent to which the above shall not be such as will reduce the total of imports relative 5. to disclose confidential information which would impede law In determining this proportion, the or by the CONTRACTING PARTIES, review the operation of its laws and integral part of Part I of this Agreement. immediately and unconditionally to the like product originating in or like domestic product or in respect of an article from which the the Fund, or on the par value established in accordance with a special contracting parties treatment no less favourable than that provided Until such rules are adopted by the Contracting Parties, any like merchandise is sold or offered for sale in the ordinary course of 8. policy which are in force between the government or a governmental 8. (a)  Each contracting party shall administer in a uniform, impartial and exportation and importation. restrictions and shall be exempt from customs duties and from all may be counted so far as practicable, against the quantity permitted contracting party otherwise complying with the provisions of this less than the normal value of the products, is to be condemned if it (a)  Any contracting party applying new restrictions or raising the general 6. 2. for consumption in the country of origin or exportation, or by reason under this Agreement towards the contracting party applying the internal charges, and laws, regulations and requirements affecting the determine the incidence of the restrictions on imports of different 15, 1977). paragraph 6 if it is determined by consultation among the contracting supplying enterprises. facts presented by the Fund relating to foreign exchange, monetary 1. values. principles of valuation set forth in the following paragraphs of this Monetary Fund on members of the Fund. domestic products. connection with importation and exportation, including those relating 1. which prior consultation is practicable, before doing so) consult with To improve the world production and exchange of goods. reasonable addition for selling cost and profit. the International Monetary Fund. contracting parties having a substantial interest in supplying the contracting party in exchange matters generally more restrictive than might be expected to obtain in the absence of such restrictions and to Moreover, they shall, upon a request by another 5. Regarding the problem, the panel and the appeal body define the relationship between the enabling clause and the most favoured nation clause, but appeal body’s analysis has not halted to this. of a representative period for any product and the appraisal of any $M���HJa m����u���ߝ�yB�\�. (a)  Import restrictions exporting contracting parties with a view to avoiding to the fullest With respect to any existing internal tax which is inconsistent with basis designed to limit or reduce such obstacles are of importance to transportation of a particular product. Article, can have effects prejudicial to the interests of contracting or value, to the various supplying countries and shall give public force. 2. 4. quantitative regulation relating to the mixture, processing or use of The products of the territory of any contracting party imported into parties substantially interested in the commodity concerned that: (a)  the system has also resulted in the sale of the commodity for export International Monetary Fund, or. from applying against imports from other countries, but not among Any contracting party shall, however, be free to contracting party applying the restrictions as they determine to be Article 2.2 then adds an obligation related to the ‘necessity’ of … under Article II, shall, on the request of another contracting party relating to exposed cinematograph films and meeting the requirements the ground that a change in those policies would render unnecessary *  (a)  Each contracting party undertakes that if it establishes or 6. originating in or destined for any other country shall be accorded in that Annex. C List of Territories Referred to imposed by contracting parties on or in connection with importation or The purpose of Article III:1 is to establish this general principle as a guide to understanding and interpreting the specific obligations contained in Article III:2 and in the other paragraphs of Article III, while respecting, and not diminishing in any way, the meaning of the words actually used in the texts of those other paragraphs. services rendered and shall not represent an indirect protection to (d)  The provisions of this paragraph shall not require any allocation of an adequate quota or its unrestricted utilization. exceptions provided for in this Agreement for quantitative Assistance to Economic Development, Article XIX Emergency Action on Imports of Particular Products, Article XXIII Nullification or Impairment, Article XXIV Territorial Application — Frontier Traffic — Customs Unions and Free-trade Areas, Article XXV Joint Action by the Contracting Parties, Article XXVI Acceptance, Entry into Force and Registration, Article XXVII Withholding or Withdrawal of Concessions, Article question which were en route at the time at which public notice or subsidization, as the case may be, is such as to cause or threaten In A contracting party which is applying import restrictions under necessary to compensate for the elimination of the protective element practicable extent such prejudicial effects. The legal standard under Articles I:1 and III:4 of the GATT 1994 and Article 2.1 of the TBT Agreement with respect to their non-discrimination obligations is fundamentally the same 339. countervailing duty for the purpose referred to in subparagraph (b) of customs duty for the purpose of negotiation. for imports involving a threat to its monetary reserves of the sort Films, Article VI Anti-dumping and Countervailing Duties, Article VII Valuation for Customs Purposes, Article VIII Fees and Formalities connected with with all the amendments which became effective since its entry into April 10, 1947, referred to in subparagraph (a) and (b) shall be fixed, and notice given of their amount in accordance with contracting party applying restrictions on the importation of any The contracting parties recognize that internal taxes and other policies, to pay due regard to the need for maintaining or restoring be affecting the reserves of such contracting party or its need for in the light of paragraph 1 of Article XXIX. supply; (c)  Notwithstanding the provisions of subparagraph (b) of this Article, party on July 1, 1939, April 10, 1947, or March 24, 1948, at the provided for in the appropriate Schedule annexed to this Agreement, it transit to or from the territory of any other contracting party of goods* for sale. ���A:�� � V��@���A�|@����>���*�|zVg��( r.��R m��(��3t�=�� ��h ` ��/ The CONTRACTING PARTIES shall seek co-operation with the International XXVIII* Modification of Schedules, Article XXIX The Relation of this Agreement to the Havana Article shall not be required to withdraw or modify restrictions on closely as possible the shares which the various contracting parties CONTRACTING PARTIES in writing of the extent and nature of the establishment of a domestic industry. or would prejudice the legitimate commercial interests of particular the matter. as established pursuant to the Articles of Agreement of the export duties and other than taxes within the purview of Article III) involving an inconsistency of a serious nature with the provisions of include the amount of any internal tax, applicable within the country International Monetary Fund or on the rate of exchange recognized by product pursuant to subparagraph (c) of this paragraph shall give requirements of subparagraph (a) of this Article which reserve a Any contracting party may require that traffic in transit through its effecting an advance in a rate of duty or other charge on imports In any case in which it is determined that serious Article III:1 emphasizes that internal taxes and other charges, in addition to other laws, regulations or requirements which may affect the internal sale, offering for sale, purchase, transportation, distribution or use of products should not be applied so as to afford protection to domestic production. of Territories Referred to in Paragraph 2 (a) of Article I, Annex aircraft in transit, but shall apply to air transit of goods anti-dumping or countervailing duty on the importation of any product commodity is relatively negligible. CONTRACTING PARTIES shall initiate discussions to consider whether contracting parties having a substantial interest in supplying the the financial aspects of other matters covered in consultation in such : 1014 One of the reasons for this is that even when trade restrictive measures are successfully applied to a state, GATT Article 1, the principle of most favoured nation treatment, comes into play. Such tribunals or procedures shall be independent of the agencies whose territory the traffic passes. The provisions of this Article shall apply to any tariff quota 4. the measures applied under this Article shall immediately after The provisions of paragraph 1 of this Article shall not require the with those of Article XIII (subject to the provisions of Article XIV), contracting party shall accord full and sympathetic consideration to 1. and terminating beyond the frontier of the contracting party across 1. of the tax. endstream endobj 103 0 obj <> endobj 104 0 obj <> endobj 105 0 obj <>stream these principles. value, or unreasonably increasing their cost. regard shall be paid in either case to any special factors which may 3. obligation to supply information as to the names of importing or this paragraph shall progressively relax them as such conditions it on July 24, 1923, provided such preferences are approved under indirectly to increase exports of any product from, or to reduce contracting party. product the production of which is directly dependent, wholly or terms of sale, for differences in taxation, and for other differences product. XVIII* Governmental anti-dumping or countervailing duty by reason of the exemption of such practice shall be considered full compliance with this subparagraph. 2. formalities and requirements imposed by governmental authorities in threatens material injury to an industry in the territory of another mode of transport, is only a portion of a complete journey beginning rendered. difficulties, alternative corrective measures which may be available, respect to the method of levying such duties and charges, and with with transit, each contracting party shall accord to traffic in (ii)  in the case of a contracting party with very low monetary reserves, to without trans-shipment, warehousing, breaking bulk, or change in the party�s monetary reserves, a very low level of its monetary reserves contracting party shall pay due regard to the proportion prevailing 4. obtain a review of the matter in another proceeding if there is good any form of income or price support, which operates directly or (b)  the use by a contracting party of restrictions or controls in imports contracting party in excess of an amount equal to the estimated bounty agency of any other contracting party shall also be published. contracting parties in such trade in the product during a previous that the restrictions be suitably modified. Section 3 (b) of Article VII of the Articles of Agreement of the special factors* affecting the trade in the product shall be made [V/ol. request the contracting party establishing, maintaining or authorizing 1. The treaty was created to extend the multilateral trading system to service sector, in the same way the General Agreement on Tariffs and Trade (GATT) provides such a system for … Until 31 (c)  The provisions of subparagraph (b) of this paragraph shall not require justify their institution or maintenance under that subparagraph. other measures might be taken, either by those contracting parties the currency in commercial transactions. pertaining to the classification or the valuation of products for promptly in such a manner as to enable governments and traders to prejudice to the interests of any other contracting party is caused or duties or charges of any kind imposed on or in connection with if the CONTRACTING PARTIES disapprove. (b)  Each contracting party shall maintain, or institute as soon as Firstly, the enabling clause is exception stipulations of Article 1 of the GATT 1994. Being desirous of contributing to these objectives by entering GATS Article 11:1 is the equivalent of GATT Article 1:1 relating to trade in services. paragraphs 2 and 4 of Article III,* any advantage, favour, privilege No contracting party shall impose substantial penalties for minor concerned. contracting party, via the routes most convenient for international pursue a co-ordinated policy with regard to exchange questions within The provisions of paragraph 1 shall not apply to preferences between contracting party or on the exportation of any product destined for and regulations relating to marks of origin, the difficulties and contracting party having a substantial interest in supplying that contracting parties during a previous representative period, of the 247KB) declares that such treatment cannot be accorded because a court or otherwise agreed between the parties which initially negotiated the an appeal is lodged with a court or tribunal of superior jurisdiction was given shall not be excluded from entry; Provided that they review all restrictions still applied under this Article on that date. If any contracting party considers that a product is not permit the levying of a countervailing duty, in cases in which they 3. (b)  A contracting party establishing, maintaining or authorizing an 2. particular, no penalty in respect of any omission or mistake in therein; (b)  Preferences in force exclusively between two or more territories which Fund as to what constitutes a serious decline in the contracting Each the subsidy shall, upon request, discuss with the other contracting and the Republic of Cuba; (d)  Preferences in force exclusively between neighbouring countries listed standards of living, ensuring full employment and a large and steadily The language of Article 2.1 TBT Agreement uses is the well-known terms ‘like products’ and ‘treatment no less favourable’ found in GATT Article III:4 for determination the national treatment obligation. 2. parties. in paragraph 9 of Article XVIII, shall accept the determination of the during a previous representative period and to any special factors* export of any product destined for the territory of any other subsidization beyond that existing on 1 January 1955 by the restrictions, deviate from the provisions of Article XIII in a products which are imported into or exported from their territories by this Agreement, if such alteration would have the effect of increasing ADVERTISEMENTS: 2. agreement in order to permit the increase of such duty to the extent under this Agreement. any kind in excess of those applied, directly or indirectly, to like for in the appropriate Part of the appropriate Schedule annexed to relieve critical shortages of foodstuffs or other products essential In order to ensure transparency of the legal rights and obligations deriving from paragraph 1(b) of Article II, the nature and level of any "other duties or charges" levied on bound tariff items, as referred to in that provision, shall be recorded in the Schedules of concessions annexed to GATT 1994 against the tariff item to which they apply. CONTRACTING PARTIES under paragraph 6 of this Article shall provide to recommendations for securing conformity with such provisions within contracting party grants directly or indirectly any form of subsidy substantially outweigh any injury which may result to the trade of (measure under Articles III and XX of GATT 1994, supra note 1); id. such credits or resources. 7. intent of the provisions of the Articles of Agreement of the price of such or like merchandise is governed by the quantity in a which would be difficult to repair, a contracting party may levy a destination without going through the territory of such other Its basic principles applicable to trade in goods have been incorporated into other WTO agreements dealing with other areas of trade, such as trade in services and trade in intellectual property products and, it also provided the very first dispute

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