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1、CHAPTER 7 lTRADE IN GOODSCHAPTER 7TRADE IN GOODSlTopics for this chapter:lHistory of Contemporary International Trade LawlThe World Trade OrganizationlThe 1994 General Agreement on Tariffs and TradelMultilateral Trade Agreements精品资料History of Contemporary International Trade Law lDuring the past six
2、 decades, there has been a movement away from tariffs and quotas and toward free trade among nations.lThere has been a shift away from protecting ones own businesses toward multilateral efforts to reduce tariffs and other trade barriers.ProtectionismlThe US raised tariffs on more than 900 items in 1
3、930 and major trading nations reciprocated with similar increases.lRoosevelt advocated lowering tariffs as part of his recovery plan from the Great Depression.lStarting in 1934, the US entered into bilateral trade negotiations to mutually lower tariffs.lThe end of WWII led to an integrated internati
4、onal system to encourage trade liberalization and multilateral economic cooperation. The Bretton Woods SystemThe Bretton Woods SystemlWas supposed to create a system that would promote trade liberalization and multilateral economic cooperation.lIntended to create a multilateral institutional framewo
5、rk of rules and obligations through three organizations:International Monetary Fund (IMF)International Bank of Reconstruction and Dev. (IBRD)International Trade Organization (ITO)lITO charter never submitted by Pres. Truman to Senate for confirmation due to fear that it would be defeated, harming U.
6、S. foreign relations.The 1947 General Agreement on Tariffs and TradelInstead of the ITO, the developed market-economy countries entered into the General Agreement on Tariffs and Trade (GATT) 1947, a multilateral agreement that set out the rules under which the contracting states were committed to ne
7、gotiate reductions in customs tariffs and other impediments to international trade in goods.lGATT 1947 came to govern almost all of the worlds trade. Main Principles of GATT 19471.Trade discrimination forbidden. Each state had to afford most-favored-nation status to all other contracting states equa
8、lly; foreign goods treated the same as domestic goods according to the national treatment principle.Most-favored-nation status: When a GATT member nation sets a favorable tariff rate on a particular type of goods imported from one GATT member, the same tariff rate must be set on those goods for othe
9、r GATT nations. Main Principles of GATT 1947National treatment principle: Once goods are legally imported, they must be treated the same way as domestic goods. 2.Only barriers that one contracting state could use to limit the importation of goods from another contracting state were customs tariffs.3
10、.The trade regulations of contracting states had to be transparent.Transparent: trade regulations GATT members must be published and available to members. Main Principles of GATT 19474.Customs unions and free trade agreements between contracting states were acceptable for liberalizing trade so long
11、as they did not discriminate against third-party GATT states. 5.GATT states were only allowed certain charges on imported goods:a)Import tax equal to internal taxesb)Antidumping dutiesc)Countervailing duties to counteract foreign export dutiesd)Fees and proper charges for services renderedMultilater
12、al Trade NegotiationslTo update GATT 1947, contracting parties participated in multilateral trade negotiations (MTNs), which are known as rounds.lThe first five rounds were mostly devoted to reducing tariffs. The last three completed rounds expanded to handle non-tariff matters. The eight rounds wer
13、e:1.Geneva 19472.Annecy, France (1949)3.Torquay, England (1950-1951)Multilateral Trade Negotiations4.Geneva (1955-1956)5.Dillon Round Geneva (1961-1962)6.Kennedy Round Geneva (1964-1967)Established the practice of setting an agenda and defining the techniques for GATT negotiations.Declared across th
14、e board tariff reductions.Allowed developing states to not exercise reciprocity with developed states.Produced agreement on antidumping.Multilateral Trade Negotiations7.Tokyo Round Geneva (1973-1979)Produced several special agreements (codes)Customs valuationSubsidies and countervailing measuresAnti
15、dumpingStandardsImport licensingGovernment procurementMultilateral Trade Negotiations7.Tokyo Round (continued)Also reached agreements in three special sectors:Civil aircraftDairy productsBovine meat8.Uruguay Round in four cities (1986-1994)Established the World Trade OrganizationMeat production and
16、exportation has been an issue at many sessions of three different rounds. Photo: Karissa HambletEx. 7-2 Results of the Uruguay Round Multilateral Trade Agreements binding on all members.Plurilateral Trade Agreements only binding on states who accept. The World Trade OrganizationlThe WTO is an intergovernmental organization responsible for:1.Implementing, administering, and carrying out the WTO Agreement and its annexes.2.Acting as a forum for ongoing MTNs.3.Serving as a tribunal for resolving di
