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1 – 10 of over 1000This chapter provides a theoretical framework of dispute settlement to explain the surge in blocking incidence of GATT panel reports during the 1980s and the variations in…
Abstract
This chapter provides a theoretical framework of dispute settlement to explain the surge in blocking incidence of GATT panel reports during the 1980s and the variations in withdrawn incidence versus total disputes across different decades of the GATT regime. The study first suggests the role of the degree of legal controversy over a panel ruling in determining countries' incentives to block (appeal) a panel report under the GATT (WTO) regime. The study then analyzes the effects of political power on countries' incentives to use, and their interactions in using, the dispute settlement mechanism, given two-sided asymmetric information regarding panel judgement.
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This paper aims to examine options under the General Agreement on Tariffs and Trade (GATT) for exempting or justifying export restrictions or prohibitions that are in principle…
Abstract
Purpose
This paper aims to examine options under the General Agreement on Tariffs and Trade (GATT) for exempting or justifying export restrictions or prohibitions that are in principle prohibited under Article XI:1 GATT. The paper begins by examining the exception under Article XI:2 (a) GATT, before going on to the arguments under GATT Article XX (b) and (j). In addition, the analysis considers the national security exception in Article XXI (b) (iii) GATT, given that WTO members have increasingly invoked this provision in recent years, as well as during the pandemic, when Namibia implemented COVID-19-related trade restrictions under the Agreement on Technical Barriers to Trade based on national security concerns.
Design/methodology/approach
The impacts of the COVID-19 pandemic on trade have been far-reaching. Countries have attempted to place export restrictions on personal protective equipment and COVID-19 vaccines. Even though export restrictions are generally unlawful under the GATT, countries have decided it is necessary at this time. Members have relied heavily on the “national security” and “critical shortage” exceptions outlined in the GATT.
Findings
This paper concludes that, depending on the circumstances of a particular case, a pandemic may constitute an emergency in international relations, as defined in Article XXI (b) (iii) GATT, and that, in such a situation, a WTO member may legitimately take action to protect its vital security interests.
Originality/value
The paper provides an original conclusion based on WTO case law on an issue of contemporary relevance.
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Eugene Beaulieu and Debayan Pakrashi
Trade liberalization could either exacerbate or ameliorate the incidence of child labour. This paper aims to examine the effect of trade liberalization through membership in the…
Abstract
Purpose
Trade liberalization could either exacerbate or ameliorate the incidence of child labour. This paper aims to examine the effect of trade liberalization through membership in the GATT/WTO on the incidence of child labour across countries and over time. The authors examine child labour force participation data and WTO membership for 94 countries between 1980 and 1999. They find that membership in the WTO is negatively correlated with child labour. However, they do not find a statistically significant relationship between openness and child labour and therefore rule out the trade‐expanding channel of WTO membership on child labour.
Design/methodology/approach
The authors' regression equations examine the effect of GATT or WTO membership on the incidence of child labour. They examine data from 94 countries from 1980 and 1999 and employ a fixed‐effects regression. They estimate different models taking different variables as control variables. They find a statistically significant effect negative of WTO membership on the incidence of child labour. They do not find a statistically significant effect of openness on child labour.
Findings
The authors find that membership in the WTO did reduce child labour. They do not find a statistically significant effect of openness on child labour.
Research limitations/implications
WTO membership does not increase the incidence of child labour as some critics claim. Membership itself is associated with reduced child labour so it may not be necessary to expand trade through international agreements in order to impact the incidence of child labour.
Practical implications
Contrary to critics of the WTO, membership does not exacerbate the problem of child labour.
Originality/value
This paper presents new data on child labour in a panel across countries over time. It is the first paper to systematically estimate the impact of international agreements on the incidence of child labour.
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Provides marketers with both a broad‐based and an industry‐specific understanding of the marketing implications of GATT. First presents background information regarding GATT…
Abstract
Provides marketers with both a broad‐based and an industry‐specific understanding of the marketing implications of GATT. First presents background information regarding GATT, followed by an overview of the key provisions of the agreement. Provides an analysis of a number of consumer product industries to help assess the potential industry‐specific impact of GATT on the “offensive” and “defensive” marketing strategies which are described in the study.
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Radio frequency identification (RFID) provides a useful tool for the prescreening or detection of goods and containers moving across the border and for controlling the trade of…
Abstract
Radio frequency identification (RFID) provides a useful tool for the prescreening or detection of goods and containers moving across the border and for controlling the trade of illicit materials and preventing or mitigating the effects of terrorism. Although anti-terrorism measures are important in today’s dangerous world, RFID tools, if misused, may violate the WTO trade rules. Whenever goods or container control measures using RFID are proposed, their contents, objectives, and rationale must be published, and WTO members must be notified through the WTO Secretariat and allowed to make comments. WTO members should not take such measures that are designed or applied in a discriminatory manner and those measures must be adopted only under necessary situations and to the extent necessary. These measures must reduce the incidence and complexity of import and export formalities, and there should not be substantial penalties for minor breaches of the requirements under the measures. If the measures require country-of-origin information in RFID tags, they must apply in the same way to like products, and they must not cause unnecessary inconveniences or unreasonable cost. If the measures deal with containers in international transit, they must be reasonable, consider the conditions of the traffic, and guarantee transit through the most convenient routes for international transit.
A container control measure designed to restrict the flow of fissionable materials or their derivative materials, traffic in arms, ammunition, and implements of war, or traffic in military supply goods and materials may be justified, even if it violates some of the GATT rules. In addition, a measure established in time of war or other emergency in international relations or based on the United Nations Charter and designed to maintain international peace and security can also be justified. As a last resort, WTO members may request a waiver from GATT and TBT Agreement obligations for container control measures that include RFID.
Superpowers must be careful not to use RFID to practice power politics and create regulations to deal with national security and anti-terrorism issues that do not conform to international law. The key question is how to maintain a balance between the two inalienable values of free trade and national security in this era of globalization, harmonization, and terrorism .
The literature examining the participation of developing countries in the General Agreement on Tariffs and Trade (GATT) and International Trade Organisation (ITO) negotiations…
Abstract
Purpose
The literature examining the participation of developing countries in the General Agreement on Tariffs and Trade (GATT) and International Trade Organisation (ITO) negotiations generally sees their attitudes towards these projects as having been driven exclusively by a commitment to import substitution. This commitment, it is argued, led developing countries to oppose many aspects of the GATT/ITO project, particularly the requirement for reciprocal tariff cuts. The purpose of this paper is to focus on examining the critical period around the ultimately doomed negotiation of the Charter for an ITO and the process of creating the GATT.
Design/methodology/approach
This paper draws from GATT documents and from the literature on economic history to give a more comprehensive account of the motivating ideas underpinning developing countries attitudes to the post‐war negotiations.
Findings
This paper argues that this view misconstrues and caricatures the ideas and motivations underpinning developing countries' attitudes towards the GATT and ITO. Though import substitution and the related objective of industrialisation each played a part in shaping developing countries' attitudes, they are only aspects of a more complex set of aims and ideas. Developing countries were drawing from a range of key experiences and ideas beyond simply import substitution in forming their attitude towards the GATT/ITO project, in particular the volatility in commodity markets that preceded the negotiations, the legacy of colonialism and the lessons provided by the ninetieth and twentieth centuries on trade policy. Finally, this paper argues that the first round of GATT negotiations shows that developing countries were substantially less opposed to reciprocal tariff concessions than has previously been argued.
Originality/value
These findings are important for anyone who wants to understand the evolution of the GATT and the role developing countries played in it, and the difficulties between the rich and poor nations that continue to characterise negotiations in the World Trade Organisation.
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Although free trade law and environmental law especially contained in multi lateral environmental agreements (MEAs) are more or less compatible, however, some twenty MEAs might…
Abstract
Although free trade law and environmental law especially contained in multi lateral environmental agreements (MEAs) are more or less compatible, however, some twenty MEAs might create a conflicting situation with the GATT/WTO regime. Efforts through CTESS are being made to make the two regimes compatible with each other. But an amicable solution towards harmonizing them still seems to be far. It is said that if all WTO Member states have the political will to agree to one suggestion, the problem can be solved. But due to politicization of the WTO, a common view is difficult to be reached. It is true that all states want protection of the environment. It is evident from the fact that many MEAs have relatively a large number of members, and their member states are sincerely working on enforcing treaty norms contained in them. But when it comes to a conflict situation with international trade, differences among them becomes eminent. In spite of this, an optimistic view that the two regimes can be made complementary to each other is still being given importance. It is for this reason that states are forwarding their suggestions to the CTESS and the discussion is being carried forward on those suggestions. The paper critically examines the reality of ‘conflict or congruity’ between free trade law and environmental law, evaluates various suggestions to make the two regimes compatible with each other, and offers one suggestion that can bring about harmony and will be viable.
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Increased environmental pollution and the globalization of economies have initiated an academic debate on the relationship between international trade and the environment…
Abstract
Increased environmental pollution and the globalization of economies have initiated an academic debate on the relationship between international trade and the environment. Addresses the question of whether the present GATT/WTO regime conflicts with effective policies to cope with transboundary environmental problems, including the protection of global commons. Analyses the welfare effects of transboundary pollution tariffs by using a simple partial equilibrium framework. Contrasts the results with an assessment of the existing GATT/WTO regime, in which no distinction between national and transboundary environmental problems has been made. Outlines, in conclusion, some basic elements of a necessary reform of the GATT/WTO regime. These proposals would allow border tax adjustment for certain types of production‐related environmental charge without undermining an open and non‐discriminatory multilateral trading system.
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Ronjini Ray and Jamshed Ahmad Siddiqui
This paper aims to highlight the lacunae in international trade law concerning unilateral economic sanctions that impact food security.
Abstract
Purpose
This paper aims to highlight the lacunae in international trade law concerning unilateral economic sanctions that impact food security.
Design/methodology/approach
This paper adopts a literature review to establish that unilateral economic sanctions impact food security and a descriptive assessment of a few such sanctions. Thereafter, it adopts doctrinal analysis of such sanctions under World Trade Organization law and identifies the gaps to address the specific situation of unilateral economic sanctions that impact food security.
Findings
Unilateral economic sanctions are not effectively regulated under international law. Unilateral economic sanctions are known to impact food security not just in the targeted country but also in third countries. Under international trade law, the security exception under Article XXI of the General Agreement on Tariffs and Trade (GATT) does not currently require an assessment of necessity and proportionality of measure. However, there is scope for such an assessment in the future depending on the circumstances, particularly if a measure impacts the rights and interests of third countries by impacting global food security.
Originality/value
The paper conducts a literature review of the impact of unilateral economic sanctions on food security. It highlights the gap in the interpretation of GATT Article XXI when assessing such sanctions that adversely impact the food security of third countries. The paper may be helpful for academics, policymakers, international organizations, non-governmental organisations, etc.
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