Wto Law C2

HO CHI MINH CITY UNIVERSITY OF LAW
SEMINAR 2:
FACULTY OF INTERNATIONAL LAW INTRODUCTION TO WTO BASIC PRINCIPLES
2.1. MOST-FAVOURED-NATION TREATMENT (MFN)

LAW OF THE WORLD TRADE
ORGANIZATION 2.2. NATIONAL TREATMENT (NT)
(WTO LAW)
2.3. HORIZONTAL EXCEPTIONS
2.4. TRANSPARENCY
SEMINAR 2
INTRODUCTION TO WTO BASIC
PRINCIPLES
Prepared by Le Thi Ngoc Ha,

Lecturer (HCMULAW), PhD in Law (LTU)
1 2
Initial Observation Extract Initial Observation Extract
Key words:
tariff, grapes, Vietnam, trade
agreements
Source: https://tongcuc.customs.gov.vn/index.jsp?pageId=2313&id=NHAP_KHAU&name=Imports&cid=4154 Source: https://www.wto.org/english/thewto_e/whatis_e/tif_e/fact2_e.htm
3 4
Initial Observation Extract
2.1. MOST-FAVOURED-NATION TREATMENT (MFN)
2.1.1. MFN under GATT
2.1.2. Exceptions to/Degorations from MFN under GATT
2.1.3. MFN under GATS and TRIPS
Source: https://www.wto.org/english/thewto_e/whatis_e/tif_e/fact2_e.htm
5 6
Understanding the MFN … 2.1.1. MFN UNDER GATT
q “It suggests special treatment, but in the WTO it actually means non-
discrimination — treating virtually everyone equally.”
q “Each member treats all the other members equally as “most-favoured”

trading partners.”
q “If a country improves the benefits that it gives to one trading partner, it has
to give the same “best” treatment to all the other WTO members so that
they all remain “most-favoured”.”
q It has exceptions.
(Art. I, GATT)
More information, see at: https://www.wto.org/english/thewto_e/whatis_e/tif_e/fact2_e.htm
7 8
Initial Observation GATT Extract
“With respect to customs duties and charges of any kind imposed on or in

connection with importation or exportation or imposed on the international
transfer of payments for imports or exports, and with respect to the method of
levying such duties and charges, and with respect to all rules and formalities in
connection with importation and exportation, and with respect to all matters
referred to in paragraphs 2 and 4 of Article III,* any advantage, favour, privilege
or immunity granted by any contracting party to any product originating in or
destined for any other country shall be accorded immediately and
unconditionally to the like product originating in or destined for the
territories of all other contracting parties.”
(Art. I:1, GATT)
Source: https://www.wto.org/english/docs_e/legal_e/gatt47_01_e.htm
9 10
A WTO member (e.g., Vietnam) …
§ grants any advantage, favour, privilege or immunity (trade preferences) to

any product originating in or destined for any WTO or non-WTO member?
§ imports any like product originating in or destined for the territories of all
other WTO members?
-> immediately and unconditionally expands trade preferences to the like

product?
Source: https://www.wto.org/english/res_e/publications_e/ai17_e/gatt1994_art1_jur.pdf
11 12
§ any advantage, favour, privilege, or immunity covered
§ like product
• border measures (tariff and non-tariff)
Identical product? Similar product?
+ customs duties and charges of any kind: imposed on or in connection with
“Throughout this Agreement [ADA or SCM] the term “like product”
importation or exportation, imposed on the international transfer of payments
(“produit similaire”) shall be interpreted to mean a product which is
for imports and exports;
identical, i.e. alike in all respects to the product under consideration, or in the
+ the method of levying such duties and charges;
absence of such a product, another product which, although not alike in all
+ all rules and formalities in connection with importation and exportation;
respects, has characteristics closely resembling those of the product under
• internal measures (fiscal and non-fiscal) consideration.”
+ taxes or charges (covered in Article III.2);
+ laws, regulations and requirements affecting internal sale, offering for sale, (Art. 2.6, Agreement on Implementation of Article VI of the General Agreement on Tariffs and
purchase, transportation, distribution or use of any product (covered in Trade 1994 (Anti-dumping Agreement – ADA); Foonote 46 to Art 15.1, Agreement on Subsidies
and Countervailing Measures – SCM)
Article III.4).
13 14
2.1.2. EXCEPTIONS TO/DEROGATIONS FROM MFN

The examination of “like product” is on a case-by-case basis, and UNDER GATT
can be based on different factors such as
physical characteristics of the products;
§ trade preferences under the GSP and/or the GSTP (“Enabling Clause”)
end use of the products;
§ historical preferences (Art. I:2-4, GATT)
consumer preferences;
the classification of the products in member’s tariff laws (e.g., Harmonized
§ internal quantitative regulations relating to exposed cinematograph films
(screen quotas) (Art. IV, GATT)
System (HS) Codes).
Several supporting cases: § measures to protect public interests (Art. XX, GATT)
Japan – Taxes on Alcoholic Beverages (DS8, 10, 11): § measures to protect security interests (Art. XXI, GATT)
https://www.wto.org/english/tratop_e/dispu_e/cases_e/ds8_e.htm § trade preferences related to frontier traffic or within customs unions or free
Canada – Autos (DS139, 142): trade areas (Art. XXIV, GATT)
https://www.wto.org/english/tratop_e/dispu_e/cases_e/ds139_e.htm
US – Poultry (China) (DS392):
https://www.wto.org/english/tratop_e/dispu_e/cases_e/ds392_e.htm § trade remedies (anti-dumping and countervailing measures) (Art. VI, GATT)
15 16
Initial Observation For Interpretation of Art. I of the GATT, see WTO Analytical Index Extract Initial Observation Extract
17 18
19 20
Source: https://www.wto.org/english/tratop_e/dispu_e/cases_e/1pagesum_e/ds472sum_e.pdf
Source: http://rtais.wto.org/UI/PublicShowRTAIDCard.aspx?rtaid=146&lang=1&redi&redirect=1
21 22
Trade Preferences under GSP/GSTP Trade Preferences accorded by MFN • Videos
q… q… Let’s Talk Most Favoured Nation:

https://www.wto.org/english/res_e/webcas_e/ltt_e/ltt_e.htm
q… q…
q… q… • Further Readings
WTO ANALYTICAL INDEX, GATT 1994 – Article I (Jurisprudence):
q… q… https://www.wto.org/english/res_e/publications_e/ai17_e/gatt1994_art1_jur.pdf
q… q…
q… q…
q… q…
q… q…
q… q…
23 24
2.2. NATIONAL TREATMENT
2.2.1. NT under GATT
2.2.2. Exceptions to/Degorations from NT under GATT
2.2.3. NT under GATS and TRIPS
25 26
2.2.1. NT UNDER GATT § General obligations
“The contracting parties recognize that internal taxes and other internal
§ General obligation (Art. III:1) charges, and laws, regulations and requirements affecting the internal sale,
offering for sale, purchase, transportation, distribution or use of products, and
§ Internal taxes and charges (Art. III:2)
internal quantitative regulations requiring the mixture, processing or use of
§ Internal laws, regulations and requirements (Art. III:4) products in specified amounts or proportions, should not be applied to
imported or domestic products so as to afford protection to domestic
§ Internal quantitative regulations (Art. III:5) production.”
(Art. III:1, GATT)
No discrimination against imported products in domestic market
Fiscal and non-fiscal measures
No protectionism
(Art. III, GATT)
27 28
Initial Observation Analytical Index of the GATT Extract
“Any internal tax or other internal charge, or any law, regulation or

requirement of the kind referred to in paragraph 1 which applies to an imported
product and to the like domestic product and is collected or enforced in the case
of the imported product at the time or point of importation, is nevertheless to
be regarded as an internal tax or other internal charge, or a law, regulation or
requirement of the kind referred to in paragraph 1, and is accordingly subject to
the provisions of Article III.”
(ad Art. III)
Taxes or charges, or laws, regulations or requirements collected or enforced at the

time or point of importation …
… can be covered by Article III
Source: https://www.wto.org/english/res_e/booksp_e/gatt_ai_e/art3_e.pdf
29 30
§ Internal taxes and charges
“The products of the territory of any contracting party imported into the territory
of any other contracting party shall not be subject, directly or indirectly, to
internal taxes or other internal charges of any kind in excess of those applied,
directly or indirectly, to like domestic products. Moreover, no contracting party
shall otherwise apply internal taxes or other internal charges to imported or
domestic products in a manner contrary to the principles set forth in paragraph 1.”
(Art. III:2, GATT)
No taxation of imported products in excess of taxation applied (directly or

indirectly) to like domestic products
Like products
31 32
Initial Observation Analytical Index of the GATT Extract Initial Observation Analytical Index of the GATT Extract
33 34
Initial Observation Analysis of NT in practice (e.g.) Extract Initial Observation Analysis of NT in practice (e.g.) Extract
Mexico — Tax Measures on Soft Drinks and Other Beverages (DS308), Panel Report Mexico — Tax Measures on Soft Drinks and Other Beverages (DS308), Panel Report
Source: https://docs.wto.org/dol2fe/Pages/SS/directdoc.aspx?filename=Q:/WT/DS/308R-00.pdf&Open=True Source: https://docs.wto.org/dol2fe/Pages/SS/directdoc.aspx?filename=Q:/WT/DS/308R-00.pdf&Open=True
35 36
Initial Observation Art. III:2 of the GATT, WTO Analytical Index Extract
“A tax conforming to the requirements of the first sentence of paragraph 2
would be considered to be inconsistent with the provisions of the second
sentence only in cases where competition was involved between, on the one
hand, the taxed product and, on the other hand, a directly competitive or
substitutable product which was not similarly taxed.”
(ad Article III:2)
Taxation of imported products must not be dissimilar to that of domestic directly

competitive or substitutable products so as to protection to domestic production
“de minimis” standard
Directly competitive or substitutable products
competition condition
37 38
Initial Observation Analysis of NT in practice (e.g.) Extract Initial Extract

Observation
Mexico — Tax Measures on Soft Drinks and Other Beverages (DS308), Panel Report -thu ông
nht thu
là nbh
mà li i
kin cáo
- bcao
ban bi
thm và
phúc thm
- cn c
vào
material
x là like
product
hay
competiti
ve
product
Source: https://docs.wto.org/dol2fe/Pages/SS/directdoc.aspx?filename=Q:/WT/DS/308R-00.pdf&Open=True Source: https://www.wto.org/english/tratop_e/dispu_e/cases_e/1pagesum_e/ds8sum_e.pdf
39 40
Initial Extract Initial Extract
Observation Observation
Source: https://www.wto.org/english/tratop_e/dispu_e/cases_e/1pagesum_e/ds396sum_e.pdf Source: https://www.wto.org/english/tratop_e/dispu_e/cases_e/1pagesum_e/ds308sum_e.pdf
41 42
• Further readings: Understanding NT under Art. III:2, GATT

Japan — Taxes on Alcoholic Beverages (DS8):
q…
q…
Philippines — Taxes on Distilled Spirits (DS396):
q…
q…
Mexico — Tax Measures on Soft Drinks and Other Beverages (DS308):
q…
q…
National Treatment on Internal Taxation and Regulation:
https://www.wto.org/english/res_e/booksp_e/gatt_ai_e/art3_e.pdf
q…
q…
q…
43 44
Initial Observation Art. III:4 of the GATT, Analytical Index of the GATT Extract
§ Internal laws, regulations and requirements
“The products of the territory of any contracting party imported into the
territory of any other contracting party shall be accorded treatment no less
favourable than that accorded to like products of national origin in respect of
all laws, regulations and requirements affecting their internal sale, offering
for sale, purchase, transportation, distribution or use. The provisions of this
paragraph shall not prevent the application of differential internal transportation
charges which are based exclusively on the economic operation of the means of
transport and not on the nationality of the product.”
(Art. III:4, GATT)
Relevent domestic laws, regulations and requirements must not discriminate

against imported like products
Like products
No less favourable treatment Source: https://www.wto.org/english/res_e/booksp_e/gatt_ai_e/art3_e.pdf
45 46
Initial Observation Art. III:4 of the GATT, WTO Analytical Index Extract Initial Observation Art. III:4 of the GATT, WTO Analytical Index Extract
Source: https://www.wto.org/english/res_e/publications_e/ai17_e/gatt1994_art3_jur.pdf Source: https://www.wto.org/english/res_e/publications_e/ai17_e/gatt1994_art3_jur.pdf
47 48
Initial Observation Analysis of NT in practice (e.g.) Extract Initial Extract
Observation
Mexico — Tax Measures on Soft Drinks and Other Beverages (DS308), Panel Report
Source: https://docs.wto.org/dol2fe/Pages/SS/directdoc.aspx?filename=Q:/WT/DS/308R-00.pdf&Open=True
49 50

Observation Observation
51 52
• Further readings: Understanding Art. III:2, GATT
Korea — Measures Affecting Imports of Fresh, Chilled and Frozen Beef
(DS161): https://www.wto.org/english/tratop_e/dispu_e/cases_e/ds161_e.htm q…
q…
China — Measures Affecting Imports of Automobile Parts (DS339):
https://www.wto.org/english/tratop_e/dispu_e/cases_e/ds339_e.htm q…
q…
United States — Certain Measures Relating to the Renewable Energy Sector
(DS510): https://www.wto.org/english/tratop_e/dispu_e/cases_e/ds510_e.htm q…
q…
q…
q…
q…
53 54
§ Internal quantitative regulations “Regulations consistent with the provisions of the first sentence of paragraph 5
shall not be considered to be contrary to the provisions of the second sentence
“No contracting party shall establish or maintain any internal quantitative
in any case in which all of the products subject to the regulations are produced
regulation relating to the mixture, processing or use of products in
domestically in substantial quantities. A regulation cannot be justified as being
specified amounts or proportions which requires, directly or indirectly, that
consistent with the provisions of the second sentence on the ground that the
any specified amount or proportion of any product which is the subject of
proportion or amount allocated to each of the products which are the subject of
the regulation must be supplied from domestic sources. Moreover, no
the regulation constitutes an equitable relationship between imported and
contracting party shall otherwise apply internal quantitative regulations in a
domestic products.”
manner contrary to the principles set forth in paragraph 1.”
(ad Art. III:5, GATT)
(Art. III:5, GATT)
55 56
Initial Observation Art. III of the GATT, Analytical Index of the GATT Extract Initial Observation Art. III of the GATT, WTO Analytical Index Extract
Source: https://www.wto.org/english/res_e/booksp_e/gatt_ai_e/art3_e.pdf Source: https://www.wto.org/english/res_e/publications_e/ai17_e/gatt1994_art3_jur.pdf
57 58
Initial Observation Analysis of NT in practice (e.g.) Extract Initial Observation Brazil — Certain Measures Concerning Taxation and Charges Extract
(DS472)
Brazil — Certain Measures Concerning Taxation and Charges (DS472), Panel Report
Source: https://docs.wto.org/dol2fe/Pages/SS/directdoc.aspx?filename=q:/WT/DS/472R.pdf&Open=True Source: https://www.wto.org/english/tratop_e/dispu_e/cases_e/ds472_e.htm
59 60
2.2.2. EXCEPTIONS TO/DEROGATIONS FROM NT
Understanding Art. III:2, GATT UNDER GATT
q…
§ historical preferences (Art. III:3, GATT)
q… § government procurement (Art. III:8a, GATT)
q… § subsidies to domestic producers (Art. III:8b, GATT)
q… § internal maximum price control measures (Art. III.9, GATT)

§ internal quantitative regulations relating to exposed cinematograph films
q… (Arts. III:10 & IV, GATT)
q…
§ measures to protect public interests (Art. XX, GATT)
q… § measures to protect security interests (Art. XXI, GATT)
q… § trade preferences related to frontier traffic or within customs unions or free
trade areas (Art. XXIV, GATT)
q…
61 62
MFN NT 2.3. HORIZONTAL EXCEPTIONS
q… q…
2.3.1. General Exceptions (Art. XX, GATT)
q… q…
q… q… 2.3.2. Security Exceptions (Art. XXI, GATT)
q… q… 2.3.3. Regional Trade Agreement (Art. XXIV, GATT)

q… q…
q… q…
q… q…
q… q…
q… q…
63 64
2.3.1. General Exceptions (Art. XX, GATT)
§ Applicability conditions
“Subject to the requirement that such measures are not applied in a manner
§ Applicability conditions
which would constitute a means of arbitrary or unjustifiable discrimination
§ Objectives of Measures & Objective-Measure Relationships
between countries where the same conditions prevail, or a disguised
§ Two-tier Test
restriction on international trade, nothing in this Agreement shall be
construed to prevent the adoption or enforcement by any Member of measures:
…”
(Chapeau, Art. XX, GATT)
+ no arbitrary or unjustifiable discrimination
+ no disguised restriction on international trade
65 66
Initial Observation Art. XX of the GATT, Analytical Index Extract
§ Objectives of Measures & Objective-Measure Relationships

“(a) necessary to protect public morals;
(b) necessary to protect human, animal or plant life or health;
Source: https://www.wto.org/english/res_e/booksp_e/gatt_ai_e/art20_e.pdf (c) relating to the importations or exportations of gold or silver;
(d) necessary to secure compliance with laws or regulations which are not
inconsistent with the provisions of this Agreement, including those relating to
customs enforcement, the enforcement of monopolies operated under
paragraph 4 of Article II and Article XVII, the protection of patents, trade
marks and copyrights, and the prevention of deceptive practices;
(e) relating to the products of prison labour;
(f) imposed for the protection of national treasures of artistic, historic or
archaeological value;
(g) relating to the conservation of exhaustible natural resources if such
measures are made effective in conjunction with restrictions on domestic
production or consumption;”
67 68
§ Objectives of Measures & Objective-Measure Relationships (cont.) Initial Observation Extract
“(h) undertaken in pursuance of obligations under any intergovernmental commodity

agreement which conforms to criteria submitted to the CONTRACTING PARTIES and
not disapproved by them or which is itself so submitted and not so disapproved;*
(i) involving restrictions on exports of domestic materials necessary to ensure essential
quantities of such materials to a domestic processing industry during periods when the
domestic price of such materials is held below the world price as part of a
governmental stabilization plan; Provided that such restrictions shall not operate to
increase the exports of or the protection afforded to such domestic industry, and shall
not depart from the provisions of this Agreement relating to non-discrimination;
(j) essential to the acquisition or distribution of products in general or local short
supply; Provided that any such measures shall be consistent with the principle that all
contracting parties are entitled to an equitable share of the international supply of such
products, and that any such measures, which are inconsistent with the other provisions
of the Agreement shall be discontinued as soon as the conditions giving rise to them
have ceased to exist. The CONTRACTING PARTIES shall review the need for this
subparagraph not later than 30 June 1960.”
Ad Article XX Subparagraph (h)
“The exception provided for in this subparagraph extends to any commodity agreement
which conforms to the principles approved by the Economic and Social Council in its
resolution 30 (IV) of 28 March 1947.”
69 70

Objectives of Measures Objective-Measure Relationships
qthe protection of public morals qnecessary

q… q…
q… q…
q… q…
q… q…
q… q…
q… q…
q… q…
q… q…
q… q…
71 72
Initial Observation Art. XX of the GATT, Analytical Index Extract
§ Two-tier Test
1. Does the measure fall within one of the exceptions listed in Article XX?
covered objective?
relationship requirement?
2. If yes, is it applied in conformity with the “chapeau”?
no arbitrary discrimination?
justifiable discrimination?
no disguised restriction on trade?
73 74
Initial Observation Extract Initial Observation DS484 Extract
75 76
77 78
2.3.2. Security Exceptions (Art. XXI, GATT) Article XXI: Security Exceptions, GATT
“Nothing in this Agreement shall be construed
§ Situations triggering security concerns (a) to require any contracting party to furnish any information the disclosure
of which it considers contrary to its essential security interests; or
§ Objective-measure relationships
(b) to prevent any contracting party from taking any action which it considers
§ Self-judging language: “it considers…” necessary for the protection of its essential security interests
(i) relating to fissionable materials or the materials from which they are
derived;
(ii) relating to the traffic in arms, ammunition and implements of war and
to such traffic in other goods and materials as is carried on directly or
indirectly for the purpose of supplying a military establishment;
(iii) taken in time of war or other emergency in international relations; or
(c) to prevent any contracting party from taking any action in pursuance of its
obligations under the United Nations Charter for the maintenance of
international peace and security.”
79 80
2.3.3. Regional Integration (Art. XXIV, GATT)
§ Principle
§ Types
§ Conditions
81 82
§ Principle
§ Conditions
“The contracting parties recognize the desirability of increasing freedom of trade + “Substantially all trade” among partners (internal)
by the development, through voluntary agreements, of closer integration between + Not on the whole more trade-restrictive (external)
the economies of the countries parties to such agreements. They also recognize that + Limited transition period
the purpose of a customs union or of a free-trade area should be to facilitate trade
between the constituent territories and not to raise barriers to the trade of other In order to rely on Article XXIV GATT as a defense, WTO members must
contracting parties with such territories.” (Art. XXIV:4, GATT) show that:
+ FTA/CU complies with the internal and external trade requirements
“[T]he provisions of this Agreement [GATT] shall not prevent, as between the
+ challenged measure is “necessary” to the formation of such FTA/CU
territories of contracting parties, the formation of a customs union or of a free-trade
area or the adoption of an interim agreement necessary for the formation of a
customs union or of a free-trade area”. (Art. XXIV:5, GATT)
§ Types
free trade area (FTA); customs union (CU)
83 84
Initial Observation Article XXIV of the GATT, WTO Analytical Index Extract Initial Observation Extract
Source: https://www.wto.org/english/res_e/publications_e/ai17_e/gatt1994_art24_jur.pdf Source: http://rtais.wto.org/UI/PublicMaintainRTAHome.aspx
85 86
Key words:
tariff, grapes, Vietnam, trade
agreements
Source: http://rtais.wto.org/UI/PublicSearchByMemberResult.aspx?MemberCode=704&lang=1&redirect=1 Source: https://tongcuc.customs.gov.vn/index.jsp?pageId=2313&id=NHAP_KHAU&name=Imports&cid=4154
87 88
89 90
§ Further readings
2.4. TRANSPARENCY
Regional trade agreements:
https://www.wto.org/english/tratop_e/region_e/region_e.htm
q“It is … fundamentally important that regulations and policies are transparent.”
qFor transparency, “governments have to inform the WTO and fellow-members
of specific measures, policies or laws through regular “notifications”.”
qFor transparency, “the WTO conducts regular reviews of individual countries’

trade policies — the trade policy reviews.”
q“The reviews focus on members’ own trade policies and practices.”

qThe reviews “also take into account the countries’ wider economic and
developmental needs, their policies and objectives, and the external economic
environment that they face.”
More information, see at https://www.wto.org/english/thewto_e/whatis_e/tif_e/agrm11_e.htm
91 92
Example
q“Peer reviews” by other WTO members encourage governments to follow Trade Policy Reviews
more closely the WTO rules and disciplines and to fulfil their Vietnam
commitments.
qThe reviews “enable outsiders to understand a country’s policies and

circumstances.”
qThe reviews also “provide feedback to the reviewed country on its

performance in the system.”
qDepending on their share of world trade, countries can be reviewed once

every two years (those are European Union, the United States, Japan and Source:
https://docs.wto.org/dol2fe/Pages/FE_Search/FE_S
China) or every four or six years. _S006.aspx?Query=((%20@Title=%20viet%20na
m)%20or%20(@CountryConcerned=%20viet%20
nam))%20and%20(%20(%20@Symbol=%20wt/tp
r/s/*%20)%20or%20(%20@Symbol=%20wt/tpr/g/
*%20)%20or%20(%20@Symbol=%20wt/tpr/m/*
%20not%20add*)%20or%20(%20@Symbol=%20
wt/tpr/m/*%20and%20add*)%20or%20(%20@Sy
mbol=%20press/tprb/*%20))&Language=ENGLIS
H&Context=FomerScriptedSearch&languageUICh
More information, see at https://www.wto.org/english/thewto_e/whatis_e/tif_e/agrm11_e.htm anged=true#
93 94
Initial Observation Extract Initial Extract

Observation
TRADE POLICY REVIEW - REPORT BY THE SECRETARIAT VIET NAM - Revision

(WT/TPR/S/410/Rev.1, 9 July 2021)
Source: https://docs.wto.org/dol2fe/Pages/SS/directdoc.aspx?filename=q:/WT/TPR/S410R1.pdf&Open=True
95 96
Observation Observation 3 TRADE POLICIES AND PRACTICES BY MEASURE (cont.)
97 98

Observation Observation 4 TRADE POLICIES BY SECTOR (cont.)
TRADE POLICY REVIEW - REPORT BY THE SECRETARIAT VIET NAM - Revision

(WT/TPR/S/410/Rev.1, 9 July 2021)
Source: https://docs.wto.org/dol2fe/Pages/SS/directdoc.aspx?filename=q:/WT/TPR/S410R1.pdf&Open=True
99 100
• Further reading TAKE-HOME MESSAGE
Trade policy reviews: ensuring transparency:
https://www.wto.org/english/thewto_e/whatis_e/tif_e/agrm11_e.htm
Trade Policy Reviews: https://www.wto.org/english/tratop_e/tpr_e/tpr_e.htm
Viet Nam and the WTO:

https://www.wto.org/english/thewto_e/countries_e/vietnam_e.htm
101 102
phân bit MFN và MNT

trong ó có principle
có legal basic
paraphrap bao nhiêu bn báo cáo nào?

ngun?

Wto Law C2

Uploaded by

Document Information

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Wto Law C2

Uploaded by

Copyright:

Available Formats

HO CHI MINH CITY UNIVERSITY OF LAW

2.1. MOST-FAVOURED-NATION TREATMENT (MFN)

Prepared by Le Thi Ngoc Ha,

Initial Observation Extract Initial Observation Extract

Source: https://tongcuc.customs.gov.vn/index.jsp?pageId=2313&id=NHAP_KHAU&name=Imports&cid=4154 Source: https://www.wto.org/english/thewto_e/whatis_e/tif_e/fact2_e.htm

2.1.1. MFN under GATT

2.1.2. Exceptions to/Degorations from MFN under GATT

2.1.3. MFN under GATS and TRIPS

Understanding the MFN … 2.1.1. MFN UNDER GATT

q “Each member treats all the other members equally as “most-favoured”

More information, see at: https://www.wto.org/english/thewto_e/whatis_e/tif_e/fact2_e.htm

“With respect to customs duties and charges of any kind imposed on or in

(Art. I:1, GATT)

Initial Observation Extract

A WTO member (e.g., Vietnam) …

§ grants any advantage, favour, privilege or immunity (trade preferences) to

-> immediately and unconditionally expands trade preferences to the like

+ taxes or charges (covered in Article III.2);

2.1.2. EXCEPTIONS TO/DEROGATIONS FROM MFN

Initial Observation Extract Initial Observation Extract

Trade Preferences under GSP/GSTP Trade Preferences accorded by MFN • Videos

q… q… Let’s Talk Most Favoured Nation:

2.2.1. NT under GATT

2.2.2. Exceptions to/Degorations from NT under GATT

2.2.3. NT under GATS and TRIPS

2.2.1. NT UNDER GATT § General obligations

(Art. III:1, GATT)

No discrimination against imported products in domestic market

Fiscal and non-fiscal measures

“Any internal tax or other internal charge, or any law, regulation or

(ad Art. III)

Taxes or charges, or laws, regulations or requirements collected or enforced at the

… can be covered by Article III

Initial Observation Extract

§ Internal taxes and charges

(Art. III:2, GATT)

No taxation of imported products in excess of taxation applied (directly or

Source: https://docs.wto.org/dol2fe/Pages/SS/directdoc.aspx?filename=Q:/WT/DS/308R-00.pdf&Open=True Source: https://docs.wto.org/dol2fe/Pages/SS/directdoc.aspx?filename=Q:/WT/DS/308R-00.pdf&Open=True

(ad Article III:2)

Taxation of imported products must not be dissimilar to that of domestic directly

“de minimis” standard

Directly competitive or substitutable products

Initial Observation Analysis of NT in practice (e.g.) Extract Initial Extract

Source: https://www.wto.org/english/tratop_e/dispu_e/cases_e/1pagesum_e/ds396sum_e.pdf Source: https://www.wto.org/english/tratop_e/dispu_e/cases_e/1pagesum_e/ds308sum_e.pdf

• Further readings: Understanding NT under Art. III:2, GATT

(Art. III:4, GATT)

Relevent domestic laws, regulations and requirements must not discriminate

No less favourable treatment Source: https://www.wto.org/english/res_e/booksp_e/gatt_ai_e/art3_e.pdf

Source: https://www.wto.org/english/res_e/publications_e/ai17_e/gatt1994_art3_jur.pdf Source: https://www.wto.org/english/res_e/publications_e/ai17_e/gatt1994_art3_jur.pdf

Initial Extract Initial Extract

Source: https://www.wto.org/english/tratop_e/dispu_e/cases_e/1pagesum_e/ds339sum_e.pdf Source: https://www.wto.org/english/tratop_e/dispu_e/cases_e/1pagesum_e/ds510sum_e.pdf

(Art. III:5, GATT)

Source: https://www.wto.org/english/res_e/booksp_e/gatt_ai_e/art3_e.pdf Source: https://www.wto.org/english/res_e/publications_e/ai17_e/gatt1994_art3_jur.pdf

Source: https://docs.wto.org/dol2fe/Pages/SS/directdoc.aspx?filename=q:/WT/DS/472R.pdf&Open=True Source: https://www.wto.org/english/tratop_e/dispu_e/cases_e/ds472_e.htm

q… § internal maximum price control measures (Art. III.9, GATT)

MFN NT 2.3. HORIZONTAL EXCEPTIONS

q… q… 2.3.3. Regional Trade Agreement (Art. XXIV, GATT)

(Chapeau, Art. XX, GATT)

+ no arbitrary or unjustifiable discrimination

+ no disguised restriction on international trade

Initial Observation Art. XX of the GATT, Analytical Index Extract

§ Objectives of Measures & Objective-Measure Relationships

“(h) undertaken in pursuance of obligations under any intergovernmental commodity