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Two Models Of Non-Economic Justification Clauses In WTO Law: GATT/GATS Versus SPS/TBT

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Chapter Summary

This chapter examines the different ways in which non-economic objectives can justify trade restrictions otherwise prohibited by World Trade Organization (WTO) law. It deals with the classical non-economic exception clauses of GATT and GATS. The chapter focuses on the SPS and TBT Agreements which adopted a new approach regarding the justification of national measures on the basis of non-economic objectives. The category of "business exceptions" includes provisions dealing with anti-dumping and countervailing duties, safeguards, infant industry protection, and the renegotiation of bound duties. The category of "nonbusiness exceptions" includes the non-economic "general exceptions" and the "security exceptions". The category of "institutional exceptions" deals with regional integration, special and differential treatment for developing countries, balance of payments, exchange restrictions, waivers, and the withdrawal of concessions under Art XXVII GATT.

Keywords: business exceptions; GATS; GATT; Non-Economic Justification Clauses; nonbusiness exceptions; SPS Agreement; TBT Agreement; World Trade Organization (WTO) law



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