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Proposal for Enhanced Transparency on Export Proposal for Enhanced Transparency on Export Licensing Licensing “Protocol on Transparency in Export Licensing to the General Agreement on Tariffs and Trade 1994” “Protocol on Transparency in Export Licensing to the General Agreement on Tariffs and Trade 1994” (TN/MA/W/15/Add.4/Rev.5) (TN/MA/W/15/Add.4/Rev.5) Co-sponsoring Members; Co-sponsoring Members; Chinese Taipei, Japan, Korea, Ukraine and United States Chinese Taipei, Japan, Korea, Ukraine and United States

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Page 1: Proposal for Enhanced Transparency on Export Licensing “Protocol on Transparency in Export Licensing to the General Agreement on Tariffs and Trade 1994”

Proposal for Enhanced Transparency on Export Proposal for Enhanced Transparency on Export LicensingLicensing

“Protocol on Transparency in Export Licensing to the General Agreement on Tariffs and Trade 1994”“Protocol on Transparency in Export Licensing to the General Agreement on Tariffs and Trade 1994”(TN/MA/W/15/Add.4/Rev.5)(TN/MA/W/15/Add.4/Rev.5)

Co-sponsoring Members; Co-sponsoring Members; Chinese Taipei, Japan, Korea, Ukraine and United StatesChinese Taipei, Japan, Korea, Ukraine and United States

Page 2: Proposal for Enhanced Transparency on Export Licensing “Protocol on Transparency in Export Licensing to the General Agreement on Tariffs and Trade 1994”

• Experiences of difficulties in importing natural resources such as minerals and timber in a stable and predictable manner due to unexpected and sudden export licensing measures imposed by exporting countries.

• GATT negotiations have mainly focused on the import side.

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Issues and BackgroundIssues and Background

More transparency in export licensing is More transparency in export licensing is essentialessential

Page 3: Proposal for Enhanced Transparency on Export Licensing “Protocol on Transparency in Export Licensing to the General Agreement on Tariffs and Trade 1994”

WTO disciplines / Existence of Licensing agreement Imports Exports

GATT Art. X Publication and Administration of Trade Regulations(citation)1. …, restrictions or prohibitions on imports or exports or on the transfer of payments therefor, or affecting their sale, distribution, transportation, insurance, warehousing inspection, exhibition, processing, mixing or other use, shall be published promptly in such a manner as to enable governments and traders to become acquainted with them. …

○○ ○○GATT Art. XIII Non-discriminatory Administration of Quantitative Restrictions(citation)3.(a) …, the contracting party applying the restrictions shall provide, upon the request of any contracting party having an interest in the trade in the product concerned, all relevant information concerning the administration of the restrictions, the import licenses granted over a recent period and the distribution of such licenses among supplying countries; … 5. …in so far as applicable, the principles of this Article shall also extend to export restrictions.

○○ △△

Existence of the “Licensing Agreement” for enhanced transparency○○

Agreement on Import

Licensing Procedures

××

WTO disciplines for Import & Export restrictions and existence of Licensing agreement

More transparency in export licensing is essential for smooth trade of raw materials and enhancement of international trade and production of industrial goods.

More Transparency on Export Restriction is EssentialMore Transparency on Export Restriction is Essential

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Page 4: Proposal for Enhanced Transparency on Export Licensing “Protocol on Transparency in Export Licensing to the General Agreement on Tariffs and Trade 1994”

Proposed Transparency MechanismProposed Transparency Mechanism

List of products Overall amount of the quota Expected duration Description of the ExportLicensing procedure and other

Notify within 60 days

Member A

Member B

Exporters

Importers

Proposal for Enhanced Transparency on Export Licensing in WTOProposal for Enhanced Transparency on Export Licensing in WTO

Existing WTO AgreementsExisting WTO Agreements

Exporters Member A

Member B

Importers

Morizo

? ?

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We are listening to suggestions concerning what kinds of technical assistance would be necessary for Developing and Least-Developed Members.

Protocol on Transparency in Export Licensing to the GATT 1994 (TN/MA/W/15//Add.4/Rev.4)

Proponents:

Procedures:

Technical assistance :

Chinese Taipei, Japan, Korea, Ukraine, and United States

i) Notify within 60 days, post facto, the WTO of any new measures on export licensing and changes thereofii) Respond to specific requests by other Members relating to export licensing

Proposal:

Due to unexpected ExportLicensing, importers cannot obtain raw materials to be delivered for manufacturer.

Exporters cannot deliver their products by unexpected Export Licensing.

ExportLicensing

ExportLicensing