Wto Agreement Safeguard Measures

The World Trade Organization (WTO) is an international organization that regulates trade between countries. One of the agreements made by the WTO is the Agreement on Safeguard Measures. This agreement aims to protect domestic industries from sudden surges of imports that may cause harm to the domestic market.

Safeguard measures are emergency measures that a country can take to limit imports of a certain product in order to protect its domestic industry. The WTO allows countries to use safeguard measures only in specific circumstances and subject to strict conditions.

The WTO agreement on safeguard measures was established in 1995. The agreement states that safeguard measures can only be taken if there is a sudden surge of imports that causes serious injury or threat to a domestic industry. The agreement also states that safeguard measures should be temporary and should not be used as a means of protectionism.

In order to take safeguard measures, a country must follow specific procedures laid out in the agreement. The country must first investigate the situation and determine whether or not there is a sudden surge of imports that is causing harm to its domestic industry. The country must then notify the WTO of its intention to take safeguard measures. The WTO then conducts an investigation to determine whether or not the proposed safeguard measures are justified.

If the WTO determines that the proposed safeguard measures are justified, the country can then implement them. However, the agreement also sets out strict conditions on how long the safeguard measures can be in place and how they should be phased out.

In order to comply with the WTO agreement on safeguard measures, countries must ensure that their safeguard measures are applied in a non-discriminatory manner. This means that they must not target specific countries or specific products. They must also ensure that their safeguard measures do not exceed what is necessary to address the sudden surge of imports.

In conclusion, the WTO agreement on safeguard measures is an important agreement that helps to protect domestic industries from sudden surges of imports. However, it is important that countries follow the procedures and guidelines set out in the agreement in order to ensure that their safeguard measures comply with WTO rules and do not become a means of protectionism.