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1、 pptdesign.blogbusTrade and barrierSusanFree Trade and protectionismThe nuts and bolts come apartInternational tradeInternational trade develop fast since world war II. So did Vertical specialization.Vertical specialization occurs when a country uses imported intermediate parts to create a good it l

2、ater exportsthat is, the country links sequentially with other countries to produce a final good. vertical specialization has accounted for a large and increasing share of international trade over the last several decades. They also note that because the trends encouraging vertical specializationlow

3、er trade barriers and improvements in transportation and communications technologiesare likely to continue, this type of international trade should become even more prevalent in the next century .But since trade protectionism grows, the nuts and bolts come apart. pptdesign.blogbus ContentsClassifica

4、tion of trade protectionism Forms of non-tariff barrier Forms of new trade protectionism What can we do to deal with it?Trade barrierTrade barriers are government-induced restrictions on international trade.1. From the form of trade barrier, it can be divided as tariff and non-tariff barrier.2. From

5、 the time order, trade barrier can be divided into : traditional trade barrier and NTP (New trade protectionism)Non-tariff barrierImport licensesExport licensesquotasSubsidiesVoluntary Export RestraintsLocal content requirementsEmbargo Devaluation of currencyAn import license is a document issued by

6、 a national government authorizing the importation of certain goods into its territory. It is a way to discriminate against another countrys goods in order to protect a domestic industry from foreign competition .An export license grants permission to conduct a certain type of export transaction An

7、import quota is a type of protectionist trade restriction that sets a physical limit on the quantity of a good that can be imported into a country in a given period of time. 1 Quotas, like other trade restrictions, are used to benefit the producers of a good in a domestic economy at the expense of a

8、ll consumers of the good in that economy A subsidy is an assistance paid to a business or economic sector. Most subsidies are made by the government to producers or distributed as subventions in an industry to prevent the decline of that industry or an increase in the prices of its products or simpl

9、y to encourage it to hire more labor.A voluntary export restraint (VER) or voluntary export restriction is a government imposed limit on the quantity of goods that can be exported out of a country during a specified period of time .Typically VERs arise when the import-competing industries seek prote

10、ction from a surge of imports from particular exporting countries. VERs are then offered by the exporter to appease the importing country and to deter the other party from imposing even more explicit (and less flexible) trade barriers Local Content RequirementsThe product you produce must contain th

11、e local content.February 09 2004New Local Content RequirementsOn November ,25, 2003 the Ministry of Petroleum issued Order 127/03, which sets out requirements on the procurement of goods and hiring of services by oil companies operating in Angola. Although these companies were already subject to cer

12、tain restrictions under the terms of their agreements, the Ministry of Petroleum seems committed to tightening up the hiring of foreign contractors by the oil industry.embargoAn embargo is the partial or complete prohibition of commerce and trade with a particular country, in order to isolate it. Em

13、bargoes are considered strong diplomatic measures imposed in an effort, by the imposing country, to elicit a given national-interest result from the country on which it is imposed. In 1950s, when the PRC was founded ,it got the embargo from the western countries.New trade protectionismNew trade prot

14、ectionism is derived from the traditional trade protectionism( tariff quota and licensing etc.) As the world prefer a free trade environment ,the traditional protectionism are not as powerful as they used to be.Since 1970s, western countries have come up with various trade protection theories and co

15、rresponding policies which are regarded as New trade protectionism .It takes non-tariff barriers such as anti-dumping ,anti-subsidies safe guard , green barriers and IPR( intellectual property protection) ,protecting domestic trade and employment )Forms of new trade protectionismAnti-dumpingAnti-sub

16、sidyGreen trade barriersTechnical trade barriersintellectual property barriers.Anti-dumpingAnti-dumping is a tool for protecting domestic industries from surges of cheap foreign imports. Although the WTO strives to eliminate all trade barriers, it recognizes that nations require flexibility to adjus

17、t to economic shocks as multilateral agreements increasingly liberalize trade. Thus, these measures allow nations to temporarily protect their economies against fluctuations in trading patterns Antidumping duties have become the most frequently used instrument of trade protection. Antidumping protec

18、tion can be “abused to shelter uncompetitive domestic industries from more efficient rather than “unfair foreign importers. This column shows that antidumping duties protect inefficient domestic firms and impede efficiency gains Source: Global Antidumping Database.Figure 1. Newly-Initiated Trade Rem

19、edy Investigations, 1Q 2007 - 4Q 2021 As Figure 1 illustrates, developing countries initiated 76.9% of these new investigations compared to 23.1% initiated by developed economies. China continued to be the exporting country most frequently targeted by new investigations, as it was named in 71.4% (15

20、 of the 21) of the investigations under laws that require the investigating country to identify at least one exporting country inin 4Q 2021 When an EU industry considers that imports of a product from a non-EU country are subsidised and injuring the EU industry producing the same product, it can lod

21、ge a complaint with the EU Commission. The EU has confirmed anti-subsidy and anti-dumping duties on imports of coated paper from China. This is the first time the EU has imposed anti-subsidy duties on imports of products from China. The Council of Ministers agreed on Thursday (5 May) to impose dutie

22、s of up to 39.1% on imports of the paper, which is used for high-quality printing such as brochures and magazines. Source: Global Anti-subsidy Database Green trade barriersGreen trade barriers refers to government of importing countries erecting trade barriers against importing products by enacting

23、complex environmental protection laws ,establishing environmental technology standard and testing ,examining proceduresIn 2021,the Mid-autumn festival ,the Chinese moon cake had been resist by many countries Green trade barrier. The USA, Canada and Spanish resist the moon cakes which contain yolk(蛋黄

24、。Australia resist the moon cakes contain meat . Various reasons prevent the Chinese moon cakes step into the world market.Technical trade barriersTechnical trade barriers refers to some technical measures taken by a country on the grounds of safeguarding national security ,guaranteeing human health ,pr

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