Standards Coordination Office

WOLD METROLOGY DAY

EcuadorMay 20, 2016

Standards Coordination Office

WTO Agreement on Technical Barriers To

Trade (TBT)

Today’s Discussion

• A general understanding of the World Trade Organization Agreement on Technical Barriers to Trade

• Good practices for the implementation of the obligations of the WTO TBT Agreement

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The World Trade Organization

• The World Trade Organization (WTO) is the global international organization dealing with the rules of trade among nations.

• At its heart are the WTO agreements, negotiated and signed by 159 nations and ratified in their legislatures.

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Purpose of the WTO TBT Agreement

• To prevent unnecessary obstacles to trade.

• To provide transparency in the development and implementation of WTO Member technical regulations.

• Is a “procedural agreement.”• Applies primarily to technical

regulations and conformity assessment procedures. 5

Core Provisions of the TBT Agreement (1)

• Regulations should only address legitimate objectives.

• The Agreement defines legitimate objectives.

• Regulations should not have the effect of creating obstacles to trade.

• Regulations should not be more restrictive than necessary.

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Core Provisions of the TBT Agreement (2)

• Introduce conformity assessment procedures only when positive assurance of conformity is required.

• As for regulations, conformity assessment procedures should not have the effect of creating obstacles to trade.

• Treat foreign and domestic products equally. 7

Core Provisions of the TBT Agreement (3)

• Procedures should be undertaken as expeditiously as possible.

• Provisions relate to processing time, information requirements, fees, complaints, etc.

• Protect confidentiality and legitimate business interests.

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Core Provisions of the TBT Agreement (4)

• Transparency – notify proposed technical regulations to other members and take comments into consideration.

• Use international standards as a basis for regulation and conformity assessment procedures (unless ineffective and inappropriate).

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WTO TBT Committee

• WTO Secretariat administers a TBT Committee that meets 3 times a year.

• The Committee discusses Specific Trade Concerns and the implementation of the Agreement. It publishes a Triennial Review.

• The TBT Committee also publishes Decisions and Recommendations and addresses topics such as Good Regulatory Practice (GRP).

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Good Regulatory Practices• GRP refer to the practical

implementation of all provisions of the Agreement, not just regulations.

• TBT Committee has stressed importance of GRP since the beginning.

• APEC, OECD and many countries have guidance on good regulatory practices.

• Overarching principles• Transparency and Proportionality 11

GRP Core Principles (1)

• Establish the need to regulate• Define problem and set policy objectives

• Inform on the intent to regulate• Consider a variety of alternatives (including

not regulate), identify options and their costs• Conduct impact assessment (economic, trade

and societal). IA must be evidence-based.12

GRP Core Principles (2)

• Have a national coordination mechanism

• Publish final regulation and allow a reasonable interval for entry into force

• Consider providing guidance on compliance

• Periodically review regulations for effectiveness and adequacy

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Standards

• Article 4 of the TBT Agreement: members (governments) shall ensure that the Code is accepted and observed

• The WTO TBT Agreement makes a very clear distinction between a regulation and a standard (Annex 1 – Definitions)

• TBT Committee Decision on what constitutes an international standard

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Good Practices on Standards (1)• Code of Good Practice for the Preparation,

Adoption and Application of Standards – Annex 3 of the TBT Agreement

• Substantive provisions of the Code mirror many of the provisions of the Agreement:• Treat national and foreign products the same• Standards should not create unnecessary

obstacles to trade• Use international standards and participate in

their development15

Good Practices on Standards (2) • Express requirements in terms of performance

rather than design• Submit standards to a 60-day comment period

and take comments into consideration (for regulations, the Agreement does not provide a time period)

Other substantive provisions of the Code – Avoid duplication – Achieve national consensus– Publish a work program (transparency)

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Good Conformity Assessment Practices (1)

• TBT Agreement provisions• ISO/IEC Guide 60• APEC – including the report on “Good

Regulatory Practices for Conformity Assessment in APEC Member Economies” (2013)

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Good Conformity Assessment Practices (2)

• TBT Agreement provisions• Accept, whenever possible, CA results

from other members• Ensure technical competence of CAB’s• May require demonstration of technical

competence, for instance, thru accreditation• Accreditation provides confidence in

continued reliability of CA results 18

Good Conformity Assessment Practices (3)

ISO/IEC Guide 60• Promotes openness, transparency,

confidentiality, coherence and effectiveness of conformity assessment practices• Addresses normative documents,

activities, systems and schemes and conformity assessment results

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Measurement Science (Metrology)

• Many conformity assessment results are based on testing

• Confidence in testing results must be underpinned by a competent measurement system that supports accurate calibration, appropriate measurement certainty and suitable reference materials

• Helps address deceptive practices (a legitimate objective)

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Quality Infrastructure – Beyond Trade

• While QI is key for facilitating international trade, it has many more benefits

• QI supports national economies, growth and competitiveness

• QI crucial for the welfare of citizens – confidence in goods and services in the marketplace, including health-related services 21

In conclusion

• The TBT Agreement provides an excellent framework to leverage the national Quality Infrastructure

• The fundamentals for a QI in the Americas are in place

• It needs continuous attention to expand its scope and maintain its accomplishments

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Ileana MartinezInternational Affairs Advisor

Standards Coordination Officeand

National Voluntary Laboratory Accreditation Program NVLAP

NISTileana.martinez@nist.gov