Nontariff Barriers in the United States

Nontariff Barriers in the International Business Landscape

Definition of Nontariff Barriers in the context of U.S. international business and public trade policy: Government measures other than tariffs–i.e., import quotas, buy-national procurement regulations, product standards, subsidies–that impede or distort the flow of international commerce. The Tokyo Round was devoted primarily to limiting and disciplining national use of NTBs.

Non-Tariff Barriers and Regulatory Issues with the European Union

Non-tariff barriers (NTBs) can decrease market opportunities for U.S. exports and provide unfair competitive advantages to EU products. These barriers take the form of restrictive licensing, permitting, and other requirements applied at the border, but also barriers behind the border, such as unwarranted technical barriers to trade and sanitary and phytosanitary measures. Through T-TIP, we seek to identify ways to reduce costs associated with regulatory differences by promoting greater compatibility between our systems, while maintaining our high levels of health, safety, and environmental protection. Achieving an outcome that results in greater transparency, participation, and accountability in regulatory processes is also critical to addressing and preventing NTBs, and why we have made that a key part of our approach in T-TIP.

With respect to TBT, the United States and the EU already have a shared commitment and responsibility to prevent and reduce unnecessary TBTs through the World Trade Organization’s Agreement on Technical Barriers to Trade. But we know we can do more. Achieving our TBT objectives in T-TIP would mean going beyond existing commitments by setting us on a path to increase transparency and openness in the development of standards and technical regulations, ensure that U.S. bodies are permitted to test and certify products sold in Europe, promote EU recognition of international standards used to support global trade by U.S. exporters and producers, and establish an ongoing mechanism to discuss TBT concerns. Not only would our companies be more competitive, innovative, and efficient as a result, but T-TIP could set a positive example to other countries around the world.

For more information on TBT, visit www.ustr.gov/trade-agreements/wto-multilateral-affairs/wto-issues/technical-barriers-trade.

With respect to SPS, ensuring that the rules governing agricultural and food products are based on science and do not pose unwarranted obstacles to trade is as important to American farmers and ranchers as eliminating tariffs and quotas. If we successfully address certain SPS barriers in T-TIP, Europeans will be able to enjoy safe, high-quality U.S. beef, pork, poultry, and other products that we currently ship to consumers all over the world. In addition to eliminating barriers and opening markets for our farmers and ranchers, we seek to have the EU provide greater regulatory transparency and to engage in regular dialogues to help prevent barriers from being erected in the first place.

For more information on SPS, visit https://ustr.gov/issue-areas/agriculture/sanitary-and-phytosanitary-meas….

With respect to “regulatory coherence and transparency,” T-TIP offers an opportunity to develop cross-cutting disciplines on regulatory practices that have long been known to support economic growth, market integration, and removal of “behind the border” trade barriers. This includes the promotion of greater transparency, participation and accountability in the development of regulations. It also includes evidence-based analysis and decision-making, and a whole-of-government approach to regulatory management. Giving stakeholders – public and private, foreign and domestic – adequate opportunity to comment on proposed regulations and ensuring that regulatory processes not only respect the democratic principles on which our laws are built, but provide regulators with input from a wide range of stakeholders. Transparent regulatory processes ensure better quality regulations that can achieve important objectives, such as protecting health, safety and the environment. On the other hand, a lack of transparency and accountability in regulatory and standards processes can lead to unnecessary, costly, or duplicative rules that reduce our competitiveness and act as discriminatory barriers to U.S. exporters. Embracing sound regulatory objectives in T-TIP will not only draw our economies closer together, but will serve as a positive example for third-country markets around the world.

Finally, the United States and EU will be examining ways to increase regulatory compatibility in specific sectors through a range of regulatory cooperation tools as well as other steps aimed at reducing or eliminating unnecessary regulatory differences. With extensive input from stakeholders, and in collaboration with our regulators, we aim to promote greater regulatory compatibility while maintaining our high levels of health, safety, and environmental protection.

Non-Tariff Duties

Antidumping and countervailing duties (AD/CVD) are not tariffs and are not in the Tariff Schedule. Although the ITC has a role in AD or CVD investigations, the rates of duty are set by the International Trade Administration (ITA) of the Department of Commerce.

CBP maintains a public database of many (but not all) instructions implementing the orders.

These instructions contain information on rates of duty. They also have contact information at the ITA for further information. Questions about the scope of AD/CVD orders should be referred to the contacts in the instructions or to “Contact Import Administration” at: http://www.ita.doc.gov/ia/index.asp