Gatt Provisions Related Environmental Protection

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II. GATT provisions related to environmental protection The environmental protection is implemented in wide variety of forms and methods. WTO jurisprudence affirms that WTO Members are entitled to apply related-trade measures in order to protect environment . These measures, however, may transgress principal trade rules, for instance, ‘non-discrimination’ and general ‘elimination of quantitative restrictions’, as a result, impact on other Members’ rights . Therefore, to balance two objectives, it is necessary to set exceptions to those principal rules . This part will introduce WTO basic trade rules and their exceptions specified in GATT 1994 to illustrate WTO’s attempt to strike balance between environmental concerns and trade concerns. 1. Article I and III on non-discrimination The non-discrimination principle is specified in Article I Most favoured-nation (MFN) and Article II National Treatment (NF). MFN stipulates that there is no discrimination between ‘like’ products from different business partners, which means a WTO member shall treat ‘like’ products made in different countries equally. Meanwhile NF requires a member treat their own domestic products and ‘like foreign’ products alike. In other words, if a member decided to increase tax on tobacco imported from another countries, it is expected to levy the equal tax on tobacco produced domestically as well as imported from other members. In consideration of trade-related environmental issues, MFN and NF principles
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