Uploaded by Trân Đinh

2. NTM Exercise EN

Exercise 2:
Non-Tariff Measures, Trade Remedies,
and Rules of Origin
Product: Sports footwear (HS 640411)
Exporting country: Viet Nam
Target markets: Germany and Republic of Korea
HOW TO ENTER A TARGET MARKET
NTMs AND OTHER MARKET ACCESS REQUIREMENTS
1. INTRODUCTION
Go to https://marketanalysis.intracen.org/ and log in to your ITC Tools account on the upper right corner of
the page.
2. DATA AVAILABILITY
Go to Market Access Map: https://marketanalysis.intracen.org/ or straight to https://www.macmap.org/
2.1. Find out the latest available year for different types of information for your two target markets: Germany
and Republic of Korea.
Hint: Go to “About” and click on “Data Availability”.
 Use the tabs on top of the table to navigate between different data types. Note down the last year
for which data has been uploaded on Market Access Map.
i.
ii.
For trade remedies (…../2)
For regulatory requirements (…../2)
Latest available year
Type of data
Germany
Korea, Republic of
Trade Remedies
2020
2020
Regulatory requirements
2018
2016
3. ANALYZE TRADE AGREEMENTS AND RULES OF ORIGIN
In order to benefit from possible tariff advantages (see previous questions), you have to comply with Rules of
Origin (RoO) and provide the necessary certificates and forms.
3.1. Please fill in the table below for the tariff regimes you found for one o
f your selected target markets.
Hint: Go to “Analyse” and click on “Trade agreements”.
 Select your target market “as Importer”. Then select your home country as partner.
i.
ii.
iii.
Is there a trade agreement between Viet Nam and Korea? (….. /1)
Are the rules of origin available? (….. /1)
Are the certificates/forms available? (….. /1)
Target market
Trade agreement(s)
Are the RoOs
available?
Are the certificates
/forms available?
Korea
CECA, ASEAN-Korea
FTA, Korea-Viet Nam
GSTP
YES
YES
3.2 How can you best define the GSP Countries Trade agreement? (….. /1)
Hint: Under the “Rules of origin” subheader on the results page, find the document containing the text
of the agreement. Based on the first pages, summarize (a) the members of the agreement and
(b) the intent of the agreement.
The Socialist Republic of Viet Nam, hereinafter referred to as "Viet Nam", and The European Union,
hereinafter referred to as "the Union", hereinafter jointly referred to as "the Parties" or individually referred to
as "Party",
RECOGNISING their longstanding and strong partnership based on the common principles and values
reflected in the Partnership and Cooperation Agreement, and their important economic, trade and
investment relationship;
DESIRING to further strengthen their economic relationship as part of, and in a manner coherent with, their
overall relations, and convinced that this Agreement will create a new climate for the development of trade
and investment between the Parties;
RECOGNISING that this Agreement will complement and promote regional economic integration efforts;
DETERMINED to strengthen their economic, trade and investment relationship in accordance with the
objective of sustainable development, in its economic, social and environmental dimensions, and to
promote trade and investment under this Agreement in a manner mindful of high levels of environmental
and labour protection and relevant internationally recognised standards and agreements;
DESIRING to raise living standards, promote economic growth and stability, create new employment
opportunities and improve the general welfare and, to this end, reaffirming their commitment to promote
trade and investment liberalisation;
CONVINCED that this Agreement will create an expanded and secure market for goods and services and a
stable and predictable environment for trade and EU/VN/en 3 investment, thus enhancing the
competitiveness of their firms in global markets;
RECOGNISING the importance of transparency in international trade to the benefit of all stakeholders;
SEEKING to establish clear and mutually advantageous rules governing their trade and investment and to
reduce or eliminate the barriers to mutual trade and investment
RESOLVED to contribute to the harmonious development and expansion of international trade by removing
obstacles to trade through this Agreement and to avoid creating new barriers to trade or investment
between the Parties that could reduce the benefits of this Agreement;
BUILDING on their respective rights and obligations under the WTO Agreement and other multilateral,
regional and bilateral agreements and arrangements to which they are party;
DESIRING to promote the competitiveness of their companies by providing them with a predictable legal
framework for their trade and investment relations
3.3. (If applicable) under which condition is your product considered to originate from Viet Nam? (….. /1)
For the purposes of paragraph 1(b) of Rule 2, a good, except those covered under Rule 5 as provided for in
Appendix 2, shall be deemed to be originating if the regional value content (hereinafter referred to as the
“RVC”) is not less than 40% of the FOB value or if a good has undergone a change in tariff classification at
four digit-level (change of tariff heading) of the Harmonized System.
4. IDENTIFY OTHER MARKET ACCESS REQUIREMENTS IN MACMAP
Hint: You can find specific regulations under respective trade agreements.
4.1. i. Does Germany apply a regulatory requirement or non-tariff measures (NTMs) to your product? (…..
Hint: Go to “Access” and click on “Export and import requirements”.
 Select the direction of the requirement (import or export), the destination country and your country
as partner (export country). Finally, your HS6 product.
/1)
Yes
ii. If yes, what kinds of NTMs did you find? (….. /1)
Labelling requirements
Product quality, safety or performance requirement
Certification requirement
Inspection requirement
Prohibition for non-economic reasons
4.2. i. Does korea apply non-tariff measures to your product? (….. /1)
Yes
ii. If yes, what kinds of NTMs did you find? (…../1)
Labelling requirements
Production or post-production requirements, n.e.s
Origin of materials and parts
Traceability requirements, n.e.s.
4.3 In the case that one of your target markets applies a NTM to your product imported from Viet Nam,
choose one of those regulations (we suggest you a SPS or TBT regulation) and provide the complementary
information below. (….. /4)
Hint: Click again on the measure(s) above.  You will see a list of sub-measures, such as SPS or
TBT. To obtain the details of each sub-measure, drill down through categories by clicking on the
name of the category again. “01.9999” as an end date means that the end data is not specified
in the regulation.
Labelling requirements (Exporting from Viet Nam to Korea)
Which countries have to
comply with this measure
World
When did the measure enter
in force?
08.2015
Which authority in _______
implemented the measure?
Ministry of Environment
Is an end date of the measure
known?
...
4.4. Does any of the two target markets impose Trade Remedies (Anti-dumping-, Countervailing- or
Safeguard measures)? (….. /1)
No
Hint: Go to “Access” and then click on “Trade remedies”. Enter your partner countries as the
destination country and your country as the exporting country. Then, enter the product HS code.
If you do not find the country and/or HS code, it means that no trade remedy is in place.
4.5. For another look at trade remedies, find the remedy imposed on Turkish imports of synthetic filaments
(HS-550130) by China. After finding the specific remedy, read the first page of the corresponding document
and briefly summarize below:
In accordance with the Antidumping Regulations of the People's Republic of China on July 14, 2015, the
Ministry of Commerce) issued Announcement No. 22 of 2015, deciding to carry out antidumping
investigation against imports of polyacrylonitrile fiber (hereinafter referred to as the “Products under
Investigation”) originated in Japan, the Republic of Korea and Turkey.
Upon investigation, the Investigation Authority made a final ruling that during the investigation period of this
case, there was dumping of imports of polyacrylonitrile fiber originated in Japan, the Republic of Korea and
Turkey and China's domestic industry was substantially damaged, and there was causal relationship
between the dumping and the substantive damage.
4.6. What is the duty imposed by China on “All other exporters” from Turkey?
16.1%
5. ADDITIONAL PRACTICE: NON-TARIFF MEASURE IDENTIFICATION AND
INTERPRETATION
Product: Printed circuits (HS 854239)
Exporting country: Viet Nam
Target market: Germany
5.1 How many non-tariff measures are applied on this product by the target market?
B7 - Product quality, safety or performance requirement
B8 - Conformity assessment related to TBT
B82 - Testing requirement
B83 - Certification requirement
B84 - Inspection requirement
Hint: After searching for the NTMs applied by Germany on this product, click on the “
information about each specific measure.
” sign for more
5.2 Read the summary of the labelling measure (requirement 3). Based on this, what information needs to
be on the label of your product before export to this market?
Measures regulating the kind, colour and size of printing on packages and labels and
defining the information that should be provided to the consumer: Labelling is any
written, electronic, or graphic communication on the packaging or on a separate but
associated label, or on the product itself. It may include requirements on the official
language to be used as well as technical information on the product, such as voltage,
components, instruction on use, safety and security advises, etc.
5.3 Look over the summaries of the rest of the non-tariff measures imposed on this product. Based on your
reading, which measure(s) do you think would potentially be hardest for a company to adhere to?
Essential requirements: The essential safety requirements, which are laid down in Annex I to the
Directive, protect against risks arising from the use of the electrical equipment and risks which may be
caused by external influences on the electrical equipment, including not just electrical ones but also
mechanical, chemical and any other risk (noise, vibrations ). Harmonised standards The technical
specifications to meet the essential requirements are not described in the Directive. However,
products are presumed to conform to the essential safety requirements where they have been
manufactured in accordance with: - The harmonised standards drawn up by the European Committee
for Electrotechnical Standardisation (CENELEC) on the basis of the essential requirements set in the
Directive; or - In the absence of harmonised standards, international rules issued by the International
Electrotechnical Commission (IEC).