The Role of Rules of Origin to Provide Discipline to the GATT Article XXIV

Journal of International Economic Law, Vol. 14, No. 3, pp. 613-638, September 2011

Posted: 1 Aug 2012

See all articles by Joongi Kim

Joongi Kim

Yonsei Law School / College of Law

Jong Bum Kim

Yonsei University, GSIS

Date Written: August 1, 2011

Abstract

This article examines how the GATT Article XXIV regional trade agreement (RTA) exception can be strengthened to curb the proliferation of RTAs that maintain questionable levels of trade liberalization. The lack of rigorous application of the ‘substantially all the trade’ requirement and the use of rules of origin in a restrictive manner are persistent problems that have led to the exclusion of products that should otherwise be part of trade liberalization under RTAs. To provide the discipline currently lacking in Article XXIV, the internal trade under an RTA should be based upon ‘non-preferential rules of origin’ (NPROO) so that trade barriers between RTA parties with respect to ‘substantially all the trade’ will be eliminated. Furthermore, restrictive preferential rules of origin should be eliminated by replacing them with harmonized NPROO. NPROO therefore not only help define the proper scope of trade coverage for RTAs, but they also provide the proper standard to ensure that RTA rules of origin do not become impermissibly restrictive.

Keywords: Rules of Origin, GATT Article XXIV, FTA, RTA

JEL Classification: K33, F10, F42

Suggested Citation

Kim, Joongi and Kim, Jong Bum, The Role of Rules of Origin to Provide Discipline to the GATT Article XXIV (August 1, 2011). Journal of International Economic Law, Vol. 14, No. 3, pp. 613-638, September 2011, Available at SSRN: https://ssrn.com/abstract=2121599

Joongi Kim

Yonsei Law School / College of Law ( email )

50 Yonseiro
Seodaemungu
Seoul, 120-749
Korea, Republic of (South Korea)
82-2-2123-4181 (Phone)

HOME PAGE: http://lawschool.yonsei.ac.kr

Jong Bum Kim (Contact Author)

Yonsei University, GSIS ( email )

Seoul
Korea, Republic of (South Korea)

Here is the Coronavirus
related research on SSRN

Paper statistics

Abstract Views
464
PlumX Metrics