Sectoral ApproachSectoral Approach

WTO Non-agricultural Market Access

Department of Trade Negotiations

May 2006

Non-Mandatory

Aim to reduce tariffs over and above formula

(most aim to eliminate tariffs)

Interested members form discussion groups on treatment of goods in particular sectors

Overview

Product coverage

Target end rates

Implementation schedule

Critical mass level

Special and Differential treatment for developing countries

Common Elements

Product Coverage

What products should be included.

Elimination

Harmonization

Target End Rates

(Over and above formula)

Implementation Schedule

Immediately

Same as standard (formula)

Others

Critical Mass Level

What constitutes a critical mass of participants.

How to determine threshold.

Trade = Imp + Exp

Determining ThresholdRank Country Export Import Trade Share Cumulative

  Reporting Total 117813 128597 246410 100.00%  

1 EU (25) 38164 45839 84003 34.09% 34.09%

2 United States 15224 28224 43448 17.63% 51.72%

3 India 10441 12486 22927 9.30% 61.03%

4 Hong Kong 11416 10644 22060 8.95% 69.98%

5 Switzerland 4841 4915 9756 3.96% 73.94%

6 South Africa 8514 699 9213 3.74% 77.68%

7 Japan 2156 5730 7886 3.20% 80.88%

8 Australia 4382 2627 7009 2.84% 83.72%

9 South Korea 3365 3594 6959 2.82% 86.55%

10 Canada 3907 1731 5638 2.29% 88.84%

11 Thailand 3296 1846 5142 2.09% 90.92%

12 China 2519 2201 4720 1.92% 92.84%

13 Turkey 797 2697 3494 1.42% 94.26%

14 Singapore 1653 1828 3481 1.41% 95.67%

  Others 7138 3536 10674    

S & D for Developing

Longer implementation period

Zero – for – X

Limited products exemption

Competitive(study of

CITS)

Fair

N/A

N/A

Fair

Fair

Fair

N/A

HighHigh

N/A

Fair

N/A

N/A

N/A

Fair

Currently under

discussion

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ConsultResults

No

Yes

Yes

Yes

Yes

Yes

Yes

Yes

Yes

Yes

Yes

Yes

Yes

Cosponsor

/

/

/

/

initiated

Sectors

Auto & related parts

Bicycle & related parts

Chemicals

Electronics/electrical

Fish & fish products

Footwear

Forest products

Gems & jewelry

Hand tools

Leather products

Pharma & Med. Devices

Raw Materials

Sports equipments

Textile & Clothing

Current Status

Sector Initiator Co-sponsor Current Status

Automotive and Related Parts Japan First Generation

Bicycle and Related Parts Chinese Taipei Third Generation

Chemicals USA First Generation

Electronics/Electrical Japan Second Generation

Fish and fish products New Zealand/Norway First Generation

Footwear EC First Generation

Forest Products Canada In the final stage of development

Gems and Jewellery Thailand Second Generation

Hand Tools Chinese Taipei First Generation

Open Access to Enhanced Healthcare

Switzerland/Singapore/USA First Generation

Raw Materials UAE First Generation

Sports Equipment Chinese Taipei Third Generation

Textiles and Clothing EC First Generation

Toys Hong Kong/Chinese Taipei Room Document

Q & A ?

Thank You.