report (2015) of the committee on

trade-related investment measures

(adopted 5 october 2015)

1   GENERAL

1.1.  This report is submitted pursuant to Article 7.3 of the Agreement on Trade-Related Investment Measures ("TRIMs Agreement"), which requires the Committee on Trade-Related Investment Measures (the "Committee") to report annually to the Council for Trade in Goods. The Report covers the period 7 October 2014 – 5 October 2015.

1.2.  The Committee met formally on 16 April 2015 under the Chairpersonship of Mr Victor Echevarria Ugarte (Spain) and on 5 October 2015 under the Chairpersonship of Mr Zaher Al-Qatarneh (Jordan). The minutes of these meetings may be found in documents G/TRIMS/M/38 and G/TRIMS/M/39, respectively. Both meetings were open to all Members, governments with observer status in the WTO and international intergovernmental organizations to which the Committee has accorded regular observer status (IMF, OECD, UN, UNCTAD and World Bank). Decisions on requests for observer status made by several other international organizations are pending.

2  nOTIFICATIONS

2.1.  Pursuant to Article 5.1 of the TRIMs Agreement, Members were required to notify any trade-related investment measure ("TRIM") inconsistent with the Agreement within 90 days after the entry into force of the WTO Agreement. Article 5.2 allows for transition periods for the elimination of measures notified under Article 5.1 and which were in existence at least 180 days preceding the entry into force of the WTO Agreement. Pursuant to a decision of the General Council in April 1995, governments eligible to become original WTO Members that accepted the WTO Agreement after 1 January 1995 had 90 days after the date of their acceptance of the WTO Agreement to make the notifications foreseen in Article 5.1, with the period for the elimination of TRIMs notified under Article 5.1 governed by reference to the date of entry into force of the WTO Agreement.^[1] Annex 1 lists all notifications of measures under Article 5.1. In the case of some Members, notifications have been submitted later than the 90-day period foreseen. Some Members have notified that they do not apply any TRIM inconsistent with the Agreement. Annex 2 lists all Members that have made such notifications.

2.2.  Article 6.2 provides for notification of publications in which information on TRIMs can be found. Annex 3 lists the Members that have submitted such notifications. Since the last report, notifications were received from Botswana, Côte d'Ivoire, Malaysia, Montenegro and Sri Lanka. As agreed by the Committee at its meeting on 20 May 2009, the Secretariat has circulated a reminder^[2] containing guidance regarding the requirements of Article 6.2 and its related decision. The reminder also requests all Members that have never notified such publications to do so without delay and that all Members that previously notified to update their notifications, if appropriate, without delay. The latest updated list of notifications has been circulated in document G/TRIMS/N/2/Rev.25. 

3  communications by Members and related discussions

3.1.  Six issues were raised for the first time during this reporting period, while discussion also continued on eight issues previously raised in the Committee.

3.2.  The six new issues considered by the Committee for the first time during this reporting period were: (i) China – Local content requirements for purchases of technology by the banking sector (item requested by Japan and the United States);^[3] (ii) India – Local content requirement in solar power generation projects (item requested by the European Union);^[4] (iii) Indonesia – local content requirements for 4G LTE mobile devices (item requested by the United States);^[5] (iv) Republic of Korea – Assistance measures for agricultural machinery (item requested by Japan); (v) Russian Federation – Local content requirements for purchases by state-owned enterprises (item requested by the European Union and the United States);^[6] and (vi) Turkey – Local content requirements in electricity generation (item requested by the European Union).^[7]

3.3.   In addition, the Committee, per requests from delegations, continued consideration of nine issues that had first been discussed in previous reporting periods. These issues were: (i) India - Certain preferences to domestically manufactured electronic goods and telecommunication products;^[8] (ii) Indonesia – Minimum local product requirement for modern retail sector;^[9] (iii) Indonesia – Newly adopted Industry Law and Trade law;^[10] (iv) Indonesia – Certain local content provisions in the energy sector (mining, oil and gas);^[11] (v) Indonesia – Certain measures addressing local content in investment in the telecommunications sector;^[12] (vi) Nigeria - Certain measures taken in the "Act to provide for the development of Nigerian content in the Nigeria oil and gas industry" of April 2010;^[13] (vii) Russian Federation – Support measures for the automotive sector;^[14] (viii) Russian Federation – Local content requirements for agricultural equipment;^[15] and (ix) United States – Certain local content requirements in some of the renewable energy programs.^[16]

4  election of officers

4.1.  At its meeting of 16 April 2015, the Committee elected Mr Zaher Al-Qatarneh (Jordan) as Chair and Ms Marine Willemetz (Switzerland) as Vice-Chair for the period 2015-2016.

ANNEX 1

Members that have Submitted Notifications under Article 5.1
of the Agreement on Trade-Related Investment Measures

ANNEX 2

Notifications Indicating that No TRIMs Inconsistent with the Agreement on Trade-Related Investment Measures are Maintained

Member                                     Document Symbol                          Date of Communication

Bolivia, Plurinational State of        G/TRIMS/N/1/BOL/1/Add.1                 4 March 1999

Costa Rica                                  G/TRIMS/N/1/CRI/1/Add.1^[27]                16 September 1999

Cyprus                                       G/TRIMS/N/1/CYP/2/Add.1                 26 May 2000

El Salvador                                 G/TRIMS/N/1/SLV/1                          5 November 2003

Haiti                                           G/TRIMS/N/1/HTI/1                           27 February 1998

Honduras                                    G/TRIMS/N/1/HND/1                          7 July 1995

Israel                                         G/TRIMS/N/1/ISR/1                           24 October 1996

Jamaica                                      G/TRIMS/N/1/JAM/1                          9 June 1998

Jordan                                        G/TRIMS/N/1/JOR/1                          22 May 2000

Maldives                                     G/TRIMS/N/1/MLV/1                          30 September 1999

Mali                                            G/TRIMS/N/1/MLI/1                           27 May 1997

Mauritius                                     G/TRIMS/N/1/MUS/1                          27 March 1995

New Zealand                               G/TRIMS/N/1/NZL/1                          20 May 1999

Nicaragua                                   G/TRIMS/N/1/NIC/1                           18 July 1996

Oman                                         G/TRIMS/N/1/OMN/1                         20 December 2000

Saint Lucia                                  G/TRIMS/N/1/LCA/1                          14 February 1996

Saudi Arabia, Kingdom of             G/TRIMS/N/1/SAU/1                          3 October 2006

Singapore                                   G/TRIMS/N/1/SGP/1                          9 October 1996

Slovenia                                     G/TRIMS/N/1/SVN/1                          27 March 1995

Sri Lanka                                    G/TRIMS/N/1/LKA/1                          14 March 2000

Switzerland                                 G/TRIMS/N/1/CHE/1                          8 August 1995

Chinese Taipei                            G/TRIMS/N/1/TPKM/1                        27 May 2002

Trinidad & Tobago                       G/TRIMS/N/1/TTO/1                          1 April 1996

Zambia                                       G/TRIMS/N/1/ZMB/1                          13 April 1995