Committee on Market Access - Factual report on the status of renegotiations under article XXVIII of the GATT 1994 - Report by the Secretariat - Revision

FActual REPORT ON THE STATUS OF RENEGOTIATIONS
UNDER arTICLE xxviii OF THE gatt 1994

Report by the Secretariat[1]

Revision

1  INTRODUCTION

1.1.  WTO Members are allowed to modify or withdraw concessions from their schedules through negotiation and agreement with other Members. Article XXVIII of the GATT 1994, entitled "Modification of Schedules", is the main provision dealing with the renegotiation of a tariff concession, which may be initiated under Article XXVIII itself or as a result of Article XXIV:6 procedures.[2] As of the date of this report, Members have initiated or concluded 57 renegotiations since the WTO Agreement entered into force, some of which have been ongoing for a number of years.

1.2.  The procedural steps and requirements for undertaking Article XXVIII renegotiations are contained, inter alia, in the Interpretative Notes to Article XXVIII, the Guidelines on "Procedures for Negotiations under Article XXVIII"[3], and the "Understanding on the Interpretation of Article XXVIII of the GATT 1994". Once Article XXVIII procedures are concluded, and in order to introduce the changes to the authentic text of the Schedule, the renegotiating Member must submit, within three months after the action has been completed, a draft with the results of the renegotiation under the 1980 Procedures for Modification and Rectification of Schedules (1980 Procedures).[4]

1.3.  At the informal session of the Committee on Market Access that took place on 17 March 2016, the Chairperson drew Members' attention to the status of such renegotiations. She noted that, although some information was being provided by the WTO Secretariat in the annual report entitled "Current Situation of Schedules"[5], no information was provided on other relevant aspects. This made it difficult for Members to have a comprehensive overview of the status of these renegotiations and may have contributed to the lack of completion of some of these procedures.

1.4.  With a view to enhancing transparency and Members' ability to monitor the status of Article XXVIII renegotiations, it was agreed at the informal session of 17 March 2016 that the Secretariat would produce a draft report compiling the relevant information.[6] Members were invited to provide inputs and comments. At its formal meeting of 19 April 2016, the Committee took note of comments made on the draft and agreed that additional comments should be submitted to the Secretariat no later than 3 May 2016. This revised version takes account of all comments received, as well as of subsequent developments up to 11 March 2024.



[1] This document has been prepared under the Secretariat's own responsibility and is without prejudice to the positions of Members or to their rights and obligations under the WTO.

[2] Article XXIV:6 of the GATT 1994 provides that in case a Member forming a customs union proposes to increase a rate of duty inconsistently with the provisions of Article II (e.g. to align the bound duty with the common external tariff of that customs union), "the procedure set forth in Article XXVIII shall apply".

[3] Guidelines adopted on 10 November 1980 (GATT BISD 27S/26).

[4] Paragraph 1 of the Decision of 26 March 1980 (BISD 27S/25).

[5] _G/MA/W/23/Rev series.

[6] The draft report was circulated in document _JOB/MA/122.