WTO AGREEMENTS GENERAL AGREEMENT ON TRADE IN SERVICES (GATS)



Similar documents
ANALYSIS OF GATS SECTORAL COMMITMENTS OF WTO MEMBER STATES UNDERTAKEN IN THE URUGUAY ROUND INTRODUCTION ON HOW TO READ SPECIFIC COMMITMENTS BY SECTOR

Current Commitments under the GATS in Educational Services

The first round of TPP negotiations was held in Melbourne in March 2010.

For the purposes of this Chapter: by a national of a Party in the territory of the other Party;

The EU-Korea Free Trade Agreement

NATIONAL TREATMENT PRINCIPLE

Health Insurance and Health Services in ASEAN Framework Agreement on Services

Report. of the TiSA negotiation round. taking place 6-13 October 2015

Cross-border electronic commerce and international trade statistics

Emergence of India as a Services Hub

1. The Parties agree that a delivery transmitted by electronic means shall not be subject to customs duties, fees or charges.

TISA: THE LEAKED CORE TEXT

ASEAN-CHINA AGREEMENT ON TRADE IN SERVICES MYANMAR. Schedule of Specific Commitments. (For the First Package of Commitments)

GLOBAL SERVICES COALITION POSITION PAPER ON THE TRADE IN SERVICES AGREEMENT (TiSA) September 2014

the purchase or use of, or payment for, a service;

MODEL SCHEDULE OF WTO COMMITMENTS FOR INVESTMENT BANKING, TRADING, AND ASSET MANAGEMENT Explanatory Memorandum

How To Understand The Gta

Trade in Services Agreement: TISA. Iceland. Initial Conditional Offer

Provisions re Professional Services in Cariforum-EC EPA

Brief on Sri Lanka s Position on the Key Issues of the Hong Kong Ministerial Declaration

CMH Working Paper Series

APPENDIX 3 TO ANNEX VIII LIECHTENSTEIN SCHEDULE OF SPECIFIC COMMITMENTS

CHAPTER 11 TRADE IN SERVICES. Article Definitions

ASEAN-CHINA AGREEMENT ON TRADE IN SERVICES LAO PDR. Schedule of Specific Commitments. (For the First Package of Commitments)

Trade in Services Agreement (TiSA) Core Text (April 2015)

(iv) Services auxiliary to insurance, such as consultancy, actuarial, risk assessment and claim settlement services.

A 21st Century work program for the multilateral trading system Featuring:

CHAPTER 1 INITIAL PROVISIONS AND GENERAL DEFINITIONS. Section A: Initial Provisions

TRADE IN LEGAL SERVICES A CONSULTATION PAPER LEGAL SERVICES UNDER GATS IN PREPARATION AT THE WTO

The goal is to improve the welfare of the peoples of the member countries.

MOST-FAVOURED-NATION TREATMENT PRINCIPLE

The international trade of Higher Education

CHAPTER 8 TRADE IN SERVICES PART I: SCOPE AND DEFINITIONS. the production, distribution, marketing, sale or delivery of a service;

TISA Trade in Services Agreement. Norway

apest Practices and Advantages of Using a Novel Proposal

The World Trade Organization...

CHAPTER SEVEN SECTION A GENERAL PROVISIONS

CHAPTER 1 INITIAL PROVISIONS AND GENERAL DEFINITIONS. Section A: Initial Provisions

THE GENERAL AGREEMENT ON TRADE IN SERVICES AN INTRODUCTION

PROTOCOL ON THE ACCESSION OF THE PEOPLE'S REPUBLIC OF CHINA

Section 1: Scope and Definitions. Article X.1: Scope of Application. A. Air services and related services in support of air services other than:

General Inquiries: Tel: (03) or (02)

Capturing and Utilizing Services Trade Statistics A Guide for Statistical Compilers in Developing Countries

CHAPTER 2 : TRADE IN GOODS. Except as otherwise provided, this Chapter applies to the trade in goods between the Parties.

TTIP AND CULTURE. what are 'cultural sectors' from the trade perspective? how do trade talks deal with the so-called 'cultural exception'?

WTO NEGOTIATIONS ON TRADE IN SERVICES

The Transatlantic Trade and Investment Partnership (TTIP) State of Play

Transatlantic Trade and Investment Partnership

Outlines of the Trans-Pacific Partnership Agreement

From: * * * 6. Summary VANDERBILT JOURNAL OF TRANSNATIONAL LAW [Vol. 34:989

I. What is the DCFTA?

Annex VIII Referred to in Chapter 7 Specific Commitments for the Movement of Natural Persons

What is TPP? Which countries are involved in TPP?

CHAPTER ELEVEN FINANCIAL SERVICES. 1. This Chapter applies to measures adopted or maintained by a Party relating to:

1. This Chapter applies to measures adopted or maintained by a Party relating to:

DEVELOPING COUNTRIES. How the WTO deals with the special needs of an increasingly important group. 1. Overview. Chapter 6

ASR s Response to the Australia s Export Credit Arrangements Productivity Commission Issues Paper, October 2011

WTO E-commerce Negotiations

Additional Comments Senator the Hon J Ludwig

ANNEX II SCHEDULE OF COLOMBIA. Cross-Border Trade in Services

ANNUAL REPORT ON DISCRIMINATION IN FOREIGN GOVERNMENT PROCUREMENT April 30, 2001

WORLD TRADE ORGANIZATION

World business and the multilateral trading system

The objective of the present paper is to bring to the fore

Agreement Establishing the ASEAN Australia-New Zealand Free Trade Area INDONESIA S SCHEDULE OF MOVEMENT OF NATURAL PERSONS COMMITMENTS

ANALYSIS OF ACTUAL LIBERALISATION VERSUS

Canada - European Free Trade Association (EFTA)

IMPLICATIONS OF THE TISA TRADE IN HEALTH CARE SERVICES PROPOSAL FOR PUBLIC HEALTH

ASEAN FREE TRADE AGREEMENTS: POLICY AND LEGAL CONSIDERATIONS FOR DEVELOPMENT

Trade in Higher Education Services: The Implications of GATS. By Dr Jane Knight. March 2002

Census of International Trade in Services and Royalties: Year ended June 2005

FINAL ACT EMBODYING THE RESULTS OF THE URUGUAY ROUND OF MULTILATERAL TRADE NEGOTIATIONS

Working Paper. Trade in Educational Services: Trends and Emerging Issues

»Market Access Database

Audiovisual Services in the Doha Round

CHAPTER 11 FINANCIAL SERVICES

U.S. Schedule of Commitments under the General Agreement on Trade in Services

Qualitative analysis of a potential Free Trade Agreement between the European Union and India. Executive Summary

MEASURING TRADE IN SERVICES

ANNEX ON ROAD FREIGHT TRANSPORT AND RELATED LOGISTICS SERVICES. EU does not see a clear value in this Annex given the nature of road transport.

MULTILATERAL TRADE NEGOTIATIONS THE URUGUAY ROUND

A New Form of Services Trade Agreement Moving Ahead in Geneva: The International Services Agreement

How To Respect The Agreement On Trade In Cyberspace

Council of the European Union Brussels, 9 October 2014 (OR. en)

An EU Helpdesk for Trade and Investments

MALAYSIA: INVESTMENT IN THE SERVICES SECTOR MARKET RESEARCH SERVICES

Trade in Services Agreement Annex on Road Freight Transport

Side-by-side Comparison of the 2014 and 2015 TPA Bills

A Trade Agenda that Gets Results

Global Economic Issues and Policies

Final Report High Level Working Group on Jobs and Growth

General Exceptions of Article XX of the GATT 1994 and Article XIV of the GATS. Juan Ochoa, Postdoctoral Research Fellow

FREE TRADE AGREEMENT BETWEEN THE EFTA STATES AND THE SACU STATES

How the Canada-Korea Free Trade Agreement Will Benefit Nova Scotia

Training Workshop on Trade in Services Negotiations for AU-CFTA Negotiators.

Promoting Cross Border Data Flows Priorities for the Business Community

CHAPTER FIFTEEN COMPETITION POLICY, MONOPOLIES AND STATE ENTERPRISES

INCLUDING SERVICES IN NATIONAL EXPORT DEVELOPMENT PLANS Strategies for Government Agencies

International Investment. Australia. Economic Diplomacy, Trade Advocacy and Statistics Section Department of Foreign Affairs and Trade September 2015

Consultation on the EU's Market Access Strategy in a changing global economy

Transcription:

WTO AGREEMENTS GENERAL AGREEMENT ON TRADE IN SERVICES (GATS) Alison Burrows Director, Services Trade and Negotiations Section Department of Foreign Affairs and Trade Canberra, Australia

What is a service? 1. Business 2. Communication 3. Construction and Engineering 4. Distribution 5. Education 6. Environment 7. Financial 8. Health 9. Tourism and Travel 10. Recreational, Cultural and Sporting 11. Transport 12. Other

Size of the services sector World exports of commercial services 1997 US$1.3 trillion (1998 est US$1.4 trillion) Australia s services sector creates more than 8 out of every 10 jobs accounts for more than two-thirds of our GDP contributes almost a quarter of Australia s exports

General Agreement on Trade in Services - key facts First ever set of multilateral, legally enforceable rules covering international trade in services. Important outcome of the Uruguay Round of multilateral trade negotiations. With other agreements such as the General Agreement of Tariffs and Trade (GATT), the GATS is an integral part of the WTO Entered into force on 1 January 1995. Mandated review after 5 years, that is, no later than 1 January 2000

Basic principles of the GATS All services are covered by the GATS Most-favoured-nation treatment applies to all services, except for one-off temporary exemptions National treatment applies in the areas where commitments are made Transparency in regulations, inquiry points Regulations have to be objective and reasonable International payments normally unrestricted Individual countries' commitments negotiated and bound

Flexibility for Developing Economies Developing economies are given flexibility, especially for Opening fewer sectors Liberalising fewer types of transactions Progressively extending market access in line with their development situation

GATS - three main components: The overall framework of 29 articles which sets out principles and rules A schedule for each country listing its "specific commitments" and any exemptions to the MFN principle Special rules for some sectors contained in eight annexes (including telecommunications, air services)

One general obligation Most-favoured-nation treatment obligation (Article II) - treating one's trading partners equally Under GATS, if a country allows foreign competition in a sector, equal opportunities should be given to service providers from all other WTO members

Two negotiated commitments 1. National treatment (Article XVII) - equal treatment for foreigners and one's own nationals For goods (GATT) and Intellectual Property (TRIPS), it is a general principle But in the GATS, it only applies where a country has made a specific commitment. Exemptions are allowed

2. Market access (Article XVI) If a government commits itself to allow foreign banks to operate in its domestic market, that is a market access commitment If a government limits the number of licences for foreign banks it will issue, then that is a market access limitation

Schedules of commitment The schedules of commitment contain the negotiated and guaranteed conditions for trade in services Each country lists specific commitments on services sectors and on activities within those sectors They guarantee access in the listed sectors They list market access/ national treatment restrictions They are bound - they can only be modified or withdrawn after negotiations with affected countries They are standstill - incorporating existing legislation

Each schedule has three sections 1. Horizontal commitments - any restrictions on market access or national treatment across all sectors - eg in Australian schedule, foreign investment policy guidelines - FIRB activities restrictions on the movement of natural persons - immigration policy

2. Sector-specific commitments - eg in Australian schedule, in the majority of sectors, there are no limitations on market access or national treatment, other than those indicated in the horizontal section the sectors where Australia has limited coverage include health services, education services, transport services and communications services Australia has made no commitments in the audiovisual sector

3. List of most-favoured-nation exemptions - eg in Australian schedule film coproduction agreements with Italy, UK, Canada and France measures to protect Australia from any unreasonable unilateral actions from other Members in audiovisual services

Typology of Modes of Supply Mode Presence of supplier Form of delivery Examples Cross border supply Consumption abroad Commercial presence Presence of Natural Persons No No Yes Yes From abroad into the territory of the Member Delivery outside the territory of the Member Through local establishment of local entities Through physical presence of service supplier Telecommunications, mail, services incorporated in goods Movement of consumer or property abroad (eg tourism, ship repair) Corporations, joint ventures, representative offices Consultants, doctors, lawyers, interpreters etc (including employees) *Rolf Adlung, Counsellor, Trade in Services Division, WTO

How commitments are recorded in schedules Where there are no limitations on market access or national treatment in a given sector and mode of supply, the entry reads NONE If a Member wishes to maintain measures inconsistent with market access and national treatment, the entry reads UNBOUND In some situations, a particular mode of supply - such as the cross-border supply of bridge-building services - may not be technically feasible. Then the entry reads UNBOUND* (due to lack of technical feasibility)

AUSTRALIA'S SCHEDULE OF SPECIFIC COMMITMENTS Architectural Services, page 5 Modes of supply 1)Cross-border supply 2)Consumption abroad 3)Commercial presence 4)Presence of natural persons Sector or subsector Architectural services (CPC 8671) Limitations on market access 1) None 2) None Limitations on national treatment 1) None 2) None Additional commitments 3) None 4) Unbound, except as indicated in horizontal section 3) None 4) Unbound, except as indicated in horizontal section

Investment in the GATS The GATS is the first multilateral agreement containing obligations on the treatment of foreign investors It does not cover investment policies per se, but does so to the extent that they relate to the supply of services It treats investment as a mode of service delivery (establishment) to which obligations of transparency, dispute settlement, MFN apply

After the Uruguay Round GATS talks that resumed after the end of the Uruguay Round: Basic telecommunications completed February 1997 Financial services completed December 1997 Maritime transport suspended Movement of natural persons completed July 1995 Other issues for future negotiation: subsidies, government procurement, safeguards, qualifications, technical standards, licensing

WTO 2000 services negotiations, (to be launched in Seattle on 30 November to 3 December). Achieving a progressively higher level of liberalisation We will encourage Members to make expanded commitments in all sectors We have a particular interest in: sectors which need revisiting because of technological changes/limited offers (financial, telecommunications, professional services) sectors in which we have a particular interest (environmental, educational, construction and engineering, and distribution services) sectors with limited coverage (eg air transport services and maritime) Other issues include: regulation, GATS rules