(Union Bank ALBA) for the management of its liquidities and payments, decides
to move the entire management of its liquidities to TCB (TRISTAT Commercial.
ALBA, which does not produce cars, decides to levy a value-added tax of 33 per cent on cars and instructs its customs services to collect the tax at the border. ALBA had upon its accession to the WTO bound all its tariffs at the rate of 20 per cent.
1
TRISTAT requires sellers of foreign eggs to display a sign saying “We sell foreign eggs”.
2
In light of an oversupply of steel rods, ALBA decides to limit imports of this product to one (1) million tons per year.
3
ALBA, in which the sale of domestic cigarettes is legal, prohibits the import of foreign cigarettes on the grounds that the nicotine content is too high and pose serious health risks. This measure is yet to be notified to the WTO.
4
In the context of VANIN’s cooperation with RURITANIA for the economic development of the DEEP BLUE SEA Basin, the two countries have decided to allow their shipping companies to operate freely on either side of the DEEP BLUE SEA.
5
Algros Ltd, which had until now relied exclusively on the services of UBA (Union Bank ALBA) for the management of its liquidities and payments, decides to move the entire management of its liquidities to TCB (TRISTAT Commercial Bank), which is based in the city of TRISTATIA, the financial hub of the region.
6
To ensure that it derives significant benefits from foreign direct investment, ALBA has just passed a law requiring requires investors to purchase certain domestic products.
7
TRISTAT institutes a federal excise tax reduction for beer produced by domestic breweries with annual production not exceeding 2 million barrels. TRISTAT argues to a panel that since only 1.5% of domestic beer in TRISTAT is eligible for a reduction in the excise tax and less than 1 % of domestic beer benefits from the tax reduction, the federal excise tax neither discriminates against imported beer nor provides protection to domestic production. 8
ALBA is concerned about rising shoe imports and, to be able to monitor these imports, introduces an automatic import licensing system for shoes. Licenses are always granted within 5 days. The very existence of the system creates an atmosphere of uncertainty among traders.
9
ALBA imports canned mushrooms from Tristat. In order to protect its domestic mushroom producers, the Government of ALBA asks TRISTAT’s Mushroom Growers' Association to ensure that mushroom exports to Alba be limited to 8,000 tons annually. Afraid of reprisals from the Government of Alba, the association forms an export cartel which limits exports to below 8,000 tons per year to that country 10
Companies importing steel into Alba are owned by steel producing companies. In light of an oversupply of steel rods, ALBA’s steel producers and importers association recommend to their members not to import steel rods during that year.
11
ALBA divides its tariffs on coffee into "mild" (duty-free) and "other" (dutiable) on the grounds that there are not like products.
12
TRISTAT applies an 8 % tariff on imports of spruce, pine and fir ("SPF") dimension lumber whereas it applies a zero tariff on imports of other types of dimension lumber. ALBA claims that the application of differing tariff rates to different types of dimension lumber is inconsistent with GATT Article I.1 because SPF dimension lumber and dimension lumber of other types are "like products" within the meaning of GATT Article I:1. 13
TRISTAT exempts exports from payment of VAT.
14
TRISTAT removes a consumption subsidy on imported fertilizer on which a tariff binding had previously been negotiated, while maintaining a consumption subsidy on a directly competing (but not "like") domestic fertilizer.
15
TRISTAT (a developed WTO Member) has just banned the importation of melons from all other countries with the exception of ZATA, which is developing country and with which it has a trade agreement covering melons and other fruits. It claims that its restrictions do not breach Article XI:1 of the GATT and that even if it did, the measure could be justified under Article XXIV read in conjunction with Part IV of the GATT 1994. 16
TRISTAT and ALBA are currently negotiating a free trade agreement. As part of this agreement, custom duties on industrial products between the two countries would be eliminated whilst remaining at their current levels for all the other trading partners.
17
As part of its development policy, TRISTAT has decided to grant to VANIN improved access to its market by eliminating all custom duties on the agricultural products originating from that country.
18
VANIN did not undertake any commitments on maritime transportation services in its schedule of specific commitments. It has just passed a law allowing only insurance companies from PAHA to establish branches in its country. Requests from other countries for similar treatment have been rejected by VANIN which claims it has the right to discriminate since it has not undertaken any specific commitments 19
In response to the widespread abuse of the intellectual property rights of its companies in TRISTAT, ALBA has decided to limit the term of protection for patents to 10 years from the date of filing only in respect of applicants from TRISTAT.
20
