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WORLD TRADE REPORT 2015

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Yeaple,S.R.andGolub,S.S.(2007),“InternationalProductivityDifferences,Infrastructure,andComparativeAdvantage”, Review of International Economics15(2):223-242.

Yi,K.-M.(2003),“CanVerticalSpecializationExplaintheGrowthofWorldTrade?”, Journal of Political Economy111(1):52-102.

Yi,K.-M.(2010),“CanMultistageProductionExplaintheHomeBiasinTrade?”, American Economic Review100(1):364-393.

Zaki,C.(2014),“AnEmpiricalAssessmentoftheTradeFacilitationInitiative:EconometricEvidenceandGlobalEconomicEffects”,World Trade Review13(01):103-130.

141

TECHNICAL NOTES

Technical notesComposition of regions and other economic groupingsRegions

North America

Bermuda Canada* Mexico* UnitedStatesofAmerica*

Otherterritoriesintheregionnotelsewherespecified(n.e.s.)

South and Central America and the Caribbean

AntiguaandBarbuda* Chile* ElSalvador* Panama* TrinidadandTobago*

Argentina* Colombia* Grenada* Paraguay* Uruguay*

Aruba,theNetherlandswithrespectto*

CostaRica* Guatemala* Peru* BolivarianRepublicofVenezuela*

Bahamas** Cuba* Guyana* SaintKittsandNevis*

Barbados* Curaçao* Haiti* SaintLucia*

Belize* Dominica* Honduras* SaintVincentandtheGrenadines*

Bolivia,PlurinationalStateof*

DominicanRepublic* Jamaica* SintMaarten*

Brazil* Ecuador* Nicaragua* Suriname*

Otherterritoriesintheregionn.e.s.

Europe

Albania* CzechRepublic* Hungary* Malta* SlovakRepublic*

Andorra** Denmark* Iceland* Montenegro* Slovenia*

Austria* Estonia* Ireland* Netherlands* Spain*

Belgium* Finland* Italy* Norway* Sweden*

BosniaandHerzegovina** France* Latvia* Poland* Switzerland*

Bulgaria* FYRMacedonia* Liechtenstein* Portugal* Turkey*

Croatia* Germany* Lithuania* Romania* UnitedKingdom*

Cyprus* Greece* Luxembourg* Serbia**


Commonwealth of Independent States (CIS)a

Armenia* Georgia*a Moldova,Republicof* Turkmenistan

Azerbaijan** Kazakhstan*** RussianFederation* Ukraine*

Belarus** KyrgyzRepublic* Tajikistan* Uzbekistan**


Africa

Algeria** Congo* Guinea* Morocco* SouthAfrica*

Angola* Côted’Ivoire* Guinea-Bissau* Mozambique* Sudan**

Benin* DemocraticRepublicoftheCongo*

Kenya* Namibia* Swaziland*

Botswana* Djibouti* Lesotho* Niger* Tanzania*

BurkinaFaso* Egypt* Liberia,Republicof** Nigeria* Togo*

Burundi* EquatorialGuinea** Libya** Rwanda* Tunisia*

CaboVerde* Eritrea Madagascar* SãoToméandPríncipe** Uganda*

Cameroon* Ethiopia** Malawi* Senegal* Zambia*

CentralAfricanRepublic* Gabon* Mali* Seychelles* Zimbabwe*

Chad* TheGambia* Mauritania* SierraLeone*

Comoros** Ghana* Mauritius* Somalia


*WTOmembers

**Observergovernments

***WTOmembersformallyadoptedKazakhstan’sWTOtermsofentryinJuly2015.Kazakhstanwillbecomeamember30daysafteritnotifiesitsratificationtotheWTO.

aGeorgiaisnotamemberoftheCommonwealthofIndependentStatesbutisincludedinthisgroupforreasonsofgeographyandsimilaritiesineconomicstructure.


142

Middle East

Bahrain,Kingdomof* Israel* LebaneseRepublic** SaudiArabia,Kingdomof* Yemen*

Iran** Jordan* Oman* SyrianArabRepublic**

Iraq** Kuwait,theStateof* Qatar* UnitedArabEmirates*


Asia

Afghanistan** HongKong,China* Malaysia* PapuaNewGuinea* Timor-Leste

Australia* India* Maldives* Philippines* Tonga*

Bangladesh* Indonesia* Mongolia* Samoa* Tuvalu

Bhutan** Japan* Myanmar* Singapore* Vanuatu*

BruneiDarussalam* Kiribati Nepal* SolomonIslands* VietNam*

Cambodia* Korea,Republicof* NewZealand* SriLanka*

China* LaoPeople’sDemocraticRepublic*

Pakistan* ChineseTaipei*

Fiji* Macao,China* Palau Thailand*


Other Groups

ACP (African, Caribbean and Pacific countries)

Angola Côted’Ivoire Guyana Nauru Somalia

AntiguaandBarbuda Cuba Haiti Niger SouthAfrica

Bahamas DemocraticRepublicoftheCongo

Jamaica Nigeria Sudan

Barbados Djibouti Kenya Niue Suriname

Belize Dominica Kiribati Palau Swaziland

Benin DominicanRepublic Lesotho PapuaNewGuinea Tanzania

Botswana EquatorialGuinea Liberia,Republicof Rwanda Timor-Leste

BurkinaFaso Eritrea Madagascar SaintKittsandNevis Togo

Burundi Ethiopia Malawi SaintLucia Tonga

CaboVerde Fiji Mali SaintVincentandtheGrenadines

TrinidadandTobago

Cameroon Gabon MarshallIslands Samoa Tuvalu

CentralAfricanRepublic TheGambia Mauritania SãoToméandPríncipe Uganda

Chad Ghana Mauritius Senegal Vanuatu

Comoros Grenada Micronesia Seychelles Zambia

Congo Guinea Mozambique SierraLeone Zimbabwe

CookIslands Guinea-Bissau Namibia SolomonIslands

Africa

North Africa

Algeria Egypt Libya Morocco Tunisia

Sub-Saharan Africa

Western Africa

Benin TheGambia Guinea-Bissau Mauritania Senegal

BurkinaFaso Ghana Liberia,Republicof Niger SierraLeone

CaboVerde Guinea Mali Nigeria Togo

Côted’Ivoire

Central Africa

Burundi CentralAfricanRepublic Congo EquatorialGuinea Rwanda

Cameroon Chad DemocraticRepublicoftheCongo

Gabon SãoToméandPríncipe

Eastern Africa

Comoros Ethiopia Mauritius Somalia Tanzania

Djibouti Kenya Seychelles Sudan Uganda

Eritrea Madagascar

143

TECHNICAL NOTES

Southern Africa

Angola Lesotho Mozambique SouthAfrica Zambia

Botswana Malawi Namibia Swaziland Zimbabwe

TerritoriesinAfrican.e.s.

Asia

East Asia (including Oceania)

Australia Indonesia Malaysia Samoa Tuvalu

BruneiDarussalam Japan Mongolia Singapore Vanuatu

Cambodia Kiribati Myanmar SolomonIslands VietNam

China Korea,Republicof NewZealand ChineseTaipei

Fiji LaoPeople’sDemocraticRepublic

PapuaNewGuinea Thailand

HongKong,China Macao,China Philippines Tonga

West Asia

Afghanistan Bhutan Maldives Pakistan SriLanka

Bangladesh India Nepal

OthercountriesandterritoriesinAsiaandthePacificn.e.s.

Least-developed countries (LDCs)

Afghanistan Comoros Kiribati Myanmar Tanzania

Angola DemocraticRepublicoftheCongo

LaoPeople’sDemocraticRepublic

Nepal Timor-Leste

Bangladesh Djibouti Lesotho Niger Togo

Benin EquatorialGuinea Liberia,Republicof Rwanda Tuvalu

Bhutan Eritrea Madagascar SãoToméandPríncipe Uganda

BurkinaFaso Ethiopia Malawi Senegal Vanuatu

Burundi TheGambia Maldives SierraLeone Yemen

Cambodia Guinea Mali SolomonIslands Zambia

CentralAfricanRepublic Guinea-Bissau Mauritania Somalia

Chad Haiti Mozambique Sudan

Six East Asian traders

HongKong,China Malaysia Singapore ChineseTaipei Thailand

Korea,Republicof

Regional Integration Agreements

Andean Community (CAN)

Bolivia,PlurinationalStateof

Colombia Ecuador Peru

ASEAN (Association of South East Asian Nations) / AFTA (ASEAN Free Trade Area)

BruneiDarussalam Indonesia Malaysia Philippines Thailand

Cambodia LaoPeople’sDemocraticRepublic

Myanmar Singapore VietNam

CACM (Central American Common Market)

CostaRica ElSalvador Guatemala Honduras Nicaragua

CARICOM (Caribbean Community and Common Market)

AntiguaandBarbuda Belize Guyana Montserrat SaintVincentandtheGrenadines

Bahamas Dominica Haiti SaintKittsandNevis Suriname

Barbados Grenada Jamaica SaintLucia TrinidadandTobago

CEMAC (Economic and Monetary Community of Central Africa)

Cameroon Chad Congo EquatorialGuinea Gabon

CentralAfricanRepublic


144

COMESA (Common Market for Eastern and Southern Africa)

Burundi Egypt Libya Rwanda Uganda

Comoros Eritrea Madagascar Seychelles Zambia

DemocraticRepublicoftheCongo

Ethiopia Malawi Sudan Zimbabwe

Djibouti Kenya Mauritius Swaziland

ECCAS (Economic Community of Central African States)

Angola CentralAfricanRepublic DemocraticRepublicoftheCongo

Gabon SãoToméandPríncipe

Burundi Chad EquatorialGuinea Rwanda

Cameroon Congo

ECOWAS (Economic Community of West African States)

Benin Côted’Ivoire Guinea Mali Senegal

BurkinaFaso TheGambia Guinea-Bissau Niger SierraLeone

CaboVerde Ghana Liberia,Republicof Nigeria Togo

EFTA (European Free Trade Association)

Iceland Liechtenstein Norway Switzerland

European Union (28)

Austria Denmark Hungary Malta Slovenia

Belgium Estonia Ireland Netherlands Spain

Bulgaria Finland Italy Poland Sweden

Croatia France Latvia Portugal UnitedKingdom

Cyprus Germany Lithuania Romania

CzechRepublic Greece Luxembourg SlovakRepublic

GCC (Gulf Cooperation Council)

Bahrain,Kingdomof Oman Qatar SaudiArabia,Kingdomof UnitedArabEmirates

Kuwait,theStateof

MERCOSUR (Southern Common Market)

Argentina Brazil Paraguay Uruguay BolivarianRepublicofVenezuela

NAFTA (North American Free Trade Agreement)

Canada Mexico UnitedStates

SAFTA (South Asia Free Trade Agreement)

Bangladesh India Nepal Pakistan SriLanka

Bhutan Maldives

SADC (Southern African Development Community)

Angola Lesotho Mauritius Seychelles Tanzania

Botswana Madagascar Mozambique SouthAfrica Zambia

DemocraticRepublicoftheCongo

Malawi Namibia Swaziland Zimbabwe

WAEMU (West African Economic and Monetary Union)

Benin Côted’Ivoire Mali Senegal Togo

BurkinaFaso Guinea-Bissau Niger

WTOmembersarefrequentlyreferredtoas“countries”,althoughsomemembersarenotcountriesintheusualsenseofthewordbutareofficially“customsterritories”.ThedefinitionofgeographicalandothergroupingsinthisreportdoesnotimplyanexpressionofopinionbytheSecretariatconcerningthestatusofanycountryorterritory,thedelimitationofitsfrontiers,northerightsandobligationsofanyWTOmemberinrespectofWTOagreements.Thecolours,boundaries,denominationsandclassificationsinthemapsofthepublicationdonotimply,onthepartoftheWTO,anyjudgementonthelegalorotherstatusofanyterritory,oranyendorsementoracceptanceofanyboundary.

Throughoutthisreport,SouthandCentralAmericaandtheCaribbeanisreferredtoasSouthandCentralAmerica.

Aruba;theBolivarianRepublicofVenezuela;HongKongSpecialAdministrativeRegionofChina;theRepublicofKorea;andtheSeparateCustomsTerritoryofTaiwan,Penghu,KinmenandMatsuarereferencedas:Aruba,theNetherlandswithrespectto;BolivarianRep.ofVenezuela;HongKong,China;Korea,Republicof;andChineseTaipeirespectively.

ThedatasuppliedintheWorldTradeReport2015arevalidasof31July2015.Thestatisticaldatainthispublicationaresuppliedbyandundertheresponsibilityoftherelevantstatisticalauthorities.TheuseofsuchdatabytheWTOiswithoutprejudicetothestatusoforsovereigntyoveranyterritory,ortothedelimitationofinternationalfrontiersandboundaries.2014datafortheRussianFederationareprovisional.

145

ABBREVIATIONS AND SYMBOLS

Abbreviations and symbolsADB AsianDevelopmentBank

AfDB AfricanDevelopmentBank

APEC Asia-PacificEconomicCooperation

APTFF Asia-PacificTradeFacilitationForum

ASYCUDA AutomatedSystemforCustomsData

CAREC CentralAsiaRegionalEconomicCoperation

CFTA AfricanContinentalFreeTradeArea

CGE computablegeneralequilibrium

CIS CommonwealthofIndependentStates

CPIA country,policyandinstitutionalassessment

CRS creditorreportingsystem

CVA CustomsValuationAgreement

DB DoingBusiness

ECOWAS EconomicCommunityofWestAfricanStates

EDIFACT ElectronicDataInterchangeforAdministration,CommerceandTransport

ETI EnablingTradeIndex

EU EuropeanUnion

FDI foreigndirectinvestment

GATS GeneralAgreementonTradeinServices

GATT GeneralAgreementonTariffsandTrade

GDP grossdomesticproduct

GTAP GlobalTradeAnalysisProject

GVCs globalvaluechains

HS harmonizedsystem

ICAO InternationalCivilAviationOrganization

ICT informationandcommunicationtechnology

IDB Inter-AmericanDevelopmentBank(IDB)

IMO InternationalMaritimeOrganization

IRU InternationalRoadTransportUnion

ITC InternationalTradeCentre

LDCs least-developedcountries

LPI LogisticsPerformanceIndex

MTEC MicronesianTradeandEconomicCommunity

NAFTA NorthAmericanFreeTradeAgreement

OECD OrganisationforEconomicCo-operationandDevelopment

OECS OrganizationofEasternCaribbeanStates

OSBP one-stopborderpost

PCA PrincipalComponentAnalysis

PPD public-privatedialogue

PPP purchasingpowerparity

PTA preferentialtradeagreement

RECs RegionalEconomicCommunities

RTAs regionaltradeagreements

S&D specialanddifferentialtreatment


146

SME smallandmedium-sizedenterprises

SPS sanitaryandphytosanitary

TBT technicalbarrierstotrade

TFA TradeFacilitationAgreement

TFIs TradeFacilitationIndicators

TFP totalfactorproductivity

TIACA TheInternationalAirCargoAssociation

UN UnitedNations

UNCTAD UnitedNationsConferenceonTradeandDevelopment

UNECA UnitedNationsEconomicCommissionforAfrica

UNECE UnitedNationsEconomicCommissionforEurope

UNESCAP UnitedNationsEconomicandSocialCommissionforAsiaandthePacific

UNNExT UnitedNationsNetworkofExpertsforPaperlessTrade

VAT value-addedtax

WAEMU WestAfricanEconomicandMonetaryUnion

WCO WorldCustomsOrganization

WEF WorldEconomicForum

WTO WorldTradeOrganization

WTR WorldTradeReport

Thefollowingsymbolsareusedinthispublication:

… notavailable

0 figureiszeroorbecamezeroduetorounding

- notapplicable

US$ UnitedStatesdollars

UK£ UKpound

147

LIST OF FIGURES, TABLES AND BOXES

List of figures, tables and boxesPartI Theworldeconomyandtradein2014andearly2015

Figures

Figure1: GrowthinvolumeofworldmerchandisetradeandrealGDP,2007-14 14

Figure2: Merchandiseexportandimportvolumebylevelofdevelopment,2010Q1-2015Q1 16

Figure3: MerchandiseexportandimportvolumeoftheEuropeanUnion,2010Q1-2015Q1 16

Figure4: Merchandiseexportandimportvolumebyregion,2010Q1-2015Q1 17

Figure5: Quarterlyworldexportsofmanufacturedgoodsbyproduct,2012Q1-2014Q4 18

Figure6: Trade-weightedUSdollarindex:broad,January2012–June2015 18

Figure7: Growthinthevalueofcommercialservicesexportsbyregion,2011-14 19

Figure8: Pricesofprimarycommodities,January2012–May2015 20

Figure9: ElasticityofworldmerchandisetradevolumewithrespecttoworldGDPatmarketexchangerates,1980-2014 21

Tables

Table1: MerchandisetradevolumeandrealGDPatmarketexchangerates,2010-14 21

Appendix figure

AppendixFigure1: Merchandiseexportsandimportsofselectedeconomies,January2010–April2015 22

Appendix tables

AppendixTable1: Worldmerchandisetradebyregionandselectedeconomies,2014 24

AppendixTable2: Worldcommercialservicestradebyregionandselectedcountry,2014 25

AppendixTable3: Leadingmerchandiseexportersandimporters,2014 26

AppendixTable4: Leadingmerchandiseexportersandimportersexcludingintra-EU(28)trade,2014 27

AppendixTable5: Leadingexportersandimportersofcommercialservices,2014 28

AppendixTable6: Leadingexportersandimportersofcommercialservicesexcludingintra-EU(28)trade,2014 29

PartII Speedinguptrade:benefitsandchallengesofimplementingtheWTOTradeFacilitationAgreement

A Introduction

Tables

TableA.1: Definitionsoftradefacilitation 36

B Tradefacilitationincontext

Figures

FigureB.1: TotalnumberofRTAsandRTAswithtradefacilitationprovisions 46

FigureB.2: PercentageofRTAswithtradefacilitationprovisions 47

FigureB.3: EvolutionofthenumberoftradefacilitationprovisionsinRTAs 47


148

FigureB.4: TotalnumberofNorth-North,North-SouthandSouth-Southagreementswithtradefacilitation 48

FigureB.5: Histogramofcoveragedistribution 49

Tables

TableB.1: OverviewofdisciplinesprescribedbytheTradeFacilitationAgreement 41

TableB.2: TradefacilitationmeasurescontainedinRTAsbyfrequencyofoccurrence 45

C Thetheoryandmeasurementoftradefacilitation

Figures

FigureC.1: Icebergpartialequilibriummodel 58

FigureC.2: Impactofinefficientcustomproceduresonwelfare 63

FigureC.3: AverageTFIs,EnablingTradeIndexandLogisticsPerformanceIndex 70

Tables

TableC.1: CoordinationproblembetweenMikeandLucy 64

TableC.2: CoordinationproblembetweenCountry1andCountry2 65

TableC.3: Listofindicatorsandindexes 66

TableC.4: TFIsandTFAarticles 68

TableC.5: CorrelationbetweenDoingBusinessIndicators,theLogisticsPerformanceIndex,theEnablingTradeIndexandtheTradeFacilitationIndicators 69

Boxes

BoxC.1: The“iceberg”model 58

BoxC.2: Theeffectsoftradecostsinclassicaltrademodels 59

BoxC.3. Theeffectofinefficientcustomsproceduresonaneconomy 63

BoxC.4: Coordinationproblemsexplained 64

BoxC.5: Whatisanindicatorandwhatmakesforagoodindicator? 65

D EstimatingthebenefitsoftheTradeFacilitationAgreement

Figures

FigureD.1: Compositionoftradecostsindevelopingcountries 75

FigureD.2: Dimensionsoftimeinvaluechains 76

FigureD.3: Ad valoremtariffequivalentsofexportandimporttimes 76

FigureD.4: Ad valoremtariffequivalentsoftradecostswiththemainworldimporters,2010orlatestavailableyear 77

FigureD.5: Ad valoremtariffequivalentsoftradecostsbyregionandlevelofdevelopment,2008 77

FigureD.6: Estimatedreductionsinad valoremtariffequivalenttradecostsduetoTFAimplementation 78

FigureD.7: Estimatedreductionsinad valoremtariffequivalenttradecostsduetoTFAimplementationbyregionandlevelofdevelopment 79

FigureD.8: Projectedexports2015-30,bycountrygroup 89

FigureD.9: Relationshipbetweenminimumexportsale(percountry)andtimetoexport 91

149

LIST OF FIGURES, TABLES AND BOXES

FigureD.10: SizedistributionofexportingColombianfirmsinagriculture,byleveloftransportcoststoport 92

FigureD.11: CorrelationbetweenTFIs,customstransparencyandtimepredictabilityofimportprocedures 98

Tables

TableD.1: Selectedstudiesontheeffectoftradefacilitationontradeflows 80

TableD.2: EstimatedtradeandGDPimpactsofTFAimplementation 82

TableD.3: EstimatedincreasesinexportsbylevelofdevelopmentundervariousTFAimplementationscenariosfromregression-basedsimulations 83

TableD.4: Descriptivestatisticsonexportdiversificationbylevelofdevelopment 84

TableD.5: EstimatedincreasesinthenumberofproductsbydestinationduetoTFAimplementationbylevelofdevelopment 85

TableD.6: EstimatedincreasesinthenumberofdestinationsbyproductduetoTFAimplementationbylevelofdevelopment 86

TableD.7: AdditiontoannualexportandGDPgrowthduetoTFAimplementation,byscenario 88

TableD.8: Evaluationofcustomsandtraderegulationsasobstaclestotrade,bysizeofexporter 91

TableD.9: Delayedentryofcustomsassessments 97

Boxes

BoxD.1: Derivingtradecostsfromtradeflows 74

BoxD.2: MainelementsofMIRAGE 87

BoxD.3: Tradefacilitation,FDIandmarketsize 94

BoxD.4: ASYCUDAandtheimpactofcustomsperformancemeasurement 96

Appendix tables

AppendixTableD.1: Intensivemargin:regressionresults 101

AppendixTableD.2: Extensivemargin:regressionresults 102

AppendixTableD.3: EstimatedincreasesinthenumberofproductsbydestinationduetoTFAimplementationbygeographicregion 103

AppendixTableD.4: EstimatedincreasesinthenumberofdestinationsbyproductduetoTFAimplementationbygeographicregion 104

AppendixTableD.5: Foreigndirectinvestmentandtradefacilitationregressionresults 105

AppendixTableD.6: TFI,customstransparencyandtimepredictabilityofimportproceduresregressionresults 105

E ThechallengesofimplementingtheTradeFacilitationAgreement

Figures

FigureE.1: TopfivemostandleastnotifiedTFAprovisionsunderCategoryAcommitments 110

FigureE.2: LevelsofTFAimplementationimpliedbyCategoryAcommitments 111

FigureE.3: RankingoftradefacilitationinAidforTradeprioritiesoflandlockedcountriesandsmallislanddevelopingstates,2015 112

FigureE.4: RankingoftradefacilitationinAidforTradeprioritiesofpartnercountriesbygeographicregion,2015 112


150

FigureE.5: RankingoftradefacilitationinAidforTradeprioritiesofpartnercountriesbyincomegroup,2015 113

FigureE.6: Tradefacilitationcommitmentsanddisbursementsofaiddonorsbypartnercountrygroup,2005-13 113

FigureE.7: AnticipatedimpactofTFAimplementationontradecosts,alldevelopingcountryrespondents 114

FigureE.8: ImpactofTFAontradecostsanticipatedbylandlockedandsmallislandstates,surveyresponses 115

FigureE.9: WhichdisciplinesoftheTradeFacilitationAgreementwillprovehardesttoimplement? 115

FigureE.10: Tradefacilitationandbroaderpolicyinitiatives 117

FigureE.11: Distributionofthedataontradefacilitationimplementationcostsbyregionandarea 119

FigureE.12: Implementationcostsoftradefacilitation,customsandtransportfacilitationreforms 120

FigureE.13: Implementationcostsoftradefacilitationreformrelatedtotransparencyandpredictability 120

FigureE.14: Implementationcostsoftradefacilitationreformrelatedtoreleaseandclearanceofgoods 121

FigureE.15: Implementationcostsoftradefacilitationreformrelatedtoformalitiesanddocumentationrequirements 122

FigureE.16: Implementationcostsoftradefacilitationreformsrelatedtocustomsandborderagencycooperation 123

FigureE.17: Distributionofthetradefacilitationcasestoriesbyregionsandareas 128

FigureE.18: Mainsuccessfactorsreportedincasestoriesontradefacilitation 128

FigureE.19: Stakeholdersintradefacilitationreform 130

Boxes

BoxE.1: CategoryAcommitmentsundertheTFA 110

BoxE.2: ObstaclestoestimatingtheimplementationcostoftheTFA 124

BoxE.3: Theeconomicrationaleforspecialanddifferentialtreatment 125

BoxE.4: WhattheTradeFacilitationAgreementFacilitydoes 126

151

WTO MEMBERS

WTO members*

(Asof7August2015)

AlbaniaAngolaAntiguaandBarbudaArgentinaArmeniaAustraliaAustriaBahrain,KingdomofBangladeshBarbadosBelgiumBelizeBeninBolivia,PlurinationalStateofBotswanaBrazilBruneiDarussalamBulgariaBurkinaFasoBurundiCaboVerdeCambodiaCameroonCanadaCentralAfricanRepublicChadChileChinaColombiaCongoCostaRicaCôted’IvoireCroatiaCubaCyprusCzechRepublicDemocraticRepublicoftheCongoDenmarkDjiboutiDominicaDominicanRepublicEcuadorEgyptElSalvadorEstoniaEuropeanUnionFijiFinlandFranceGabonTheGambiaGeorgiaGermanyGhana

GreeceGrenadaGuatemalaGuineaGuinea-BissauGuyanaHaitiHondurasHongKong,ChinaHungaryIcelandIndiaIndonesiaIrelandIsraelItalyJamaicaJapanJordanKenyaKorea,RepublicofKuwait,theStateofKyrgyzRepublicLaoPeople’sDemocraticRepublicLatviaLesothoLiechtensteinLithuaniaLuxembourgMacao,ChinaMadagascarMalawiMalaysiaMaldivesMaliMaltaMauritaniaMauritiusMexicoMoldova,RepublicofMongoliaMontenegroMoroccoMozambiqueMyanmarNamibiaNepalNetherlandsNewZealandNicaraguaNigerNigeriaNorwayOman

PakistanPanamaPapuaNewGuineaParaguayPeruPhilippinesPolandPortugalQatarRomaniaRussianFederationRwandaSaintKittsandNevisSaintLuciaSaintVincentandtheGrenadinesSamoaSaudiArabia,KingdomofSenegalSeychellesSierraLeoneSingaporeSlovakRepublicSloveniaSolomonIslandsSouthAfricaSpainSriLankaSurinameSwazilandSwedenSwitzerlandChineseTaipeiTajikistanTanzaniaThailandTheformerYugoslavRepublic ofMacedonia(FYROM)TogoTongaTrinidadandTobagoTunisiaTurkeyUgandaUkraineUnitedArabEmiratesUnitedKingdomUnitedStatesofAmericaUruguayVanuatuVenezuela,BolivarianRepublicofVietNamYemenZambiaZimbabwe

*WTOmembersformallyadoptedKazakhstan’sWTOtermsofentryinJuly2015.Kazakhstanwillbecomeamember30daysafteritnotifiesitsratificationtotheWTO.


152

Previous World Trade ReportsTrade and development: recent trends and the role of the WTO

2014

ISBN 978-92-870-3912-5

The World Trade Report 2014 looks at four major trends that have changed the relationship between trade and development since the start of the millennium: the economic rise of developing economies, the growing integration of global production through supply chains, the higher prices for agricultural goods and natural resources, and the increasing interdependence of the world economy.

Many developing countries have experienced unprecedented growth and have integrated increasingly into the global economy, thereby opening opportunities for countries still lagging behind. However, important barriers still remain.

Integration into global value chains can make industrialization in developing countries easier to achieve. Upgrading to higher-value tasks within these supply chains can support further growth. But competitive advantage can be lost more easily, and achieving such upgrading can be challenging.

Higher prices for agricultural goods and natural resources have helped some developing countries achieve strong growth. But higher prices can cause strains for net importers of these goods.

Growing interdependence within the global economy allows countries to benefit more quickly from growth in other parts of the world. But it can also cause challenges as crises can be quickly transmitted across borders.

Many developing countries still have a long way to go in addressing their development challenges. The multilateral trading system provides developing countries, and particularly least-developed countries, with unique opportunities to do so. Further progress in the Post-Bali Agenda would therefore be important to making trade work more effectively for development.

World Trade Report 2014

World

Trad

e Rep

ort 20

14

T

rade an

d d

evelopm

ent: recen

t trend

s and

the role of th

e WT

OImages (front and back covers)

Jean-Claude Prêtre, DANAÉ WORLD SUITE, 2001.In this series (from which two prints are reproduced here), the artist wishes symbolically to portray a “movement” towards geopolitical peace. The full collection of 49 works is on display at the WTO. For more information, please visit the artist’s website at www.jcpretre.ch.


Trade and development: recent trends and the role of the WTO

The World Trade Report 2014 looks at four major trends that have changed therelationship between trade and development since the start of the millennium:the economic rise of developing economies, the growing integration of globalproduction through supply chains, the higher prices for agricultural goods andnaturalresources,andtheincreasinginterdependenceoftheworldeconomy.

Factors shaping the future of world trade

2013

World Trade Report

2013 Factors shaping the future of world trade

ISBN: 978-92-870-3859-3

9 7 8 9 2 8 7 0 3 8 5 9 3

ISBN 978-92-870-3859-3

The world is changing with extraordinary rapidity, driven by many influences, including shifts in production and consumption patterns, continuing technological innovation, new ways of doing business and, of course, policy. The World Trade Report 2013 focuses on how trade is both a cause and an effect of change and looks into the factors shaping the future of world trade.

One of the most significant drivers of change is technology. Not only have revolutions in transport and communications transformed our world but new developments, such as 3D printing, and the continuing spread of information technology will continue to do so. Trade and foreign direct investment, together with a greater geographical spread of income growth and opportunity, will integrate a growing number of countries into more extensive international exchange. Higher incomes and larger populations will put new strains on both renewable and non-renewable resources, calling for careful resource management. Environmental issues will also call for increasing attention.

Economic and political institutions along with the interplay of cultural customs among countries all help to shape international cooperation, including in the trade field. The future of trade will also be affected by the extent to which politics and policies successfully address issues of growing social concern, such as the availability of jobs and persistent income inequality. These and other factors are all examined in the World Trade Report 2013.


Images (front and back covers)

Jean-Claude Prêtre, DANAÉ WORLD SUITE, 2001.In this series (from which two prints are reproduced here), the artist wishes symbolically to portray a “movement” towards geopolitical peace. The full collection of 49 works is on display at the WTO. For more information, please visit the artist’s website at www.jcpretre.ch.

World

Trad

e Rep

ort 20

13

Factors sh

apin

g th

e futu

re of world

trade

TheWorld Trade Report 2013 looksatwhathasshapedglobal trade in thepastand reviews how demographic change, investment, technological progress,developments in the transport and energy/natural resource sectors, as well astrade-relatedpoliciesandinstitutions,willaffectinternationaltrade.

Trade and public policies: a closer look at non-tariff measures in the 21st century

2012

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The World Trade Report 2012 ventures beyond tariffs to examine other policy measures that can affect trade. Regulatory measures for trade in goods and services raise new and pressing challenges for international cooperation in the 21st century. More than many other measures, they reflect public policy goals (such as ensuring the health, safety and well-being of consumers) but they may also be designed and applied in a manner that unnecessarily frustrates trade. The focus of this report is on technical barriers to trade (TBT), sanitary and phytosanitary (SPS) measures (concerning food safety and animal/plant health) and domestic regulation in services.

The Report examines why governments use non-tariff measures (NTMs) and services measures and the extent to which these measures may distort international trade. It looks at the availability of information on NTMs and the latest trends concerning usage. The Report also discusses the impact that NTMs and services measures have on trade and examines how regulatory harmonization and/or mutual recognition of standards may help to reduce any trade-hindering effects.

Finally, the Report discusses international cooperation on NTMs and services measures. It reviews the economic rationale for such cooperation and discusses the efficient design of rules on NTMs in a trade agreement. It examines how cooperation has occurred on TBT/SPS measures and services regulation in the multilateral trading system, and within other international forums and institutions. A legal analysis is provided regarding the treatment of NTMs in WTO dispute system and interpretations of the rules that have emerged in recent international trade disputes. The Report concludes with a discussion of outstanding challenges and key policy implications.

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Trade and public policies: A closer look at non-tariff measures in the 21st century Regulatory measures for trade in goods and services raise challenges for

internationalcooperationinthe21stcentury.TheWorld Trade Report 2012examineswhygovernmentsusenon-tariffmeasuresandservicesmeasuresandtheextenttowhichthesemeasuresmaydistortinternationaltrade.

The WTO and preferential trade agreements: from co-existence to coherence

2011


The WTO and preferential trade agreements: From co-existence to coherence

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The ever-growing number of preferential trade agreements (PTAs) is a prominent feature of international trade. The World Trade Report 2011 describes the historical development of PTAs and the current landscape of agreements. It examines why PTAs are established, their economic effects, and the contents of the agreements themselves. Finally it considers the interaction between PTAs and the multilateral trading system.

Accumulated trade opening – at the multilateral, regional and unilateral level – has reduced the scope for offering preferential tariffs under PTAs. As a result, only a small fraction of global merchandise trade receives preferences and preferential tariffs are becoming less important in PTAs.

The report reveals that more and more PTAs are going beyond preferential tariffs, with numerous non-tariff areas of a regulatory nature being included in the agreements.

Global production networks may be prompting the emergence of these “deep” PTAs as good governance on a range of regulatory areas is far more important to these networks than further reductions in already low tariffs. Econometric evidence and case studies support this link between production networks and deep PTAs.

The report ends by examining the challenge that deep PTAs present to the multilateral trading system and proposes a number of options for increasing coherence between these agreements and the trading system regulated by the WTO.

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Theever-growingnumberofpreferential tradeagreements(PTAs) isaprominentfeature of international trade. The Report describes the historical developmentof PTAs and the current landscape of agreements. It examines why PTAs areestablished, their economiceffects, the contentsof theagreements themselves,andtheinteractionbetweenPTAsandthemultilateraltradingsystem.

Trade in natural resources

2010

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The World Trade Report 2010 focuses on trade in natural resources, such as fuels, forestry, mining and fisheries. The Report examines the characteristics of trade in natural resources, the policy choices available to governments and the role of international cooperation, particularly of the WTO, in the proper management of trade in this sector.

A key question is to what extent countries gain from open trade in natural resources. Some of the issues examined in the Report include the role of trade in providing access to natural resources, the effects of international trade on the sustainability of natural resources, the environmental impact of resources trade, the so-called natural resources curse, and resource price volatility.

The Report examines a range of key measures employed in natural resource sectors, such as export taxes, tariffs and subsidies, and provides information on their current use. It analyses in detail the effects of these policy tools on an economy and on its trading partners.

Finally, the Report provides an overview of how natural resources fit within the legal framework of the WTO and discusses other international agreements that regulate trade in natural resources. A number of challenges are addressed, including the regulation of export policy, the treatment of subsidies, trade facilitation, and the relationship between WTO rules and other international agreements.

“I believe not only that there is room for mutually beneficial negotiating trade-offs that encompass

natural resources trade, but also that a failure to address these issues could be a recipe for

growing tension in international trade relations. Well designed trade rules are key to ensuring

that trade is advantageous, but they are also necessary for the attainment of objectives such as

environmental protection and the proper management of natural resources in a domestic setting.”

Pascal Lamy, WTO Director-General

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TheWorld Trade Report 2010focusesontradeinnaturalresources,suchasfuels,forestry, mining and fisheries. The Report examines the characteristics of tradeinnatural resources, thepolicy choicesavailable togovernmentsand the roleofinternational cooperation, particularly of the WTO, in the proper management oftradeinthissector.

Trade policy commitments and contingency measures

2009


World Trade Report The World Trade Report is an annual publication that aims to deepen understanding about trends in trade, trade policy issues and the multilateral trading system. The theme of this year’s Report is “Trade policy commitments and contingency measures”. The Report examines the range of contingency measures available in trade agreements and the role that these measures play. Also referred to as escape clauses or safety valves, these measures allow governments a certain degree of flexibility within their trade commitments and can be used to address circumstances that could not have been foreseen when a trade commitment was made. Contingency measures seek to strike a balance between commitments and flexibility. Too much flexibility may undermine the value of commitments, but too little may render the rules unsustainable. The tension between credible commitments and flexibility is often close to the surface during trade negotiations. For example, in the July 2008 mini-ministerial meeting, which sought to agree negotiating modalities – or a final blueprint – for agriculture and non-agricultural market access (NAMA), the question of a “special safeguard mechanism” (the extent to which developing countries would be allowed to protect farmers from import surges) was crucial to the discussions. One of the main objectives of this Report is to analyze whether WTO provisions provide a balance between supplying governments with necessary flexibility to face difficult economic situations and adequately defining them in a way that limits their use for protectionist purposes. In analyzing this question, the Report focuses primarily on contingency measures available to WTO members when importing and exporting goods. These measures include the use of safeguards, such as tariffs and quotas, in specified circumstances, anti-dumping duties on goods that are deemed to be “dumped”, and countervailing duties imposed to offset subsidies. The Report also discusses alternative policy options, including the renegotiation of tariff commitments, the use of export taxes, and increases in tariffs up to their legal maximum ceiling or binding. The analysis includes consideration of legal, economic and political economy factors that influence the use of these measures and their associated benefits and costs.

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Cover photos (from left to right): Image copyright Quayside, 2009; Image copyright Christian Lagerek, 2009; Image copyright Guido Vrola, 2009;

The2009Reportexaminestherangeandroleofcontingencymeasuresavailableintradeagreements.OneoftheReport’smainobjectivesistoanalysewhetherWTOprovisionsprovideabalancebetweensupplyinggovernmentswith thenecessaryflexibility to facedifficulteconomicsituationsandadequatelydefining these inawaythatlimitstheiruseforprotectionistpurposes.

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Trade in a globalizing world

2008

Trade in a Globalizing World


World Trade Report The World Trade Report is an annual publication that aims to deepen understanding about trends in trade, trade policy issues and the multilateral trading system.

International trade is integral to the process of globalization. Over many years, governments in most countries have increasingly opened their economies to inter-national trade, whether through the multilateral trading system, increased regional cooperation or as part of domestic reform programmes. Trade and globalization more generally have brought enormous benefits to many countries and citizens. Trade has allowed nations to benefit from specialization and to produce more efficiently. It has raised productivity, supported the spread of knowledge and new technologies, and enriched the range of choices available to consumers. But deeper integration into the world economy has not always proved to be popular, nor have the benefits of trade and globalization necessarily reached all sections of society. As a result, trade scepticism is on the rise in certain quarters.

The purpose of this year’s Report, whose main theme is “Trade in a Globalizing World”, is to remind ourselves of what we know about the gains from international trade and the challenges arising from higher levels of integration. The Report addresses a range of interlinking questions, starting with a consideration of what constitutes globalization, what drives it, what benefits does it bring, what challenges does it pose and what role does trade play in this world of ever-growing inter-dependency. The Report asks why some countries have managed to take advantage of falling trade costs and greater policy-driven trading opportunities while others have remained largely outside international commercial relations. It also considers who the winners and losers are from trade and what complementary action is needed from policy-makers to secure the benefits of trade for society at large. In examining these complex and multi-faceted questions, the Report reviews both the theoretical gains from trade and empirical evidence that can help to answer these questions.

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The 2008 Report provides a reminder of what we know about the gains frominternational trade and highlights the challenges arising from higher levels ofintegration.Itaddressesthequestionofwhatconstitutesglobalization,whatdrivesit,whatbenefitsitbrings,whatchallengesitposesandwhatroletradeplaysinthisworldofever-growinginter-dependency.

Sixty years of the multilateral trading system: achievements and challenges

2007

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2007WORLD TRADE REPORT On1January2008themultilateraltradingsystemcelebratedits60thanniversary.

TheWorld Trade Report 2007celebratesthislandmarkanniversarywithanin-depthlookattheGeneralAgreementonTariffsandTrade(GATT)anditssuccessortheWorldTradeOrganization—theirorigins,achievements,thechallengestheyhavefacedandwhatthefutureholds.

Exploring the links between subsidies, trade and the WTO

2006

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The World Trade Report 2006 focuses on how subsidies are defined, whateconomictheorycantellusaboutsubsidies,whygovernmentsusesubsidies,themost prominent sectors in which subsidies are applied and the role of the WTOAgreementinregulatingsubsidiesininternationaltrade.TheReportalsoprovidesbriefanalyticalcommentariesoncertaintopicaltradeissues.

Trade, standards and the WTO

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The World Trade Report 2005 seeks to shed light on the various functions andconsequencesofstandards,focusingontheeconomicsofstandardsininternationaltrade,theinstitutionalsettingforstandard-settingandconformityassessment,andtheroleofWTOagreementsinreconcilingthelegitimatepolicyusesofstandardswithanopen,non-discriminatorytradingsystem.

Coherence

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TheWorld Trade Report 2004focusesonthenotionofcoherenceintheanalysisofinterdependentpolicies:theinteractionbetweentradeandmacroeconomicpolicy,the role of infrastructure in trade and economic development, domestic marketstructures,governanceandinstitutions,andtheroleofinternationalcooperationinpromotingpolicycoherence.

Trade and development

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The World Trade Report 2003 focuses on development. It explains the origin ofthis issue and offers a framework within which to address the question of therelationshipbetweentradeanddevelopment,therebycontributingtomoreinformeddiscussion.

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