JANUARY 4, 2021

The first day back at work at the WTO.

What’s happened to the UK’s commitments (“schedules”) on goods (tariffs, tariff quotas, farm support) and services in the WTO now that the Brexit transition is over, and the UK no longer applies the EU’s commitments?

1/12

NEW UK DOCUMENT

The UK has circulated a new document outlining the latest situation with the commitments on goods and services, various agreements, applied tariffs and preferences (GSP, UK-EU deal), WTO dispute settlement, trade remedies, laws

https://docs.wto.org/dol2fe/Pages/SS/directdoc.aspx?filename=q:/WT/GC/226.pdf&Open=True

2/12

GOODS
Tariffs, tariff quotas, farm support

The UK is now applying the commitments it proposed in 2018 with amendments in May and Dec 2020 (correcting errors) even though they have not been agreed.

5 rounds of talks. Some agreement, or “close” to

https://docs.wto.org/dol2fe/Pages/SS/directdoc.aspx?filename=q:/WT/GC/226.pdf&Open=True

3/12

SERVICES

The UK is now also applying its proposed commitments on services. These have not been agreed either, but only one other country (understood to be Russia) is in negotiations with the UK. The rest have not raised objections.

https://docs.wto.org/dol2fe/Pages/SS/directdoc.aspx?filename=q:/WT/GC/226.pdf&Open=True

4/12

AGREEMENTS

The UK confirms accession/ratification in its own right

● Government Procurement
● intellectual property (amendment)
● Trade Facilitation
● Civil Aircraft
● information technology products (duty-free)
● pharma products (duty-free)

https://docs.wto.org/dol2fe/Pages/SS/directdoc.aspx?filename=q:/WT/GC/226.pdf&Open=True

5/12

The rest of the WTO agreements were signed by the UK itself, as well as the EU, so no need to do anything.

But the UK has notified that it is now responsible for the affairs of two bailiwicks in the WTO—Guernsey and Jersey.

Does anyone know why?

https://docs.wto.org/dol2fe/Pages/SS/directdoc.aspx?filename=q:/WT/GC/226.pdf&Open=True

6/12

TARIFFS

(3.1) The UK “Global Tariff” applies tariffs (which can be below the binding commitments) on imports from countries without preferences (ie “MFN”).

The UK informs WTO members that it will apply these, but not a formal “notification”

https://docs.wto.org/dol2fe/Pages/SS/directdoc.aspx?filename=q:/WT/GC/226.pdf&Open=True

7/12

PREFERENCES

(3.2) The UK tells WTO members it is sticking to preferences for developing countries previously given under the EU’s Generalised Scheme of Preferences

(GSPs come from UNCTAD which uses S=System. For some reason UK/EU use S=Scheme)

https://docs.wto.org/dol2fe/Pages/SS/directdoc.aspx?filename=q:/WT/GC/226.pdf&Open=True

8/12

FREE TRADE AGREEMENTS (1)

(3.3) The UK will formally notify its free trade agreements [continuity deals + 2] as required. These will be discussed in the WTO Regional Trade Agreements Committee (for transparency only—approval not needed)

https://docs.wto.org/dol2fe/Pages/SS/directdoc.aspx?filename=q:/WT/GC/226.pdf&Open=True

9/12

FREE TRADE AGREEMENTS (2)

(3.4, 3.5) The two that are not a continuity agreements are

● the UK-EU post-Brexit agreement. Only the trade parts are relevant to the WTO—not even the fishing rights
● the Withdrawal Agreement with Irish Protocol

https://docs.wto.org/dol2fe/Pages/SS/directdoc.aspx?filename=q:/WT/GC/226.pdf&Open=True

10/12

WTO DISPUTE SETTLEMENT
The UK says it can participate as itself instead of through the EU

REMEDIES
The UK now has its own system, notified to the committees on anti-dumping, subsidies and safeguards. Measures applied by the EU: retained & reviewed

https://docs.wto.org/dol2fe/Pages/SS/directdoc.aspx?filename=q:/WT/GC/226.pdf&Open=True

11/12

EU LAWS ETC

Many EU laws have been “mirrored” in UK law. There will be modifications. The UK will notify members through the WTO committees as required.

https://docs.wto.org/dol2fe/Pages/SS/directdoc.aspx?filename=q:/WT/GC/226.pdf&Open=True

12/12