ABSTRACT
Nontariff barriers (NTBs) have gained increasing prominence as commercial and diplomatic issues. The significant reductions in tariffs achieved during a succession of General Agreement on Tariffs and Trade-sponsored trade negotiations exposed NTBs previously obscured by high tariff levels. NTBs have gained a more important role as instruments that can be used by governments to promote the growth and international competitiveness of specific, targeted sectors. NTBs are less constrained by international trade law than are tariffs, are more subtle in their application and potentially more restrictive than tariffs in their effect. NTBs often force US companies to license their products in foreign countries or to enter joint ventures with local partners. A long-range strategy for negotiations to remove NTBs should be developed by USTR. This should give NTBs more of a professional emphasis and underscore the long-term goals of trade liberalization and their benefits for US firms. The US Trade Representative should focus on negotiations to remove the most troublesome NTBs.
