TECHNICAL BARRIERS TO TRADE

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Medical devices and new vehicle technologies

The discussions among members highlighted the importance of cooperation between regulatory authorities in two sectors with rapid advances in technological innovation: autonomous vehicles and medical devices.

Members noted that cooperation in these sectors, where regulations have not been fully developed, could be especially valuable and trade facilitating for exporters. They highlighted the importance of following relevant international standards and establishing guidance to promote regulatory compatibility between members. In addition, it was pointed out that following the principle of good regulatory practices helps avoid unnecessary trade barriers, while at the same time allowing members to effectively achieve their public policy objectives, such as safety and environmental protection.

More information on the discussions, including presentations and a webcast of the meeting, is available here.

Conformity assessment results

Members shared their experiences and case studies on the way they accept conformity assessment results (tests, certificates) from other members. Specific sectors discussed included toys, medical devices, machinery and electrical and electronic devices. They also discussed challenges related to accepting these results. More information on the discussions, including presentations and a webcast, is available here.

Record number of notifications in 2019

The WTO Secretariat reported a record number of TBT notifications of new or changed measures in 2019, with over 3,330 such notifications circulated by 93 members. It was noted that 63% of notifications were from developing members. More detail — including on specific trade concerns (STCs) — can be found in the 25th Annual Review of the Implementation and the Operation of the TBT Agreement (G/TBT/44).

Specific trade concerns

At the regular meeting of the TBT Committee, WTO members discussed 64 specific trade concerns, including 12 new ones.  A full list of the trade concerns is available here.

Members used a new online system, eAgenda, to simplify the process of raising STCs for the meeting.  Around 90% of STCs were submitted using  this system.

A brief summary of new STCs is provided below. (For more information on previous trade concerns, see the 12-13 November 2019, 18-19 June 2019,  6-7 March 2019  meeting summaries.)

Mexico — Labelling of pre-packed food and non-alcoholic beverages

Several members expressed concern about a draft Mexican regulation setting out nutrition labelling requirements for pre-packaged food and non-alcoholic beverages. The European Union, the United States, Switzerland, Costa Rica and Guatemala said that the proposal restricts trade more than necessary — although they recognize the importance of promoting public health and empowering consumers to make informed decisions. These countries are concerned, among other things, about the mandatory nature of the measure and how the proposal treats various types of nutritional information (e.g. on dietary fibres, added sugars, trans‑fat). They are also concerned that the requirements are not aligned with relevant Codex standards. Mexico was requested to provide an adequate transition period to allow industry to adapt.

Mexico said that the proposed regulation was introduced in order to address an obesity epidemic. The proposal had been subject to public consultations, which concluded in December 2019. Thousands of comments had been received from both national and international stakeholders. Following the consultations, in January 2020, a revised proposal had been agreed by the relevant Mexican authorities. The revised version would shortly be published in Mexico's Official Gazette.

Colombia — Maximum sodium (salt) levels in agricultural products

A concern was expressed about proposed maximum sodium (salt) levels for agricultural products in Colombia. While supporting Colombia's efforts to promote public health, the United States and Guatemala expressed concern that the measure did not consider the functional role of sodium; they also questioned the scientific basis for the regulation. They said the mandatory nature of the requirements could, potentially, lead to unnecessary restrictions on trade.

In response, Colombia emphasized that the measure aims to promote public health through consumer education. The objective is to reduce excessive intake of salt. Nevertheless, the proposal would not prohibit the sale of products that exceeded the limits but would instead put in place penalties. Scientific evidence had suggested that a voluntary approach (self-regulation) would not achieve a sufficient impact. In addition, Colombia noted that industry had been consulted on the matter.

United States — Toxic chemicals in children's products

Members discussed a measure introduced by the State of New York (United States) concerning the regulation of toxic chemicals in children's products. The European Union said that it appeared to entail an additional layer of requirements beyond the rules already in force at federal and state levels in the United States. In addition, the EU noted that the procedures for the listing of chemicals were not in line with good regulatory practices. The United States was requested to provide for an adequate transition period to allow industry to adapt.

The United States said that it was working with the State of New York on the matter and encouraged members to submit comments on the notification.

China — Regulation of overseas producers of imported foods

Potential new Chinese requirements affecting food products exported to China was raised as a concern by several members. Chinese authorities are considering (the regulation is still at the draft phase) additional certification procedures. Members expressing concern included Mexico, the Republic of Korea, Switzerland, the United States, Japan, the European Union and Chinese Taipei. They are seeking assurances that any additional certification procedures would not create additional burdens for exporters, and that any associated risk assessment be based on science. China was asked to notify the measure and allow for feedback from stakeholders. Mexico asked China to clarify whether the proposal would also cover alcoholic beverages; there was concern in Mexico that Tequila would be classified as a “high risk product”.

China emphasized that the measure was still in the drafting process and would be notified to the Committee with enough time for comments to be made. It was noted that the measure was being developed in response to an increase in trade.

Russian Federation — Law on Protecting Consumer Rights

Some members expressed concern about a proposed measure that would require the pre-installation of Russian software in technically complex goods sold in Russia. The United States, Japan and the European Union were concerned, among other things, about the rationale for the pre-installation requirement, possible discriminatory aspects of the measure, its proportionality and the absence of a notification (and associated 60‑day comment period). The US said that the measure appeared to be a technical regulation as defined by the TBT Agreement because it set out “product characteristics” with which compliance was mandatory. Further clarification was sought on the scope of the term “technically complex goods”.

The Russian Federation said that the proposed measure fell outside the scope of the TBT Agreement and that the TBT Committee was not the appropriate forum to discuss it. The proposed measure was not a technical regulation because it did not provide for requirements on “product characteristics”, nor did it prescribe “production methods”. It also did not set out any conformity assessment procedures. Russia also said that the proposal was non‑discriminatory and would not cause any negative impact on international trade.

India — Food safety standards

The United States and the European Union expressed concern with India's recent draft measure on labelling for food products. The regulation requires front of package nutritional information on food products and a warning on alcoholic beverages.  The US said that the proposed measure would affect the export of processed products, including alcoholic beverages, and would create consumer confusion. The US urged India to notify any changes to the labelling requirements to the TBT Committee. The EU urged India to align the provision with Codex standards of labelling for pre-packaged foods and nutrition labelling. The EU asked for a longer transition period to allow industry to adapt to the new measures.

India said that members' comments had been considered and that front of package labelling requirements had been removed from the draft measure, which would be re‑notified to the Committee. Regarding warning labels on alcoholic beverages, India said that these were based on recommendations by the World Health Organization and Codex.

EU — Organic production and labelling of organic products

A proposed measure by the European Union which introduces changes to the regulatory framework for the production and labelling of organic products drew reactions from several members. The Dominican Republic, Canada, Panama, Paraguay, Peru, Ecuador, Chile and Colombia expressed concerns about various parts of the regulation. The regulation required, it was noted, that a control certification and Certificate of Inspection be issued before the shipment was due to leave the country of origin and that it had to be approved by the authorities in the country of export. Furthermore, group certification would not be accepted any more. This would impact small producers who would have to bear the burden of the cost of individual certificates.

Concerned members were of the view that the measure could potentially cause administrative and financial ramifications for organic food exporters to the European Union. The EU was urged to notify any changes to its regulations to the Committee in order to allow time for comments.

The EU said that discussions were ongoing with EU member states. Nevertheless, organic products entering the EU market had to comply with EU organic production rules, including provisions on group certification. The EU would take into consideration the comments of members in the ongoing discussions.

Kingdom of Saudi Arabia — Conformity assessment online system

The European Union and Switzerland expressed concern with an online certification system for a conformity assessment safety platform (Saber Conformity Assessment Online Platform / Saleem Product Safety Program) launched by Saudi Arabia. The system was designed to help exporters obtain a Gulf Cooperation Council conformity tracking symbol from a certified body and required all products to be registered on the online platform. Members noted that the system was having a negative impact on the import of products — especially toys and ceramics — because it was burdensome for exporters.

The Kingdom of Saudi Arabia said that the purpose of the platform was to evaluate the conformity of products before shipment, and to reduce the clearance time at the border. It was in response to a growing number of instances of non-compliance on the market. The procedures were applied in the same manner to local and foreign manufacturers, and the measure had been notified to the WTO in line with transparency obligations.

Mongolia — Enrichment of agriculture products with vitamins

The Russian Federation sought clarification regarding a measure introduced by Mongolia involving mandatory requirements for wheat flour enrichment. Russia asked if the measure was consistent with relevant international standards and said that there was not enough time between the publication of the regulation and its entry into force to give producers an opportunity to adapt.

Mongolia said that all information related to the new regulation was available on the website of the Ministry of Food, Agriculture and Light Industry of Mongolia.

France — Labelling of radio equipment

China expressed concern with a new regulation that requires the display of the standard absorption rate (SAR) of radio terminal equipment in France. While China respected the objective of protecting human health and safety, it urged France to remove the requirement as it could lead to consumer confusion and added unnecessary costs. France was requested to postpone the implementation of the requirement for 12 months to allow industry to adapt.

The EU said that the regulation was a response to requests from consumer organizations regarding public exposure to radio equipment. The entry into force was set for July 2020.

Peru — Advertising warnings of food products

Several members expressed concern about a new Peruvian measure that would ban the use of adhesive labels for food and beverages to comply with labelling requirements on advertising warnings. Costa Rica, Chile, the United States, Brazil, Colombia, the European Union, Guatemala and Korea said that this change would create an unnecessary barrier to trade and would place a burden on small business to adjust. Peru was urged to modify the measure to allow for the use of less trade restrictive alternatives, such as stickers.

Peru said the measure sought to achieve the legitimate objective of protecting public health, especially of the most vulnerable members of the population, and of providing adequate information to consumers.

Kingdom of Saudi Arabia — Electrical clothes washing machines

Korea expressed its concern about a new regulation in the Kingdom of Saudi Arabia that stipulated temperature requirements when testing the performance of washing machines. Korea said that the requirement was not in line with international standards and urged Saudi Arabia to notify the measure to the Committee.

The Kingdom of Saudi Arabia said that it was willing to discuss the matter bilaterally.

Commemorative event

The Chair Mr Sung-hwa Jang (Republic of Korea) announced the WTO Secretariat's intention to organize an event this year commemorating the 40th anniversary of the “original” TBT Agreement — known as the “Standards Code”.

The event will take place on 30 October, immediately after the conclusion of the Committee's last formal meeting of the year. It will unite former and current TBT negotiators, scholars and stakeholders to look back at the past 40 years, to consider current issues and to look ahead to challenges in the future.

The event will be open to the public and webcast.

More information will be available in due course.

Next meeting

12 - 14 May 2020

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