Question

Which of the following is NOT an example of non-tariff barriers?

• A. Voluntary export restraint
• B. A procurement law directing a government to buy domestically made products unless comparable foreign made products are substantially cheaper.
• C. Imposition of sanitary and phytosanitary measures on agricultural produce.
• D. An antidumping law

Hint:

NTBs are indirect restrictions like quotas, standards, or domestic preference laws; antidumping laws are a separate trade defense mechanism.

Answer 1

The Correct Option is D

Step 1: Definition of non-tariff barriers (NTBs).
Non-tariff barriers are trade restrictions that are not in the form of tariffs (taxes on imports). They include quotas, licenses, standards, and regulations that indirectly restrict trade.
Step 2: Examine each option.
- (A) Voluntary export restraint: A classic NTB where exporting countries limit shipments voluntarily.
- (B) Procurement law favoring domestic goods: This is also an NTB since it discriminates against foreign producers.
- (C) Sanitary and phytosanitary measures: These are NTBs applied on agricultural imports, often under health and safety standards.
- (D) Antidumping law: This is a trade remedy against unfair pricing (dumping) and not categorized as a non-tariff barrier.
Thus, the correct answer is (D).