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What is TBT?

TBT is short for the Agreement on Technical Barriers to Trade

Technical Barriers to Trade
Notifying Organizations

The World Trade Organization (WTO) is the international body where nation states negotiate the rules of trade between themselves. The focus of these negotiations is to reduce barriers to the international trade of agricultural and manufactured products (GATT), services (GATS), and intellectual property (TRIPS).

Barriers to trade are mechanisms devised by national governments to give the producers of their own nation an advantage in domestic markets over the imports from other nations.

The Agreement on Technical Barriers to Trade (TBT) was adopted as part of the GATT 1994 revisions. All products (including industrial and agricultural products) fall within the scope of TBT, but services do not. Also excluded are sanitary and phytosanitary products and government procurement, for which there are separate agreements.

TBT recognizes the right of governments to regulate the products on their domestic markets for certain legitimate objectives including national security requirements; prevention of deceptive practices (product quality standards); and the protection of human health or safety, animal or plant life and the environment.

TBT promotes "good regulatory practices" among member governments. Technical regulations, testing procedures, and conformity assessments may not be adopted with the intent or effect of creating unnecessary obstacles to international trade. They should not be more strict or strictly applied (i.e. trade-restrictive) than is necessary to fulfill the legitimate objective, taking into account the risks of non-fulfillment.

Technical regulations based upon international standards are presumed not to create unnecessary barriers to trade. TBT requires that technical regulations, testing procedures, and conformity assessments be based upon international standards whenever a relevant standard exists or its completion is imminent (as long as fundamental climatic or geographical factors do not preclude its use).

TBT requires national governments to respect the confidentiality of information submitted under conformity assessment procedures, such that the commercial interests of the producer are protected.

Member nations are strongly encouraged to negotiate agreements for the mutual recognition of results from each other's conformity assessment  systems, even when the procedures differ, provided the objective is the same. The development of regional and international systems for conformity assessment is encouraged.

TBT requires national governments to notify the WTO Secretariat whenever they propose to adopt technical regulations or conformity assessment procedures which are not based upon international standards. Governments must provide copies of the proposed regulation and allow a reasonable time for comments by WTO members. Upon adoption, regulations must be published promptly, allowing a reasonable interval until the effective date.

Annex 3 is the Code of Good Practice, a summary of TBT requirements for national standards organizations. Standardizing bodies which agree to comply with Annex 3 notify their acceptance to the ISO/IEC Information Center  in Geneva, Switzerland. To date, the code has been notified by 170 organizations in 130 countries.

This summary of Technical Barriers to Trade is designed to provide you with an accurate, easy-to-understand overview of the topic and does not constitute legal advice. The actual standard in the original language should be reviewed and used for all business, legal, and product compliance purposes.

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